The City of Melbourne has welcomed Planning Minister Richard’s Wynne announcement that its $450 million development in the Queen Victoria Market precinct has been given the green light.
Plans for the site were unveiled in early 2017, with private developer PDG Corporation submitting plans for a 120-place childcare facility, 500 market carparks, an 80-room hotel and apartment tower on the council-owned site.
As part of the Munro site development, the city council planned to overhaul the market precinct, creating large swathes of public space and placing facilities underground.
The decision comes as Melbourne City Council opted not to appeal against the heritage authority’s rejection of its plans to refurbish the historic market sheds on the site.
Heritage Victoria rejected planned works to the sheds – which were described as a “central component” of the larger development – in March this year. Acting Lord Mayor Arron Wood said at the time that the council would appeal the decision.
The state government approval of PDG’s development will come as welcome news for the Melbourne City Council, which had backed the development at the Munro site from the outset.
City hall has been in dispute with the state government over the scale of the development on the Munro site.
The Munro site will now house two towers reaching 38-storeys and 10 storeys.
Acting Lord Mayor Arron Wood said the site will provide the largest public open space in the city since Birrarung Marr. The residential component will feature a 38-storey tower with 300 apartments and 56 affordable housing units.
The development is expected to incorporate $70 million worth of community facilities for City North, catering to a precinct population predicted to increase by 22,000 by 2040.
One the community facilities are complete, PDG will move to start construction on the 300-unit apartment tower and hotel.
Victorian Minister for Planning Richard Wynne said that the project offered major benefits for the precinct, and traders and land owners in the area could expect the value of their property to increase.
“This project will create affordable homes where people want to live, will create construction and supply jobs for Victorians and will deliver open space for popular events,” he said.
“We’ve carefully considered this proposal and worked hard with the applicant to ensure any development protects one of Melbourne’s most popular areas and treasured destinations.”
The City of Melbourne purchased the site from the Munro family for $76 million in 2014.
PDG Corporation have started preparing to commence construction on site from July.