The City of Melbourne's Future Melbourne Committee has endorsed the business plan for the council's Greenline project along the Yarra riverfront in the Melbourne CBD.
The four-kilometre-long project will stretch along the Yarra’s North Bank from Birrarung Marr to Salt Water Wharf.
It will have a promenade of parks, open spaces, activation areas and green spaces with the cultural history of the Wurundjeri Woi Wurrung people of the Eastern Kulin nation tied in.
The project will include five precincts: the Salt Water Wharf precinct, Birrarung Marr precinct, River Park precinct, Maritime precinct and The Falls precinct.
Ernst and Young created the business case for the project for the Future Melbourne Committee to consider.
Melbourne’s Lord Mayor Sally Capp said the project is expected to generate a total of $1.7 billion over 20 years with economic benefits estimated at $1.2 billion.
“The Greenline Project will revitalise the north bank of the Yarra River – creating thousands of jobs, attracting waves of new visitors, and injecting millions of dollars into our economy,” Capp said.
“The business case unequivocally shows the Greenline Project stacks up, delivering $3 for every dollar invested, and $740 million worth of economic and community benefits for Melbourne and Victoria.”
Economic activity over 20 years is estimated at $740 million with $250 million contributed in social value via community health and wellbeing being increased through the project.
Environmental and ecological restoration is expected to contribute $60 million to social capital.
More than 3400 jobs will be created during construction with more than 6400 ongoing jobs by 2042.
The estimated project budget includes $315.6 million in construction costs, with yearly maintenance costs of $7.9 million and a net present value of $740.10 million per year.
The City of Melbourne’s 2022-2023 budget already set aside $140 million for the project, with $20 million from the federal government.
The council will now develop a partnerships and funding plan for the project with Lendlease managing director for development Tom Mackellar already signalling his support.
“We appreciate being part of the city’s extensive community and stakeholder consultation process on this bold, once-in-a-generation city-shaping initiative,” Mackellar said.
“We look forward to partnering with the city in realising their vision for Greenline as part of our Victoria Harbour precinct renewal development.”
The Birrarung or Yarra River runs for 242 kilometres, cutting through Melbourne’s CBD.
Council is hoping that rethinking city planning to include open and green spaces and allowing for active transport options such as cycling and walking will bring people back into the CBD.
Prior to the pandemic, the CBD’s daytime population was nearly 1 million, with its night-time economy generating a gross local product of more than $104 billion a year.
Working from home due to the pandemic has changed travel patterns and habits.
More than 52 per cent of the City of Melbourne’s population is not getting enough activity.
Payroll jobs in the CBD have dropped by 8 per cent to 458,400 in 2020 from 497,200 in 2019, and visitor numbers have fallen 71 per cent from 15.8 million in 2019 to 4.5 million in 2021.
Office attendance and public transport usage are low.
The project also attempts to address environmental considerations.
The City of Melbourne set specific environmental targets for water pollution and vegetation in line with the Sustainable Development Goals.
But only 38 per cent of local catchments are at least 20 per cent permeable – way behind targets set previously to prevent waterways being polluted.
Tree cover across public areas is only 23 per cent and there has been a drop of 30 per cent in the amount of native vegetation since 2005.
There are 16 stages of construction with the first stage starting in 2023 at Birrarung Marr.
