Melbourne developer LAS Group has won planning permission for two apartment towers on former Crown Resorts land at Southbank, following a comprehensive flood mitigation plan that addressed earlier regulatory concerns.

The dual-tower development comprises a 52-storey residential building and a 25-storey companion tower, with a combined end value of $700 million. Both projects, designed by FK Architecture, will transform a 3822sq m precinct previously occupied by low-rise offices and warehouses.

Approval for both schemes followed LAS Group's strategic acquisition of air rights over Crown's adjacent multilevel carpark and the implementation of enhanced flood protection measures developed after Melbourne Water initially refused support for one of the towers in June.

The City of Melbourne has issued a permit for the taller tower at 101 Clarendon Street, which will rise 180.4m across the 1544sq m site and accommodate 510 apartments—358 one-bedroom and 152 two-bedroom units.

Residents will benefit from premium communal amenities including a 20m swimming pool, wellness facilities and a range of indoor and outdoor social spaces. The development carries an estimated construction cost of $160 million, with an end value of $511 million and completion targeted for 2029.

The second tower at 38 Clarke Street will deliver 188 one and two-bedroom apartments across 25 levels, featuring a pool, gymnasium, cold plunge and sauna. The smaller building has an estimated end value of $187 million and is scheduled for completion in 2028.

LAS Group founder Les Smith acquired the two sites on Clarendon Street and City Road for approximately $30 million in 2022, according to market sources familiar with the transaction.

Central to unlocking the development potential was the purchase of air rights over Crown's carpark, which prevents the casino operator from building above the structure and protects sight lines for the approved towers.

The Clarke Street proposal faced significant hurdles when Melbourne Water identified flood risks from multiple sources, including the Yarra River, and declined to support the application mid-year.

LAS Group responded by redesigning the scheme, raising the flood protection level to 3.03m above sea level—exceeding Melbourne Water's 2.43m requirement for the location.

Following the initial setback, the developer lodged plans for the larger Clarendon Street tower, deliberately excluding basement levels to reduce flooding exposure on the low-lying Southbank site.

LAS Group's existing Melbourne portfolio includes the Guild Apartments at Southbank and The Fawkner tower on St Kilda Road. In 2021, the group sold its Northcote Plaza site to developer Time and Place for $60 million, where a $500-million mixed-use development is now planned.

LAS Group founder, Les Smith, said the approvals represent a significant milestone in delivering high-quality residential options within Southbank's evolving precinct.

The successful resolution of complex planning challenges—including flood mitigation and air rights negotiations—underscores the developer's commitment to creating residential projects that serve Melbourne's expanding population whilst navigating strict regulatory requirements.

The Southbank developments join a growing pipeline of high-rise residential towers reshaping Melbourne's inner-city skyline, as developers respond to strong demand for apartment living in established precincts with access to employment, transport and cultural amenities.

Source: The Urban Developer