Progress Continues for South Melbourne Housing Precinct Overhaul
Moving forward after community consultations, the South Melbourne housing precinct is embarking on the journey towards a 131-unit energy-efficient social housing project, marking the initial phase of a comprehensive redevelopment plan for the area.
Situated at 182-196 Dorcas Street, this development will replace three walk-up buildings comprising 64 units that were demolished in the preceding year.
Each residence is set to incorporate contemporary and secure amenities, offering a range of one to four-bedroom layouts. A minimum of 5 per cent of the homes will be tailored for individuals with disabilities, with every apartment featuring its own laundry facilities, balcony space, and air conditioning.
Alongside the housing units, the revitalization initiative will introduce enhanced landscaping and communal areas for the residents.
Residents currently residing in the precinct need not relocate during the initial phase, as the new homes will be constructed on vacant land. Former tenants from the demolished walk-ups will have the opportunity to return to new accommodations based on continued eligibility, individual requirements, and the suitability of the residences.
Following a collaborative visioning consultation with residents, the community, and the Port Phillip Council in August, the planning and design processes are set to pave the way for the commencement of the first phase of construction.
Work is projected to commence by mid-2026, with a target completion date set for June 2029.
This development falls under the streamlined planning procedures introduced through Victoria's Big Housing Build program, with funding allocated from both the Big Housing Build initiative and the Australian Government's Housing Australia Future Fund.

Notably, Time & Place's approved $500-million development at Dorcas Street and St Kilda Road in January signifies a significant step forward in the precinct's rejuvenation efforts.
Minister for Planning Sonya Kilkenny emphasised the government's commitment to expediting housing projects in South Melbourne to provide additional housing options in close proximity to the newly established Anzac Station, as well as tram services, the Botanical Gardens, educational institutions, retail outlets, and amenities.
These endeavours form part of the broader renewal strategy for the South Melbourne precinct, with forthcoming stages yet to be unveiled.
Concurrently, a separate venture at 200 Dorcas Street is aligned with the government's overarching objective to retire and replace Melbourne's 44 aging high-rise public housing towers constructed between the 1950s and 1970s by the year 2051.
Earlier this year, private developer Time & Place secured approval for another distinct $500-million mixed-use development nearby, comprising two towers with a total of 243 apartments at the intersection of Dorcas Street and St Kilda Road.
Source: The Urban Developer
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