The recent revelation of a secret departmental plan for the radical expansion of suburban high-rise development in Melbourne has sparked intense debate. This plan, unveiled by the Department of Treasury and Finance, aims to dramatically increase the number of activity centres from 60 to 210, essentially transforming every train station in Melbourne into a high-density housing zone. The proposal, which emerged in late 2024, was intended to meet the ambitious housing targets set by former Premier Daniel Andrews in his final days in office. However, the plan has faced significant opposition and raised concerns about its economic viability and the erosion of local community control over development.
The current framework already allows the government to seize local planning controls in designated activity centres, enabling developers to build high-density apartments up to 20 storeys without local council approval. However, the proposed expansion to 150 additional train stations and tram line locations by 2028 is a significant leap. Treasury documents reveal internal concerns about the economic feasibility of this high-density push, with officials warning that soaring construction costs could stall major apartment developments.
The program's goal is to shift Melbourne's population growth away from the urban fringe and into established suburbs with existing public transport infrastructure. However, it has already faced backlash from councils and residents' groups, who view it as a centralized power grab that diminishes local communities' influence over high-rise developments. Critics argue that the plan prioritizes housing targets over the quality of housing stock and local community input.
The Coalition has vocally opposed the activity centre program, with Shadow Attorney-General James Newbury pledging to 'rip up' the high-rise plans if elected. Liberal MP David Davis has also moved a motion to revoke planning rules across 25 activity centres and the mid-rise code. The opposition argues that the plan denies Victorians a voice in community development, emphasizing the need for local residents' input and choice.
Despite the criticism, the plan has received support from some quarters. YIMBY lead organiser Jonathan O'Brien advocates for expanding development near public transport, arguing that it provides more housing options and empowers individuals to choose their preferred locations. However, critics argue that the plan's arbitrary housing targets and potential negative impacts on local communities and housing quality cannot be ignored.
As the debate continues, the future of Melbourne's urban landscape hangs in the balance. The plan's success will depend on balancing housing targets with economic viability and community engagement. The government's approach to planning reforms and its commitment to meeting housing targets will be crucial in shaping the city's future, potentially impacting the quality of life for generations to come.