Developer Rethinks North Melbourne Tower Makeup

A developer wants to halve the affordable housing component of its project approved for a site in North Melbourne.

Ceapal won approval in June this year for the residential development but has now returned to the Victorian Department of Transport and Planning with an amendment to reduce affordable housing from 6 per cent to 3 per cent for its site at 218-246 Macaulay and 23-25 Boundary roads.

According to the department’s register, the original application for the permit was lodged in September 2022 and plans exhibited in June, 2023.

Approval was granted in March of this year and a permit issued in June after a condition on the permit was varied through a hearing before the Victorian Civil and Administrative Tribunal. 

The permit is for a mixed-use project designed by Rothelowman with a part six-storey, part 12-storey building comprising 394 apartments, three retail tenancies and a supermarket. 

There would be a total gross floor area of 42,104sq m with 82 studio apartments, 156 one, 132 two and 24 three-bedroom apartments.

The basement will have 190 car parking spaces—138 for residents and 52 for retail customers—10 motorcycle parking spaces and 484 bicycle storage spaces. 

▲ A render of the six-storey section of the Macaulay Road project.

Council documents from June last year indicated that Ceapal owned the site and that the estimated the cost of development was $105 million. 

Initially affordable housing was to make up 4 per cent of the total apartment space when the plans were filed in 2022, making it 15 apartments to would be offered at 35 per cent discount on market rates. 

By the time the permit was issued, that had changed to 6 per cent.

Developers must include at least 10 per cent affordable housing on a project to qualify for the Development Facilitation Program, a fast-track planning process. 

While the department and the planning minister will be the determining authority for the amendment application, it will also be referred to the City of Melbourne’s Future Melbourne Committee for consideration.