Homes Victoria Tops Out 155-Unit Essex Street Project

A social housing project dedicated to women and children at risk of homelessness has reached a construction milestone as Homes Victoria and Building Communities top out the Essex Street redevelopment in Prahran.

Builder ICON Construction has completed the main building structures at the 5780sq m site that would deliver 155 new homes by late 2026 as part of Victoria’s Big Housing Build program.

The Essex Street project would replace 63 older dwellings with 86 social homes, 15 affordable apartments and 54 market rental properties—a 37 per cent increase in social housing at the site.

Women’s Property Initiatives would manage all social housing at the site, providing tenancy management and support services for women and children at risk of homelessness.

Community Housing Limited would manage all other tenancies, operating onsite to help renters settle and deliver services and activities.

The development would comprise two buildings varying from six to nine storeys, plus two-storey townhouses fronting Bella Street.

Homes would range from one to four bedrooms to suit different household sizes, including specialist disability accommodation.

Communal facilities would include 2202sq m of external space, a cafe opening on to a central public terrace, and a community garden with picnic areas.

The scheme includes 77 carparking spaces and 166 bicycle parking spaces throughout the site. Landscaping plans include replacement of every high and moderate-value tree removed with at least one new tree, with a focus on native planting.

Design changes following community consultation feedback included relocating the cafe within the central courtyard to improve solar access and updating the facade from single-coloured to tri-coloured glazed brick.

The project has now entered the internal fitout stage, with contractors installing flooring, ceilings, partitions, services, joinery and finishes.

The buildings would achieve a 5-Star Green Star rating and 7-star average NatHERS rating.

The Big Housing Build was initially announced as a $5.3-billion investment, though total housing investment has now grown to more than $8 billion, and would provide more than 16,000 homes across Victoria.

The Ground Lease Model approach allows Homes Victoria to lease land to consortiums to build, operate and maintain housing for 40 years before returning all land and homes to public ownership.

The Building Even Better Communities Consortium—comprising Tetris Capital, ICON Construction, Community Housing Limited, Women’s Property Initiatives Limited and Aboriginal Community Housing (Vic) Limited—was awarded the contract for this Ground Lease Model 2 project.

▲ Aerial view of the Essex Street development, featuring two main buildings of six to nine storeys.

The Essex Street site forms part of the second Ground Lease Model program alongside developments at Horace Petty at South Yarra, Barak Beacon Estate at Port Melbourne, and Bluff Road at Hampton East.

First-stage Ground Lease Model projects were completed in early 2024, with residents settling into new homes at Brighton, Flemington and Prahran, including 291 modern homes at New Street in Brighton and 434 new homes at Bangs Street in Prahran.

Victoria expanded the model in March 2025 to deliver 1200 additional homes across Melbourne’s inner suburbs by 2031.

Housing minister Harriet Shing announced plans for 400 social homes and up to 300 affordable homes along Racecourse Road at Flemington, plus 800 homes at Alfred Street in North Melbourne with at least 300 social homes.

The social housing component of these two sites increased by 39 per cent compared to original plans. Building Communities would lead the Flemington development after completing 359 social and affordable homes on Victoria Street at Flemington.