Sunshine Superhub to Kick Off Melbourne Airport Rail Build

Melbourne’s airport rail link has been talked about for decades. Now, with construction under way and $8.6 billion committed across rail and terminal upgrades, it is finally taking shape.

The Australian and Victorian governments have released early designs for a rebuilt Sunshine Station that would anchor a new regional transport superhub—just days after Melbourne Airport unveiled a separate $4.5-billion international terminal expansion.

The rail project, a $4.1-billion joint investment between the state and federal governments, covers a 6km corridor from West Footscray to Albion, addressing what authorities describe as Melbourne’s most complex rail junction outside the CBD.

Six kilometres of new raised track, including two rail bridges, would separate six regional and metro lines, eliminating bottlenecks that currently constrain train frequency across the network.

Sunshine Station redesign

Sunshine Station would be expanded with an extended concourse and two new platforms dedicated to regional trains, connecting regional services, Metro Tunnel trains and future airport rail in a single interchange.

Capacity for more than 1000 daily train services through Sunshine would follow the completion of the broader Melbourne Airport Rail and Melton electrification projects.

Federal infrastructure minister Catherine King said the benefits would extend well beyond Melbourne.

“For people in Bendigo, Warrnambool, Geelong and my hometown of Ballarat, these upgrades to Sunshine will change the way we move around the state,” she said.

The Victorian Government is committing a further $143 million to precinct improvements around Sunshine Station.

These will include a pedestrian and cycling bridge over the rail corridor, a new bus interchange, upgraded intersections on both sides of the Hampshire Road bridge, and new open space at each station entrance.

Three hubs, one precinct

The investment forms part of the broader Sunshine Precinct Opportunity Statement, under which the Victorian Government has identified three growth hubs—Sunshine Station, the Sunshine CBD and the Albion Quarter—as the focus of expansion across the precinct.

The precinct’s population is expected to more than double over the next 30 years, according to the state government.

Albion Quarter, one of inner Melbourne’s largest urban renewal areas at more than 40ha, is earmarked for significant growth in employment and residential density.

The new Albion Station, which is being fully funded by the state, is a key piece of that transformation.

A new Tottenham Station is to be added to the realigned Sunbury Line corridor, Early designs for it are due later in 2026 and construction slated to begin in 2027.

The rail works also enable the future electrification of the Melton Line.

Unlocking density pathways

City of Melton data projects the municipality’s population will grow from 232,721 residents in 2024 to more than 470,000 by 2046, with residential development forecast to average 3215 homes per year to 2051.

Sunshine’s designation as a Metropolitan Activity Centre puts it within Victoria’s broader housing density program, which is targeting more than 300,000 new homes across 60 train and tram zone activity centres by 2051.

Under the state government’s Activity Centres Program, residentially zoned land within an approximately 800m walkable catchment of designated station cores is being rezoned under the Housing Choice and Transport Zone to accommodate buildings of up to six storeys.

Streamlined approvals pathways are available for compliant developments.

Melbourne Airport terminal expansion

The rail announcement coincided with Melbourne Airport’s $4.5-billion international terminal expansion, privately funded by the airport and to be delivered in stages.

The project will add five new aircraft stands capable of accommodating five widebody or eight narrowbody aircraft, as well as an enlarged check-in hall, expanded baggage reclaim and improved lounge facilities.

Preliminary works are due to begin after the opening of a new airport road network in September and a third runway is scheduled to open in 2031.

Melbourne Airport chief executive Lorie Argus said “just one average daily international flight [is] worth $190 million to the Victorian economy every year, [so] these investments will help facilitate more services and secure thousands of jobs around the state”.

Enabling works on the rail project, including underground utility relocation, are already under way, with a contract awarded to a consortium of McConnell Dowell, Arup, Metro Trains Melbourne, V/Line and VIDA Rail.

Sunshine Superhub works are due to begin in early 2026. Stage 1 completion is expected by 2030.