Victoria approves Kew housing development as part of inner-suburban growth push

The Victorian Government has approved a new housing development in Melbourne’s inner east that will deliver 194 homes at the former Leo’s Supermarket site in Kew.

According to the state government, the project will include four buildings ranging from three to 18 storeys, with 10 per cent of the homes set aside as affordable housing. The development will also feature retail shops, office space, a supermarket, upgraded public areas and new pedestrian links.

The site is located close to tram routes 48 and 109, as well as bus services 200 and 207, supporting the government’s strategy of increasing housing near public transport.

The project was approved through Victoria’s Development Facilitation Program, which the government says has helped fast-track the delivery of more than 11,000 homes statewide.

The government said housing growth in Melbourne’s established inner suburbs has trailed expansion in outer growth corridors over recent decades. It cited figures showing Boroondara’s housing growth increased by 24 per cent over the 30 years to 2024, compared with 433 per cent growth in Melton.

The announcement comes as the government identifies a first group of inner-city priority sites expected to support around 30,000 additional homes across North Melbourne, Fitzroy, Collingwood, Richmond and Alphington.

Under the plan, new planning controls and simplified assessment pathways will be introduced to speed up developments that meet specified requirements.

The changes form part of the government’s Train and Tram Zone activity centre strategy, which aims to support the construction of more than 300,000 homes near transport, employment and services by 2051.

Victorian Planning Minister Sonya Kilkenny said increasing housing supply near public transport would reduce pressure on outer suburban areas and expand housing choices for residents.

Source: Victorian Government statement published by Premier of Victoria website