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More homes in activity centres across Melbourne

Right across Victoria, not enough people have the chance to afford a home close to the people and places they love. we need to act now to make sure we build a future where every Victorian can choose a home that's right for them.

We will need 1.8 million new homes in metropolitan Melbourne by 2051. Making sure that new homes are well-located will allow us to maximise use of existing infrastructure and public transport. The starting point is to look for places where more homes can be built, and the types of homes we need to suit all kinds of Victorians in all kinds of places.

As part of Victoria’s Housing Statement, we’re planning for more homes in and around 60 activity centres, encouraging more than 300,000 new homes to be built around Melbourne’s train and tram lines, jobs and services by 2051.

By planning more housing around activity centres, we are supporting more Victorians to live closer to jobs, services, public transport and green, open space.

What is the Activity Centres Program?

Activity centre planning is about building more opportunities and better communities by setting clear expectations for long-term growth, giving the community a say early, and streamlining planning to unblock home building.

Through this program of new activity centres, the vision is for taller buildings in the immediate 'core' where the train station and built-up commercial centre is located.

In areas where the train station is very residential, the core could be very small, with more modest height limits compared to larger stations.

In the walkable 'catchments' up to 800 metres surrounding the core, the vision is for gentler, scaled height limits and more low-rise apartments and townhouses alongside existing homes.

The change in these catchments will be sensitive and incremental, occurring over time.

Heritage and landscape overlays will stay in place, and how it works in every community will be designed in consultation with locals.

What is an activity centre?

Activity centres are vibrant places where people shop, work, access public transport, connect with family and friends, as well as live.

There are many activity centres across Melbourne, and they range in size and service offering. They range from small centres around suburban train stations, to clusters of shops and services along high streets, to major centres with universities and major shopping malls.

They are great locations for more homes, but they are so much more. Activity centres can be places to work, places for social interaction, and ideal places to shop and access your essential daily needs.

How we choose activity centres

The activity centres in this program were chosen based on an analysis of transport capacity, market viability, access to jobs and services, and environmental considerations.

Victorians want more homes close to public transport, jobs and services. Melbourne’s train network has completely transformed over the last ten years, with more services, more than 50 new or upgraded stations, 84 level crossings gone for good with more to go, and the Metro Tunnel on its way this year. With more capacity coming onto our train network, this program is focused on locating more homes close to train stations that have the highest capacity now and into the future.

The decision to add more activity centres close to train stations follows community feedback on our first 10 activity centres in 2024, where Victorians emphasised the importance of transport connections.

Our role in delivering more homes for Victorians

All levels of government, as well as investors and industry, have a role to play in delivering the homes Victoria needs. The Victorian Government has signed up to the National Housing Accord and committed to play our part, including a commitment to deliver the Activity Centres Program.

That’s why we’re planning for more homes in and around 60 activity centres across Melbourne, encouraging more than 300,000 new homes to be built around train and tram lines, jobs and services by 2051.

It’s part of Victoria’s plan to deliver more homes for more Victorians, in the places people want to live.

We want to provide all Victorians with a choice of a well-designed home, at an affordable price and close to daily needs.

Over the past year, the Victorian Government has been talking to communities across Victoria about how we can do this, to help us develop a new plan for Victoria.

We’ve heard that Victorians want a future that is inclusive and vibrant - where everyone can have a place to call home with good connections to jobs, schools and services. These things will help us create vibrant and safe communities where everyone can thrive.

In 2024, the Victorian Government released draft housing targets for local governments to guide councils on where future homes should be built across Victoria.

The Activity Centres Program will help councils deliver on their housing targets by identifying the best places for more homes within their municipalities and encouraging more homes to be built there.

Page last updated: 23/02/25