The map below shows the proposed zones for the South Melbourne Structure Plan Area.

Amendment C219port limits proposed rezonings to:

  • Correcting the zoning of seven sites including:
    • The block of land bound by York, Cecil, Market and Northumberland streets, South Melbourne
    • 176-188 Bank Street, South Melbourne
    • 383-385 Clarendon Street, South Melbourne
    • 68-72 York Street, 191-199 Clarendon Street and 31 Ross Street, South Melbourne
    • 120-142 Clarendon Street, Southbank
    • 102-106 Park Street, South Melbourne
    • 77 Park Street and 286-294 Kings Way, South Melbourne

View the Zoning anomolies report, recommending rezoning of these sites within the South Melbourne Structure Plan Area.

  • Rezoning the ‘City Road Industrial Triangle’ bound by City Road, Ferrars Street and York Street from the Industrial 1 Zone to the Commercial 2 Zone. Given historic industrial uses, it is also proposed to apply the Environmental Audit Overlay to the 'City Road Industrial Triangle'.

Proposed rezoning of the 'Industrial triangle' to Commercial 2 Zone

Rezoning the ‘City Road Industrial Triangle’ to the Commercial 2 Zone will accurately reflect the land uses already established in this area. The nature of these land uses aligns with those within the broader Enterprise Precinct, and applying the C2Z to this area will provide greater certainty around the desired development outcomes for this area.

The economic analysis that has informed the South Melbourne Structure Plan included an assessment of which land use zoning would best support the economic diversity and vitality of land uses within the Enterprise Precinct. This can be found in Chapter 8 of the South Melbourne Employment, Economic and Land Use Study.

The assessment of the considered the advantages and disadvantages of a range of zones for the Enterprise Precinct (Commercial 2, Commercial 3, Industrial 1 and Mixed Use zones) and it concluded that the land currently in the Industrial 1 Zone (the ‘City Road Industrial Triangle’ bound by City Road, Ferrars Street and York Street) should be rezoned to Commercial 2 Zone.

The extensive background technical work undertaken to inform the South Melbourne Structure Plan provides robust evidence for the rezoning of the ‘City Road Industrial Triangle’ to Commercial 2 Zone. These documents include the:

The South Melbourne Structure Plan is informed by these documents, and analysis of this question can be found from page 28 – 45.

A zoning change from Industrial 1 Zone to Commercial 2 Zone would mean that the old zoning aligned to previous uses is removed, and the Commercial 2 Zone is applied to reflect the current and anticipated future uses.

Each zone has a purpose and set of requirements. This information describes if a planning permit is required, and the matters that the council must consider before deciding to grant a permit.

A zone may also specify information that must be submitted with a planning permit application. The zone also contains information relating to land uses, subdivision of land, construction of new buildings and other changes to the land.

A zone sets out land use controls in a table of uses categorised into three sections:

  • Section 1: Land uses that do not require a planning permit
  • Section 2: Land uses that require a planning permit
  • Section 3: Prohibited uses.

Link to the current Industrial 1 Zone: 33.01 INDUSTRIAL 1 ZONE Port Phillip Planning Scheme - Ordinance

Proposed Commercial 2 Zone: 34.02 COMMERCIAL 2 ZONE Port Phillip Planning Scheme - Ordinance

Why is the Commercial 2 Zone not being rezoned to allow dwellings?

State planning policy directs that land within the South Melbourne Enterprise Precinct should be protected for such purposes via appropriate land use zoning.

The economic analysis that has informed the South Melbourne Structure Plan included an assessment of which land use zoning would best support the economic diversity and vitality of land uses within the Enterprise Precinct.

The assessment considered the advantages and disadvantages of a range of zones for the Enterprise Precinct (Commercial 2, Commercial 3, Industrial 1 and Mixed Use zones) and it concluded the following:

  • The Commercial 2 Zone (C2Z) is an appropriate zone to support a wider range of ‘enterprise’ and amenity-related land uses within the precinct, and this zone should be retained over land within the Enterprise Precinct
  • The C2Z (combined with the precinct’s adjacency to the core part of the South Melbourne Major Activity Centre) provides sufficient capacity for an appropriate range of land uses to establish within and adjacent to the precinct to support its intended ‘enterprise’ function.

Protecting South Melbourne’s employment only land (C2Z) is essential for accommodating businesses within Port Phillip that are either incompatible with residential amenity (such as those operating machinery 24/7) or require separation from dwellings due to the storage of certain materials.

Examples of these businesses include arts and events businesses that support the nearby Southbank Arts Precinct, and need to operate 24/7, as well as manufacturing operations.

Protecting the C2Z also supports more affordable spaces for businesses, particularly in the Professional, Scientific and Technical Services, and Information Media and Telecommunications sectors. These industries are central to South Melbourne’s economic identity and specialisation.

The extensive background technical work undertaken to inform the South Melbourne Structure Plan provides robust evidence for the retention of Commercial 2 Zone land in South Melbourne’s enterprise precinct. These documents include the:

The South Melbourne Structure Plan is informed by these documents, and analysis of this question can be found from page 28 - 35.

Council adopted a new Port Phillip Housing Strategy (Housing Strategy) on 7 August 2024 to help direct and manage housing growth over a 15-year period, providing certainty and consistency of housing outcomes across residential areas of the municipality. The development of the Strategy was informed by numerous technical studies and three phases of extensive community engagement.

This Housing Strategy is the key foundational strategic planning document that assists Council in planning for our residents' current and future housing needs. It provides direction on where, and how much housing should be accommodated in areas across the municipality.

This strategy informs Council’s precinct level structure planning, such as the South Melbourne Structure Plan.

The Housing Strategy identifies that there is sufficient residentially zoned land in Port Phillip to meet projected housing growth. However, some intervention is needed to ensure that the housing provided is diverse, well-designed, in character with the area, affordable, and sustainable.

On 16 June 2024 the Victorian Government released draft Local Government Housing Targets. Port Phillip’s target is for an additional 56,000 new dwellings to be built by 2051. The Housing Strategy identifies that there is currently enough residentially zoned land in Port Phillip to incorporate 59,000 additional dwellings, if every site is developed to its full potential (Port Phillip Housing Strategy 2024).

South Melbourne’s Commercial 2 Zone has supported South Melbourne’s success as an Enterprise Precinct, anchored by its specialisations in creative industries and professional services for many years now.

Retaining the C2Z over land within this precinct will mean that land uses that are currently able to locate in this area will be able to continue to do so, protecting the Enterprise Precinct’s future employment growth. In turn, this will strengthen South Melbourne’s specialiations, while also providing opportunities for new industries to establish in South Melbourne and contribute to its vitality. The Enterprise Precinct supports a diverse array of employment generating uses, including offices, innovation and creative industries.

View maps showing proposed rezoning.

View proposed Environmental Audit Overlay map.