Project update
Project update
In September 2025, Council unanimously endorsed a motion to sell Council-owned land and roads to Coles Group Property Developments (Coles), paving way for a major revitalisation of the Balaclava precinct.
The proposed development will bring a range of improvements for the community, including a new supermarket, public open space, upgraded public amenities and improved access throughout the area. Heritage buildings will be retained and new housing, including affordable options, will also form part of the project.
Since September, we've been working with nearby property owners to finalise access arrangements which are needed before legal agreements can proceed. These legal arrangements include a contract of sale, an associated Section 173 Agreement and a Memorandum of Understanding with Coles.
A dedicated project page is currently being developed on the City of Port Phillip website, where further details and ongoing updates will be shared.
Project Overview
Introduction
We are planning to sell some land and roads in the Carlisle Street area of Balaclava. The land is part of the carpark behind Carlisle Street, next to Coles. The goal is to sell these parcels of land to Coles with the plan to develop a mixed-used space, which will include a larger supermarket, shops, parking and public open space. Refer to the image below to see the land of sale.
This project is important because it aims to improve the Carlisle Street area. By developing the land, Council is helping to renew and upgrade the neighbourhood, making it a more attractive and functional place for people to enjoy. It aligns with the plan made back in 2009 to enhance this area for the community.
This engagement closed at midnight on Sunday 15 June 2025.
Collectively, the parcels of land that Council is considering to sell has an area of 2,240 square metres, and are known as:
- 2-8 Alfred Street Balaclava Vic 3182 (Lot 1 TP846586J, Lot 1 TP748963E).
- 49-53 Nelson Street Balaclava Vic 3182 (Lot 1 TP904522R, Lot 1 TP232252P, Lot 1 TP245869W, Lot 1 TP748693E).
- Laneway R3743 that is part of the land contained in Memorial No 975 Book 539.
- Laneway R3979 that comprises land Title Vol 8945 Fol 006 Title Plan 438679C and
- Laneways R3977 and R4141 that comprise Title Vol 00268 Fol 542 Title Plan 923236K.
During a meeting on November 20 2019, Council decided to start talking about selling some of its land in the area to help improve it over time. They planned to use a mix of methods for this, including direct talks and open bidding, to make sure that the community gets the best deal and that everything is done properly.
Council asked for feedback from the community about a piece of land known as 'Parcel A', which is near Camden Street next to Woolworths. After considering community feedback, that land was sold to a company connected to a Woolworths company in 2022.
Community Engagement (Closed)
This engagement is now closed
Thank you to everyone who took the time to provide their valuable feedback in our survey, which ran from 8 May to 15 June 2025. We appreciate you sharing your insightful perspectives. The Engagement Summary Report is available here.
Ask the team a question
During the engagement you could submit a question here for further information on the proposed sale of land and laneways using the tool below. You could search and review previously posted questions and answers.
To ask a question you must create an account or log in.
These are the people that are listening and responding to your questions.
Property and Assets Team
{{question.description}}
