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More homes across Melbourne
Across Victoria, not enough people can afford a home close to the people and places that matter to them.
The Train and Tram Zone Activity Centres Program aims to encourage more than 300,000 new homes to be built across Melbourne by 2051 in areas with good access to public transport, employment, services and amenities.
Plans for 60 centres have now been finalised, including plans for the Inner Melbourne (City of Yarra) and Inner Melbourne (City of Melbourne) Train and Tram Zones.
Activity centres are vibrant places where people live, work, shop, access services and connect with others. They range from small neighbourhood centres around train stations to larger destinations with hospitals, universities and major shopping centres.
By focusing population growth in these locations, the program provides more opportunities for people to live where transport, jobs and daily services are closer together.
About the program
The Train and Tram Zone Activity Centres Program supports more housing choice by establishing clear plans for long-term growth around train stations and tram corridors.
As part of the program, we've:
- identified areas suitable for more housing
- set clear expectations for future development
- consulted with communities early in the planning process
- streamlined planning approvals
- developed plans for each train and tram zone activity centre, providing guidance on where future housing can be located, and the types of housing that are appropriate in a given location
- changed planning controls to support more homes in appropriate locations.
The program does not involve compulsory land acquisition. Planning controls guide where new homes can be built, but property owners and developers will deliver them.
Increasing housing supply
One of the key drivers of housing affordability is the supply of homes. The program supports more housing in locations close to public transport, jobs and services.
Most new homes will be delivered by private landowners and developers over the next 20 to 30 years. The program provides clear planning controls and greater certainty about where different types of housing can be built.
We are also reviewing State Government landholdings, including opportunities to deliver more homes on land that isn’t needed for other government uses any more.
These sites could include underutilised rail land, institutional uses which have relocated or have a reduced footprint, or vacant/surplus sites.
Benefits of the program
The program helps create more vibrant, accessible and sustainable communities by encouraging growth in locations that already have strong public transport connections and access to services.
Once housing is delivered, benefits include:
- more housing diversity and choice in well-connected areas
- better access to jobs, education and services
- support for local businesses and activity centres
- more walkable neighbourhoods
- reduced reliance on cars and other vehicles
- better use of existing infrastructure
- protection of areas further away from activity centres from unnecessary development pressure.
How good building design can improve our neighbourhoods
In this video, Victoria’s Government Architect Jill Garner discusses how well-designed homes and neighbourhoods can improve sustainability, convenience and social connection.
Jill Garner on good design
Stories from here
Where people live is important to them and everyone deserves the opportunity to live in the places they want to.
Find out the benefits of convenience, neighbourhood vibrancy and apartment living from people already living in higher density locations across Melbourne.
Convenience
Neighbourhood vibrancy
Apartment living
Part of broader housing and planning reforms
The Train and Tram Zone Activity Centres Program is one of several initiatives helping deliver more homes across Victoria. Learn more about how the program fits within Victoria's housing and planning reforms.
Related initiatives
Other initiatives supporting more homes in well-located areas include:
- planning reforms to streamline approvals for well-designed housing, including the Townhouse and Low-Rise Code and Mid-Rise Code
- the Development Facilitation Program, which supports faster approvals for significant projects that include affordable housing
- the Future Homes Program, which provides pre-approved housing designs
- priority precinct planning around major infrastructure investments, including the Metro Tunnel and Suburban Rail Loop
- Melbourne's greenfields housing program
- Victoria's Big Housing Build
- the Small Sites Program, which unlocks surplus government land for housing
- supporting a strong building system that industry and consumers can trust through a suite of building reforms
- reviewing and rewriting the Planning and Environment Act (1987).
Page last updated: 02/10/26