At December 2021, there were 148,394 dwellings on major residential redevelopment sites that were either under construction or in the development pipeline. 80% of dwellings proposed for major redevelopment sites are expected to be built in buildings of four or more storeys.
Annual Supply of major residential redevelopment site dwellings by built form
In 2021 there has been a decrease of 14,029 dwellings in the redevelopment pipeline compared to 2020. The majority of this is due to fewer projects being under construction in 2021. However, the number of dwellings in the redevelopment pipeline has been declining since 2016. This decline in the supply of dwellings corresponds in the decline in apartment approvals in the inner suburbs, particularly in the City of Melbourne, since 2017.
Some of this decline is due to projects proposed for major redevelopment sites being discontinued at various stages. Some redevelopment sites are withdrawn as residential projects and the site is repurposed for other uses such hotels, offices and other commercial purposes.
The inner and middle ring municipalities continue to be the dominant regions for the supply of anticipated dwellings on major redevelopment sites with nearly 85% of dwellings .
83% of current and anticipated major development activity in inner Melbourne are in apartment projects of ten storeys or greater. In comparison, the middle ring redevelopment projects provide a greater range of dwelling types. Apartment projects ten storeys or greater make up a third of the middle ring dwelling pipeline, while low rise projects, such as detached houses, townhouse and low scale apartment projects make up nearly 20% of the dwellings in the pipeline.
Supply of major residential redevelopment dwellings by region and built form
Across the metropolitan region, 24% (35,182) of anticipated major redevelopment activity is in the Melbourne Local Government Area (LGA) and mainly consists of apartments greater than ten storeys. Port Phillip, where opportunities exist for larger apartment buildings, has the second highest number of anticipated dwellings followed by Maribyrnong where there are some large redevelopment sites. The remaining Inner and Middle Ring LGAs have a mix of development types, with four to nine storey developments common in most of these municipalities.
Supply of major residential redevelopment dwellings by LGA and built form and status (excluding City of Melbourne)
In 2021 there were 19,788 dwellings assessed as completed on major redevelopment sites, this is more than the 15,597 completed in 2020. The City of Melbourne had the highest level of dwellings in the pipeline (35,182) and completed dwellings (6,165) in 2021.
Page last updated: 26/07/22