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Key details

Location
60 Denmark Street, Kew

Policy objective
Housing, Urban Renewal

Overview

Development Victoria is transforming surplus government land into a new residential community in Kew, delivering around 500 homes - including at least 10% affordable - in a well-connected location close to jobs, transport, schools and green spaces.

Formerly home to VicRoads offices, the site is no longer in use and has been declared surplus by the Department of Transport and Planning. In October 2024, it was rezoned from a Transport Zone to Commercial and General Residential Zones, unlocking the potential for hundreds of new homes to help meet the area's growing housing demand.

This project supports the Victorian Government’s Housing Statement commitment to repurpose surplus government land for new homes in well-serviced locations.

We are currently exploring development options, including the potential adaptive re-use of the southern building. We are also investigating partnerships with the private sector to help deliver aspects of the development, ensuring a diverse mix of housing options across the site.

Community engagement

Community engagement in March and April 2025, Development Victoria invited the community to help shape the future of the former VicRoads site in Kew.

Residents shared their views through an online survey, an interactive map, and at two engagement sessions with the project team. Feedback has been captured in a Community Aspirations Report, now available under the ‘resources’ tab.

The report found strong community support for redevelopment of the site and recognition of the urgent need for more homes in Kew.

Feedback also highlighted opportunities to revitalise public areas, improve walking and cycling connections, create more green open space, and celebrate the site's heritage – including its rail history and Wurundjeri cultural stories.

Developer engagement now closed

Development Victoria is planning to engage private developers to deliver new homes on the site as part of plans to fast-track the creation of a diverse and thriving residential community. By partnering with the private sector, our aim is to accelerate housing delivery and offer a range of housing options to meet local needs.

The selection process includes two stages:

  • Expression of Interest (EOI) – closed at 5pm on Friday, 16 May 2025
  • Request for Proposal (RFP) – opened 22 August 2025

Four private developers - Riverlee, Lendlease Development Pty Ltd, Mirvac Group and a Milieu-led consortium - have been invited to submit detailed proposals, with successful partners to be announced in 2026. Development Victoria will continue to communicate with the Boroondara Council and the local community throughout the transaction process.

Site preparation works

We’re currently preparing the site for future development. This work involves:

  • removing electrical, gas and plumbing services from the buildings
  • removing office furniture, fixtures, ceilings, glass panels and windows
  • demolishing the northern building - commencing on Monday 19 January and taking around one month to complete (subject to change).
  • cleaning up and preparing the site to make it safe and suitable for future development

We’re working closely with our contractors to keep disruptions to a minimum.

We’ll let you know what’s happening on site ahead of time and keep you updated as works progress.

All works notices are available in the resources tab above. You can also subscribe below to receive these updates directly by email.

Project area

General

Development Victoria, the Victorian government’s property development agency, is transforming the site into a vibrant new residential community. It’s in a fantastic location, close to jobs, transport, schools, and green spaces.

While we're still in the early planning stages, the development is expected to include around 500 new homes of various sizes to suit a variety of households and budgets - creating more opportunities for people to buy homes in Kew.

The site has three buildings that were built in the 1960s, ranging from five to eight storeys. VicRoads ceased operations there at the start of 2024.

The site is bordered by:

  • Wellington Street to the north
  • Denmark Street to the west
  • Stratford Avenue to the east
  • Barkers Road to the south

It’s accessed via a long, narrow car park. To the east, it also adjoins Xavier College, which has sports facilities like tennis courts, a swimming pool, and a grandstand. Kew Junction is just northwest of the site, at the intersection of Denmark Street, Studley Park Road, High Street, and Princess Street.

This project is being driven by the Victorian Government as part of the Housing Statement and its housing targets. The site’s development aligns with the State Government’s broader strategy to deliver more housing in well-located areas with strong access to jobs, services, and transport.

Additionally, the State Government has recently designated Kew Junction as a new Train and Tram Activity Centre Zone under the Activity Centre Program. This classification supports increased housing and mixed-use development to enhance the area's liveability and connectivity.

Development Victoria is overseeing the project and exploring the best way to deliver new homes, including working with private sector partners.

The project will be delivered over several years, with construction of the first buildings expected to start within the next two years.

Planning

The site is located within the Kew Junction Activity Centre. Ongoing consultations will shape the activity centre plan for Kew Junction, which will guide the site's planning rules once implemented.

All developments on the site will need planning permits, expected to be managed through the Department of Transport and Planning. The first applications will likely be submitted in early 2026.

No, the land was recently rezoned for residential use, so no further changes are needed.

Early works and demolition

In September 2025, we started early works to prepare the site for upcoming demolition.

We have appointed Victorian contractor City Circle Demolition and Excavation Pty Ltd, demolition experts, to perform this work, supporting local employment.

Early works include:

  • installation of site hoarding
  • relocation of utilities and assets
  • installation of tree protection measures
  • removal of any contaminants on site
  • internal building strip-out.

Demolition works are expected to begin in December 2025. The northern building will be carefully deconstructed from the top down, using controlled methods to minimise impacts on the surrounding area.

Plans for the southern building are still being considered, and we’ll confirm the approach and timing once finalised. The program also includes the removal of the asphalt car park on site, which will be managed alongside the building works to ensure safety and limit disruption.

Demolition will be undertaken using specialised equipment such as hydraulic pulverisers (‘munchers’), along with dust suppression methods and carefully sequenced works to minimise disruption and truck movements.

Security cameras will be installed at key entry points to monitor activity and deter unauthorised access. On-site security personnel will also be present during and after working hours to maintain site control and ensure public safety.

We’re putting in place a range of measures to minimise dust and vibration and to protect the surrounding community. Contractors will use dust suppression methods such as water carts, mist cannons and built-in spray systems on high-reach equipment, supported by regular air quality monitoring throughout the works. Vehicles and machinery will be managed carefully, with designated wash-down areas and routine street cleaning to prevent soil being tracked onto local roads.

Demolition methods have been planned to reduce vibration impacts as much as possible. Pre-condition surveys of nearby properties will also be undertaken where required, providing assurance that any changes can be identified and addressed.

We’re taking several steps to minimise noise impacts for our neighbours. Protective hoarding has been installed around the site, which not only helps contain dust but also reduces noise. Where possible, our contractors will use low-noise equipment and quieter construction methods, supported by ongoing maintenance to ensure machinery runs efficiently. Importantly, all noisy works will be restricted to standard construction hours, in line with local regulations, so residents can have certainty around when works will occur.

Like many older commercial sites, some remediation is required to make the land suitable for new homes. This includes the safe removal of hazardous materials from inside the buildings before demolition begins.

The health and safety of the local community is our top priority. Any identified hazardous materials will be removed in strict accordance with occupational health and safety regulations and reported to WorkSafe Victoria.

A licensed removalist will carry out the work under the supervision of an independent occupational hygienist, who will also conduct air monitoring and issue a clearance certificate to confirm all hazardous materials have been safely removed before demolition proceeds.

Protective fencing and other tree protection measures will be installed across the site before works begin. Any tree removal will be guided by independent arborist advice to ensure it is only carried out where necessary. Where trees or vegetation do need to be removed, we’ll work closely with council on a reinstatement strategy, including replanting native species throughout the site to support local biodiversity and maintain green spaces.

Truck access to the site will be via Wellington Street and Barkers Road, with traffic management measures in place to support vehicles, cyclists, and pedestrians. While some short delays may occur during heavy vehicle movements, contractors will primarily park on site to minimise local impacts.

Any road closures will be kept to a minimum and communicated in advance. Where possible, truck movements will be limited during school hours to enhance safety. We will also aim to keep the Denmark Street bike track open during peak times; if a temporary closure is necessary, residents and cyclists will be notified ahead of time, with on-site signage to guide them.

Works will take place in line with Boroondara Council’s standard construction hours:

  • 7am to 6pm, Monday to Friday
  • 9am to 1pm, Saturdays

We’re committed to clear and ongoing communication throughout the project. Nearby residents, businesses, and other stakeholders will receive regular updates on progress, upcoming works, and any potential impacts. Updates will be shared through multiple channels, including letters, email alerts, and on-site signage, so the community is kept informed and can plan accordingly.

You can contact Development Victoria’s Denmark St Kew Project Team by emailing  denmarkstkew@development.vic.gov.au.

Built form, open space & community

The site is expected to include around 500 apartments, but the exact layout and number of buildings will be determined as planning progresses.

The Kew Junction Activity Centre plan, currently in development, will guide building heights for the site.

At least 10% of homes will be affordable, meaning they’ll be priced within reach of medium-income earners. There are no current plans for social or public housing in this development.

We are considering build-to-rent housing as one way to deliver homes quickly as part of the project.

We’re still working on the design of public spaces and pathways. Community input will help shape these areas through the Community Aspirations Document, which will be shared with future developers to guide their plans.

We know there’s strong community interest in a shared bike/pedestrian path through the old rail line car park, and we’re considering this as part of the planning process.

This will be determined as planning progresses to ensure minimal impact on surrounding streets.

Construction

We’re aiming to begin early works and demolition in August/September 2025, with major construction starting in the following two years, depending on planning approvals.

We know construction can be disruptive, so we’ll take steps to minimise dust, noise, and vibration. The community will be notified ahead of any works, with details on what to expect and how we’re managing impacts.

Given its history, some remediation may be required. Potential contaminants could be linked to past uses of the site. A full environmental assessment will determine what work is needed.

Community engagement

In March and April 2025, Development Victoria invited the community to help shape the future of the former VicRoads site in Kew.

Residents shared feedback through an online survey, an interactive map, and two in-person sessions with the project team. This input is compiled in the Community Aspirations Report, which serves as a reference document for developers preparing proposals for Development Victoria's consideration. The report is available under the Resources tab.

Updated on 17 February 2026