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Key details

Location Central Dandenong
Bunurong Country

Policy objective Urban renewal and economic development

Project partner City of Greater Dandenong
Capital Alliance

Overview

The Revitalising Central Dandenong (RCD) initiative is supported by a $290 million commitment from the Victorian Government to transform central Dandenong into a vibrant and thriving economic hub.

The project is expected to attract more than $1 billion in private sector investment, create 5,000 jobs, and enhance Dandenong's appeal as a place to live, work and visit.

Around $700 million has been invested to date to rejuvenate and re-establish Dandenong’s city centre as the capital of Melbourne’s growing south east region.

Melbourne-based developer Capital Alliance has been selected to deliver the next phase of the project, sites 11-15, which is expected to:

  • deliver a new Little India precinct
  • inject $600 million into the Dandenong economy during its development and construction phase
  • create 2,600 construction jobs
  • create around 5,000 ongoing jobs when it is operational
  • deliver 470 new dwellings and 2,500 square metres of community space
  • deliver new commercial and retail spaces, including a new supermarket and food market hall
  • transform central Dandenong into a vibrant and thriving destination
  • deliver social enterprise initiatives
  • improve public safety and amenity.

Dandenong was once the social and economic centre of Melbourne’s south-east. However, during the 1990s and early 2000s, competition from neighbouring areas resulted in reduced investment in retail, entertainment, and amenity infrastructure.

Development Victoria is working in partnership with the City of Greater Dandenong, state government agencies, and the private sector to achieve the goals of the RCD initiative, encouraging new development and job-creating economic activity.

With Dandenong as its heart, Melbourne's south-east region:

  • Produces almost half of Victoria’s manufacturing output
  • Is home to more than one million people
  • Is home to one in every three jobs in the greater Melbourne area

7ha project area

$1 billion private investment

4,000 homes

5,000 jobs

Outcomes

Halpin Way, Settlers Square and the Pop-Up Park received an award for their contribution to the amenity of central Dandenong at the 2013 Australian Institute of Landscape Architects awards.

The delivery of key infrastructure and seed projects to kick-start Dandenong’s redevelopment are integral to the success of the RCD initiative.

Approach

The goal of creating new community spaces and facilities is to bring more people back to central Dandenong.

The RCD project site has been divided into 19 separate sites. Development Victoria is progressively developing these sites in partnership with the private sector.

Key amenities near the project site include:

  • Public transport — Dandenong train station and bus interchange
  • Recreational reserves and parks — Dandenong Park and Dandenong Creek Trail
  • Private and public medical centres and hospitals
  • State Government Services Hub
  • Dandenong Market — Melbourne’s second oldest and second largest market
  • Dandenong Plaza — regional shopping centre

Location

Dandenong is located approximately 30km south-east of Melbourne’s CBD and forms part of the Greater Dandenong Local Government Area (LGA).

The RCD initiative project site spans 7ha of land in central Dandenong, with close proximity to Dandenong Train Station and major arterial roads including Lonsdale Street, Princes Highway and Cheltenham Road.

Development Victoria acknowledges the Bunurong people as the Traditional Custodians of the land.

Who to contact about this project

General information and media enquiries

Development Victoria

Customer Service
Ph: 131 852
Contact us

Media
Ph: 03 8317 3700
media@development.vic.gov.au

City of Greater Dandenong

Ph: 03 8571 1000
225 Lonsdale Street, Dandenong VIC 3690

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Site Developer

Capital Alliance (CA) is a diversified mixed-use real estate developer and investments company based in Melbourne. Following an extensive Expression of Interest (EOI) campaign and Request for Proposal (RFP) process, in 2020 Capital Alliance were selected as the preferred developer to redevelop Sites 11 to 15 of the Revitalising Central Dandenong project. The redevelopment of the site will take place over seven stages and occur over 20 years.

Over the course of the project, Capital Alliance will invest $600 million to develop Sites 11 to 15. They are responsible for the redevelopment of the site including the day-to-day of the project, coordinating relevant stakeholders, obtaining planning approvals and managing the construction of each stage.

Master Plan

Capital Alliance has worked with the Department of Transport and Planning (DOTP) (formerly Department of Environment, Land, Water and Planning ), Development Victoria and City of Greater Dandenong to develop a draft master plan.

The master plan is a high-level strategic document that details the guiding principles and vision of Sites 11 to 15. It establishes a framework for how the precinct will grow and develop including direction on transport, connectivity and movement, urban design, architecture, sustainability objectives and land uses.

The master plan will be used by Capital Alliance to guide future decision making and ensure each stage is developed in line with an overarching vision.

Capital Alliance submitted the master plan to the Department of Transport and Planning in January 2023.

The next steps of the project will see Capital Alliance obtain a Development Plan Overlay (DPO) and subsequent Development Plan (DP), before seeking a permit for Stage 1 of the project.

An update on project timelines will be provided following planning approval.

Construction

Construction of Stage 1 is likely to include a supermarket, a food market hall, retail, commercial and residential development alongside a new Little India.

Stages 2-7 is expected to include:

  • Commercial offices and residential dwellings
  • Education and medical/hospital facilities/health services
  • Community spaces, including spaces for creative and performing arts
  • A hotel and conference centre
  • Entertainment district, cinema and retail spaces

Project Phases

2021 development of draft master plan

  • High-level document that details guiding principles, objectives and the vision for the site.
  • Ensures that the site is developed cohesively over a long period of time.

2022 public consultation of the draft master plan

  • The draft master plan was exhibited to the community by Capital Alliance in March 2022.
  • Consultation sessions hosted during October 2022.
  • Following consultation, Capital Alliance will refine the master plan based on the outcomes of community engagement.

January 2023 - submission of the master plan
  • The final masterplan has been submitted to DOTP in the form of a Development Plan Overlay (DPO) and Development Plan (DP)
  • Capital Alliance is currently working on securing approvals for the DP and DPO
Planning Approval: Stage 1

  • Planning approval for Stage 1 will be sought, in accordance with the DP and DPO.
  • Further details about traffic (number of carparks, traffic assessment), architecture (building form and design), building services (fire engineering, ventilation) and engineering (civil, sound) for Stage 2 will become available during this stage.

Detailed Design Development: Stage 1

  • Leading up to the commencement of construction, the finalisation of traffic (location of loading bays, car parks), architecture (building materials, interior design), building services and engineering for Stage 1 will take place.

Commencement of Construction for Stage 1

  • Construction commences – Completion of Stage 1 is anticipated in late 2026

Planning Approval: Stage 2

  • Planning approval for Stage 2 will be sought, in accordance with the DP and DPO.
  • Further details about traffic (number of carparks, traffic assessment), architecture (building form and design), building services (fire engineering, ventilation) and engineering (civil, sound) for Stage 2 will become available during this stage.

Detailed Design Development: Stage 2

  • Leading up to the commencement of construction, the finalisation of traffic (location of loading bays, car parks), architecture (building materials, interior design), building services and engineering for Stage 2 will take place.

Commencement of Construction: Stage 2

  • Construction commences – Completion of Stage 2 is anticipated in late 2029

Project details on stages 3-7 will be provided closer to the start of the staged work.

Project Partners

The Revitalising Central Dandenong Project is a declared project under the Development Victoria Act 2003. Development Victoria’s role is to manage development within the Declared Project Area and work with stakeholders, such as the City of Greater Dandenong or other state government agencies, to facilitate private industry investment.

Development Victoria is responsible for overseeing the development carried out by Capital Alliance and ensuring that the project progresses in accordance with Victorian State Government policy objectives such as economic development and urban renewal. 

Greater Dandenong Council play a central role as a key stakeholder in the Revitalising Central Dandenong initiative. Council is responsible for facilitating investment, renewal and economic growth opportunities to expand social prosperity and stability. This includes achieving a mix of services and facilities with long-term viability to meet the needs of the wider community and attract people from outside the municipality to live, shop, dine, recreate and access services.

Greater Dandenong Council is regularly consulted about the overall project, including the redevelopment of Sites 11 to 15,  including planning approval process matters. Council acts as an advisor to ensure  the community’s interests and needs are considered at each stage of the project.

The Minister for Planning is the responsible authority for reviewing and deciding on planning permit applications within the Declared Project Area in Central Dandenong. The Minister for Planning will therefore decide on any planning approvals required for Sites 11 to 15. The Department of Transport and Planning (DTP) assist the Minister in their consideration of relevant planning approvals. 

How do I learn more about this project?

Capital Alliance will continue to provide regular updates on the project as it progresses.

Shared vision

Key aspects of the shared vision for the Revitalising Central Dandenong initiative include:

  • Inviting streets that provide easy and safer pedestrian connections around the city by day and by night
  • Less traffic congestion
  • A direct and attractive link connecting the station precinct with the city centre
  • Improved public transport
  • A compact and lively shopping hub with a variety of shops and places to visit
  • A vibrant market well connected to other parts of the city centre
  • More people living and working in the city centre
  • More opportunities for learning
  • Attractive public spaces for people to relax and meet
  • High quality building designs, including high standards of environmental sustainability
  • A character and identity that reflects the multicultural community
  • More life on the streets, colour and green across the city centre

Master plan

The Revitalising Central Dandenong master plan is the 15 to 20 year framework for delivering on the shared vision.

The master plan builds upon central Dandenong's rich history and heritage as a meeting place, a market town and a centre for business, employment, living, learning and retail. The plan was informed by an extensive community consultation process in 2007.

The Revitalising Central Dandenong declared area includes 170 hectares of land in the heart of the Dandenong CBD. The project acquisition area consists of seven hectares.

The declared area shows where new infrastructure is to be provided and the area directly benefiting from investment. It also takes into account existing and future land use patterns and areas for redevelopment.

The Revitalising Central Dandenong declared area was declared on 26 September 2005.

Timeline

2005

  • Community consultation
  • Launch of Metro Village 3175 residential community

2006

  • City of Greater Dandenong opens the iconic Drum Theatre
  • Shared Vision launched – $290 million funding announced
  • Commencement of the Infrastructure Recovery Charge (IRC) as a 5% value capture mechanism, chargeable on total development value

2007

  • Community consultation – RCD master plan
  • RCD master plan launched

2008

  • Grenda Corporation opens new HQ

2009

  • City of Greater Dandenong commences Dandenong Market redevelopment
  • Completion of Arkana, the first commercial and residential building of its size in central Dandenong in 20 years
  • Construction commences on Stockmans Bridge
  • Construction commences on transformation of Lonsdale Street into a green and welcoming boulevard

2010

  • Grocon commences construction on the Government Services Office
  • Dandenong's inaugural participation in the Melbourne Food and Wine Festival
  • Opening of a new western entrance, comprising Stockmans Bridge and the realigned George and Walker Streets
  • Construction commences on Pop-Up-Park – a new recreational facility on Foster Street

2011

  • Construction commences on City Street and Station North Plaza
  • Completion of Lonsdale Street transformation
  • Pop-Up Park completed
  • Completion of City Street and Station North Plaza
  • Government Services Office completed

2012

  • Halpin Way and Settlers Square completed
  • Work commences on new City of Greater Dandenong offices

2013

  • Dandenong Station transit interchange completed

2014

  • Work commences on the Australian Taxation Office building on Walker Street
  • City of Greater Dandenong municipal building completed

2015

  • Work commences on the Quest Apartments building
  • Completion of Australian Taxation Office 

2016

  • Investment attraction continues for education, health, commercial and residential
  • Completion and opening of Quest Apartments

2019

  • Expression of Interest process launched to redevelop sites around Foster Street (Sites 11 to 15)
  • Release of Request for Proposal (RFP) to four shortlisted EOI bidders
  • Delivery and launch of the multi-sport community park on the corner of Cadle and George Streets

2020

  • Capital Alliance selected to deliver next $600 million phase of the redevelopment

16 March trader briefing for Little India traders.

Construction commences on the $13.5 million Salvation Army Community Hub (Site 17) development in June 2021. The development will will stimulate the Dandenong economy and create 200 jobs during construction, delivering community spaces, a place of worship, retail and office space. Once complete, this project will activate the site by providing retail and vital community services and generate a real community feel. The project will also enhance the use of the community sport court delivered by Development Victoria next door.

The Salvation Army and City of Greater Dandenong hosted a sod turning event for the new $13.5m Salvation Army Community Hub development on Site 17 - 7 July 2021. 

The Salvation Army Community Hub officially opened on 11 February 2023. The Hub will provide retail and community services and generate a real community feel. 

Key projects

Australian Taxation Office

The new ATO building on a site between Walker Street and Halpin Way.

State Government Services Office

A stimulating new office development in central Dandenong establishing government services in one easily accessible location.

The City of Greater Dandenong's new municipal building features an integrated community library and a civic plaza (Harmony Square) which includes seating, green space, plantings and a giant screen.

Dubbed the Federation Square of the south east, the civic plaza will feature screenings and events throughout the year and is a great meeting space.

Halpin Way

Halpin Way is named after Sister Ann Halpin (1939—2009), an active community member who founded the Wellsprings for Women drop-in centre and improved opportunities for refugee and migrant women in the Dandenong area. Together with Settlers Square, Halpin Way provides an improved link for pedestrians and cyclists between Dandenong railway station and the city centre.

Lonsdale Street

The transformation of the city’s main street into a green, pedestrian-friendly boulevard.

The multi-sport community court has opened on the corner of Cadle and George Streets. The multi-sport court can play host to a range of sports including basketball, netball and futsal.

Security features include lighting and CCTV, to keep the facility is safe and secure. The multi-sport court was built following a successful trial of a ‘pop-up’ park, at a site to the south along Foster Street, Dandenong.

Settlers Square provides a well-lit and active public meeting and event space for local residents, workers and visitors.

The square’s name acknowledges the early settler activity that established Dandenong’s reputation as a gateway.

A new western entrance into central Dandenong, crossing the railway line and linking Cheltenham Road with central Dandenong.

A $22 million 55-bed serviced apartment building, with commercial and retail space on the ground floor.

Key buildings

City of Greater Dandenong Municipal Building and Civic Square

The City of Greater Dandenong’s new municipal building in central Dandenong includes a public square with seating and a giant screen, as well as a regional library, and council offices.

Stage: Complete, Project duration: 2011- 2014, Architect: Lyons Architects, Developer: City of Greater Dandenong.

Sites 11-15 (Foster Street) redevelopment

Development Victoria took five parcels of land with a total area size of close to two hectares, to market through an Expression of Interest (EOI) process. Following a robust assessment process, four shortlisted bidders were invited to submit a Request for Proposal (RFP). Subject to execution of a Development Agreement with the successful developer in mid-2020, construction will begin, with a proposed completion date of 2030.

Stage: Planning, Project duration: 2019- 2030, Type: Precinct, Architect: MGS, Developer: TBD.

Quest Apartments Hotel

Quest Dandenong Central is a $22 million development, and has been operating since 5 December 2016. It has 95 rooms, and is a 4.5 star serviced apartment building operated by Quest Apartments.

Stage: Complete, Project duration: 2014- 2016, Architect: RPC Architects, Developer: Pellicano Group.

Government Services Hub

The eight-storey Government Services Office (GSO) on the corner of Walker and Thomas streets is a landmark new sustainable office building for Dandenong. The GSO opened in April 2012 and is home to 900 workers from five government departments. The building has a 6-star Green Star rating, features retail space at ground level, and an open-air deck on level four.

Stage: Complete, Project duration: 2010- 2012, Type: Public, Architect: Hassell, Developer: Grocon.

Overview

Following a review of the Infrastructure Recovery Charge (IRC) and consultation with industry and other stakeholders, we are removing the charge on developments occurring on privately-owned land to attract increased private sector investment and stimulate jobs and economic growth.

This will provide a significant boost for Dandenong - the capital of Melbourne’s growing south-east corridor. From 25 February 2021, the IRC no longer applies to developments on privately-owned land within the Revitalising Central Dandenong (RCD) Declared Project Area.

Removing the IRC will provide further incentives to the private sector to invest in Dandenong and deliver community building residential and commercial developments. The IRC will continue to apply to developments on land owned or controlled by Development Victoria, the Victorian Government’s property developer.

The RCD project has been made possible through a $290 million investment from the Victorian Government.

The RCD initiative leverages private sector growth, and is enhancing Dandenong as a place to live, work and visit.

This injection of funds into Dandenong would not be possible without the recovery of a portion of the investment through the IRC, resulting in community benefits including improved amenity and infrastructure.

The IRC came into operation on 1 September 2006 and will remain in place until 31 December 2026, or the date upon which the Government’s investment in the RCD project has been recouped.


 

IRC submission form

For more information please contact

Development Victoria
Level 9
8 Exhibition Street
Melbourne VIC 3000
Ph: 03 8317 3400 

Updated on 04 July 2024