The Victorian Government’s Activity Centre Program represents one of the most significant shifts to Melbourne’s residential development landscape in decades. Designed to increase housing supply around key transport hubs, the reforms introduce new planning controls including the Housing Choice and Transport Zone (HCTZ), revised built form controls, and streamlined approval pathways. Stage 1 controls came into effect during 2025, with expansion centres formally implemented in early 2026 and further rollouts expected throughout the year.<\\/p>\\n
What the Reforms Mean for Development Potential<\\/strong><\\/p>\\n For sites transitioning from the General Residential Zone (GRZ) into the HCTZ, the uplift in development potential is significant. Many sites previously constrained to three-storey outcomes can now reasonably achieve four to six levels, subject to site-specific considerations and compliance with the new controls. This additional density has shifted project feasibilities across numerous activity centre locations, improving the viability of delivering more dwellings per site.<\\/p>\\n Equally significant is the introduction of deemed-to-comply pathways. Historically, planning approvals have involved lengthy negotiations and uncertainty around built form outcomes. The new framework establishes clearer development parameters, giving developers, investors and landowners a higher degree of confidence when assessing opportunities and a more efficient path to permit.<\\/p>\\n Hub’s Experience on the Ground<\\/strong><\\/p>\\n At Hub Property Group, these reforms have already generated tangible value. Several of our existing projects are being reassessed and progressed through planning amendments or new permit applications to capture the increased development potential available under the revised controls. In several cases, the additional yield has translated into substantial feasibility improvements and enhanced projected client returns.<\\/p>\\n The reforms have also shaped our acquisition strategy. Hub has secured two sites within newly rezoned HCTZ precincts where planning uplift has materially improved both development outcomes and investment performance.<\\/p>\\n Timing and Considerations<\\/strong><\\/p>\\n While the opportunities are compelling, timing matters. As the market becomes more familiar with the new zones, vendor expectations and land values are likely to rise, compressing future acquisition upside. There is also an element of policy uncertainty heading into the upcoming state election, with the possibility of a new government modifying or delaying subsequent stages of the programme.<\\/p>\\n Separately, the Victorian Government is proposing new developer contribution charges on a per-dwelling basis, anticipated later this year. Securing planning approvals ahead of their introduction may provide meaningful cost savings and protect project feasibility.<\\/p>\\n Our View<\\/strong><\\/p>\\n Hub views the Activity Centre reforms as a positive and transformative shift for Melbourne’s residential development sector. The combination of increased development capacity, improved planning certainty and stronger feasibility outcomes is creating real opportunities for landowners and developers alike.<\\/p>\\n To understand how these changes may affect your property, project or acquisition strategy, contact Hub Property Group’s Transactions and Advisory team.<\\/p>\\n <\\/p>\\n Words by David Walker The Victorian Government’s Activity Centre Program represents one of the most significant shifts to Melbourne’s residential development landscape in decades. Designed to increase housing supply around key transport hubs, the reforms introduce new planning controls including the Housing Choice and Transport Zone (HCTZ), revised built form controls, and streamlined approval pathways. Stage 1 controls came into effect during 2025, with expansion centres formally implemented in early 2026 and further rollouts expected throughout the year. What the Reforms Mean for Development Potential For sites transitioning from the General Residential Zone (GRZ) into the HCTZ, the uplift in development potential is significant. Many sites previously constrained to three-storey outcomes can now reasonably achieve four to six levels, subject to site-specific considerations and compliance with the new controls. This additional density has shifted project feasibilities across numerous activity centre locations, improving the viability of delivering more dwellings per site. Equally significant is the introduction of deemed-to-comply pathways. Historically, planning approvals have involved lengthy negotiations and uncertainty around built form outcomes. The new framework establishes clearer development parameters, giving developers, investors and landowners a higher degree of confidence when assessing opportunities and a more efficient path to permit. Hub’s Experience on the Ground At Hub Property Group, these reforms have already generated tangible value. Several of our existing projects are being reassessed and progressed through planning amendments or new permit applications to capture the increased development potential available under the revised controls. In several cases, the additional yield has translated into substantial feasibility improvements and enhanced projected client returns. The reforms have also shaped our acquisition strategy. Hub has secured two sites within newly rezoned HCTZ precincts where planning uplift has materially improved both development outcomes and investment performance. Timing and Considerations While the opportunities are compelling, timing matters. As the market becomes more familiar with the new zones, vendor expectations and land values are likely to rise, compressing future acquisition upside. There is also an element of policy uncertainty heading into the upcoming state election, with the possibility of a new government modifying or delaying subsequent stages of the programme. Separately, the Victorian Government is proposing new developer contribution charges on a per-dwelling basis, anticipated later this year. Securing planning approvals ahead of their introduction may provide meaningful cost savings and protect project feasibility. Our View Hub views the Activity Centre reforms as a positive and transformative shift for Melbourne’s residential development sector. The combination of increased development capacity, improved planning certainty and stronger feasibility outcomes is creating real opportunities for landowners and developers alike. To understand how these changes may affect your property, project or acquisition strategy, contact Hub Property Group’s Transactions and Advisory team. Words by David Walker
\\nHead of Transaction and Advisory<\\/p>\\n\",\"cats\":[{\"term_id\":6,\"name\":\"Market\",\"slug\":\"market\",\"term_group\":0,\"term_taxonomy_id\":6,\"taxonomy\":\"topics\",\"description\":\"\",\"parent\":0,\"count\":28,\"filter\":\"raw\",\"term_order\":\"0\"}],\"seo\":false,\"cats_all\":[{\"wordpress_id\":2,\"title\":\"Construction update\",\"slug\":\"update\"},{\"wordpress_id\":6,\"title\":\"Market\",\"slug\":\"market\"},{\"wordpress_id\":17,\"title\":\"Projects\",\"slug\":\"projects\"},{\"wordpress_id\":5,\"title\":\"Team\",\"slug\":\"team\"}]}","thumbnail_image":{"ID":3014,"id":3014,"title":"THumbnail opinion piece","filename":"THumbnail-opinion-piece.jpg","filesize":743563,"url":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","link":"https://admin.hubpropertygroup.com.au/news/victorias-activity-centre-reforms-new-opportunities-for-property-owners-and-developers/thumbnail-opinion-piece/","alt":"","author":"7","description":"","caption":"","name":"thumbnail-opinion-piece","status":"inherit","uploaded_to":3013,"date":"2026-06-16 05:54:16","modified":"2026-06-16 05:54:16","menu_order":0,"mime_type":"image/jpeg","type":"image","subtype":"jpeg","icon":"https://admin.hubpropertygroup.com.au/wp-includes/images/media/default.png","width":1500,"height":1932,"sizes":{"thumbnail":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece-116x150.jpg","thumbnail-width":116,"thumbnail-height":150,"medium":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece-233x300.jpg","medium-width":233,"medium-height":300,"medium_large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","medium_large-width":768,"medium_large-height":989,"large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece-795x1024.jpg","large-width":795,"large-height":1024,"1536x1536":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","1536x1536-width":1193,"1536x1536-height":1536,"2048x2048":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","2048x2048-width":1500,"2048x2048-height":1932,"full_width":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","full_width-width":1500,"full_width-height":1932,"medium2":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","medium2-width":1500,"medium2-height":1932}},"media_type":"image","image":{"ID":3014,"id":3014,"title":"THumbnail opinion piece","filename":"THumbnail-opinion-piece.jpg","filesize":743563,"url":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","link":"https://admin.hubpropertygroup.com.au/news/victorias-activity-centre-reforms-new-opportunities-for-property-owners-and-developers/thumbnail-opinion-piece/","alt":"","author":"7","description":"","caption":"","name":"thumbnail-opinion-piece","status":"inherit","uploaded_to":3013,"date":"2026-06-16 05:54:16","modified":"2026-06-16 05:54:16","menu_order":0,"mime_type":"image/jpeg","type":"image","subtype":"jpeg","icon":"https://admin.hubpropertygroup.com.au/wp-includes/images/media/default.png","width":1500,"height":1932,"sizes":{"thumbnail":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece-116x150.jpg","thumbnail-width":116,"thumbnail-height":150,"medium":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece-233x300.jpg","medium-width":233,"medium-height":300,"medium_large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","medium_large-width":768,"medium_large-height":989,"large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece-795x1024.jpg","large-width":795,"large-height":1024,"1536x1536":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","1536x1536-width":1193,"1536x1536-height":1536,"2048x2048":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","2048x2048-width":1500,"2048x2048-height":1932,"full_width":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","full_width-width":1500,"full_width-height":1932,"medium2":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","medium2-width":1500,"medium2-height":1932}},"thumbnail_media":{"media_type":"image","image":{"ID":3014,"id":3014,"title":"THumbnail opinion piece","filename":"THumbnail-opinion-piece.jpg","filesize":743563,"url":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","link":"https://admin.hubpropertygroup.com.au/news/victorias-activity-centre-reforms-new-opportunities-for-property-owners-and-developers/thumbnail-opinion-piece/","alt":"","author":"7","description":"","caption":"","name":"thumbnail-opinion-piece","status":"inherit","uploaded_to":3013,"date":"2026-06-16 05:54:16","modified":"2026-06-16 05:54:16","menu_order":0,"mime_type":"image/jpeg","type":"image","subtype":"jpeg","icon":"https://admin.hubpropertygroup.com.au/wp-includes/images/media/default.png","width":1500,"height":1932,"sizes":{"thumbnail":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece-116x150.jpg","thumbnail-width":116,"thumbnail-height":150,"medium":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece-233x300.jpg","medium-width":233,"medium-height":300,"medium_large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","medium_large-width":768,"medium_large-height":989,"large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece-795x1024.jpg","large-width":795,"large-height":1024,"1536x1536":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","1536x1536-width":1193,"1536x1536-height":1536,"2048x2048":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","2048x2048-width":1500,"2048x2048-height":1932,"full_width":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","full_width-width":1500,"full_width-height":1932,"medium2":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/THumbnail-opinion-piece.jpg","medium2-width":1500,"medium2-height":1932}},"video":false,"video_embed":null},"thumbnail_text":"","news_media":[{"media_type":"image","image":{"ID":3015,"id":3015,"title":"Hero_Activity Centres","filename":"Hero_Activity-Centres.jpg","filesize":537550,"url":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/Hero_Activity-Centres.jpg","link":"https://admin.hubpropertygroup.com.au/news/victorias-activity-centre-reforms-new-opportunities-for-property-owners-and-developers/hero_activity-centres/","alt":"","author":"7","description":"","caption":"","name":"hero_activity-centres","status":"inherit","uploaded_to":3013,"date":"2026-06-16 05:56:28","modified":"2026-06-16 05:56:28","menu_order":0,"mime_type":"image/jpeg","type":"image","subtype":"jpeg","icon":"https://admin.hubpropertygroup.com.au/wp-includes/images/media/default.png","width":841,"height":594,"sizes":{"thumbnail":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/Hero_Activity-Centres-150x106.jpg","thumbnail-width":150,"thumbnail-height":106,"medium":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/Hero_Activity-Centres-300x212.jpg","medium-width":300,"medium-height":212,"medium_large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/Hero_Activity-Centres.jpg","medium_large-width":768,"medium_large-height":542,"large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/Hero_Activity-Centres.jpg","large-width":841,"large-height":594,"1536x1536":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/Hero_Activity-Centres.jpg","1536x1536-width":841,"1536x1536-height":594,"2048x2048":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/Hero_Activity-Centres.jpg","2048x2048-width":841,"2048x2048-height":594,"full_width":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/Hero_Activity-Centres.jpg","full_width-width":841,"full_width-height":594,"medium2":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/Hero_Activity-Centres.jpg","medium2-width":841,"medium2-height":594}},"video":false,"video_embed":null},{"media_type":"image","image":{"ID":3017,"id":3017,"title":"hero_DW","filename":"hero_DW-1.jpg","filesize":235014,"url":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/hero_DW-1.jpg","link":"https://admin.hubpropertygroup.com.au/news/victorias-activity-centre-reforms-new-opportunities-for-property-owners-and-developers/hero_dw-2/","alt":"","author":"7","description":"","caption":"","name":"hero_dw-2","status":"inherit","uploaded_to":3013,"date":"2026-06-16 06:09:20","modified":"2026-06-16 06:09:20","menu_order":0,"mime_type":"image/jpeg","type":"image","subtype":"jpeg","icon":"https://admin.hubpropertygroup.com.au/wp-includes/images/media/default.png","width":841,"height":594,"sizes":{"thumbnail":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/hero_DW-1-150x106.jpg","thumbnail-width":150,"thumbnail-height":106,"medium":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/hero_DW-1-300x212.jpg","medium-width":300,"medium-height":212,"medium_large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/hero_DW-1.jpg","medium_large-width":768,"medium_large-height":542,"large":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/hero_DW-1.jpg","large-width":841,"large-height":594,"1536x1536":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/hero_DW-1.jpg","1536x1536-width":841,"1536x1536-height":594,"2048x2048":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/hero_DW-1.jpg","2048x2048-width":841,"2048x2048-height":594,"full_width":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/hero_DW-1.jpg","full_width-width":841,"full_width-height":594,"medium2":"https://admin.hubpropertygroup.com.au/wp-content/uploads/2026/06/hero_DW-1.jpg","medium2-width":841,"medium2-height":594}},"video":false,"video_embed":null}],"news_content":"
\nHead of Transaction and Advisory