Demolition has commenced at 42 Moray Street in Southbank, marking the start of Salvo’s latest high-density residential project in Melbourne.
The 56-storey tower, named Moray House, is one of the few large-scale apartment developments to launch in the city this year, despite challenging market conditions.
The $220 million project will transform the 1,200m2 island site into a 180-metre high-rise comprising over 300 apartments, office space, and extensive recreational facilities.
Construction is scheduled to begin in January, with completion expected in early 2027.
James Maitland, Salvo’s Managing Partner, expressed confidence that the project would inject momentum into Melbourne’s apartment market.
“At a time when far fewer apartments are being built, we’re delighted to move ahead with this stunning addition to the city’s skyline,” Maitland stated.
The development has already secured strong pre-sales, with 93 per cent of apartments purchased by owner-occupiers and investors.
This high demand reflects the growing need for urban living spaces in Melbourne, where the rental market is under significant pressure with vacancy rates at historic lows.
Designed by Rothelowman architects with interiors by David Hicks, Moray House will feature a mix of one, two, and three-bedroom apartments, as well as two double-storey penthouses.
The tower will also include six levels of office space, co-working facilities, and two floors dedicated to luxury amenities such as a day spa, yoga room, pool, and gym.
This project comes at a crucial time for Melbourne’s housing market.
The city is facing a significant shortfall in new housing completions, with 2024 likely to see the lowest level of new housing completions in Victoria in the last decade.
The City of Melbourne’s draft target under the Victorian government’s Housing Statement calls for the delivery of 134,000 new homes by 2051, requiring a 122 per cent increase on top of existing homes over the next 27 years.
As Melbourne continues to grapple with housing affordability and supply issues, developments like Moray House play a vital role in addressing the city’s growing housing needs while contributing to the evolving urban landscape of Southbank.
