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Nillumbik Council Approves Traffic Fund, Parks Upgrades, Housing Strategy for Eltham

Recent Nillumbik Council decisions on a traffic fund, park upgrade, gateway plans and housing strategy directly affect how residents move around, use local green spaces and see future development.

By Eltham News Desk · Published 25 July 2026

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This article was written by AI from the linked sources and was not reviewed by a journalist before publishing. Melbourne Weather News is part of The Daily Network and follows our reasonable editorial care.

Nillumbik Council has endorsed a $5 million Eltham Urban Congestion Fund traffic project that drops the 24/7 40km/h Main Road speed limit and installs underground powerlines to support a new shared-use path. The same meeting approved final designs for the Eltham Gateway revitalization, setting tree removal for 33 unsafe trees to start October 3. The Victorian Civil and Administrative Tribunal upheld the council's refusal of two six-storey buildings at Arthur and Dudley Streets. Council is also collecting community input until July 17 on a draft Neighbourhood Character Strategy and Municipal Planning Strategy aimed at 6,500 extra homes by 2051, while a $2 million upgrade at Eltham Lower Park funded by the Australian Government's Investing in Our Communities program has begun.

Traffic changes affect daily travel

The endorsed traffic project responds to more than 900 community contributions received during consultation. Residents who use Main Road regularly will notice the removal of the constant 40km/h limit and the addition of underground powerlines that clear space for the shared path. These adjustments change how people drive, cycle and walk along the main corridor without adding new restrictions that had drawn local concern.

Park upgrade improves access and facilities

The $2 million Eltham Lower Park upgrade, supported by the Australian Government's Investing in Our Communities program, has now started. The works follow earlier community consultation and will deliver practical improvements to the sports pavilion used by the Lower Eltham Cricket Club and Eltham Lacrosse Club. Local users gain better accessibility and functionality at one of the suburb's key recreation sites.

Development decisions and future housing input

VCAT's ruling on the Arthur and Dudley Streets proposal confirms the council's stance that six-storey height and limited landscaping were not suitable. At the same time, the draft Neighbourhood Character Strategy and Municipal Planning Strategy remain open for comment until July 17. The documents will set the framework for accommodating 6,500 extra homes by 2051, giving residents a direct opportunity to shape how growth occurs in established streets and neighbourhoods.

These steps together determine how Eltham balances movement, open space and new housing in the coming years. Residents can review the planning documents and submit feedback before the July 17 deadline through the channels listed on the Nillumbik Council website.

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