Mixed-Use Tower Wins Council Approval Near Craigieburn Town Centre

Hume City Council granted planning approval this week for a mixed-use development at 142-148 Craigieburn Road East, a site that has sat vacant since a former service station was demolished in late 2023. The approved scheme calls for nine storeys, 214 apartments, ground-floor retail tenancies, and a basement car park with 187 spaces. Construction is expected to start before the end of the 2026 calendar year.

The timing matters. Craigieburn's population has grown sharply over the past decade, and the Craigieburn Town Centre has struggled to absorb demand for higher-density housing close to transit. The Victorian Government's Housing Statement, released in 2023, set targets for councils in Melbourne's growth corridors to accelerate approvals near train stations. This project sits roughly 400 metres from Craigieburn Station, well inside the 800-metre walkable catchment that state planning policy prioritises for density.

What Gets Built, and Where

The development is the work of a local consortium operating as Northpoint Urban Group, which lodged its application with Hume City Council in October 2024. The design was prepared by a planning firm and revised twice after council requested changes to setbacks along the Craigieburn Road East frontage and to the proportion of two-bedroom versus one-bedroom units. The final approval specifies that at least 30 percent of dwellings must be two-bedroom or larger, a condition inserted partly in response to submissions from residents near the adjacent Highgate Hill Boulevard precinct, who argued the original design skewed too heavily toward studio apartments.

Ground-floor retail space totals approximately 640 square metres, divided into four tenancies. Council documents describe the intention for at least one food-and-beverage operator, with the remaining three tenancies designated for general retail. The developer has not yet announced any signed tenants.

Two affordable housing units are included under a voluntary planning agreement. That figure is modest relative to the total yield, and community groups including the Craigieburn Residents Network have publicly called for a higher proportion. Council planning officers noted in their assessment report that the voluntary agreement exceeded what could be mandated under current planning scheme provisions.

Prices and the Local Market

Apartment supply in the Craigieburn Town Centre corridor has been thin. According to PropTrack data published in June 2026, the median unit price in the Craigieburn postcode, 3064, sat at $468,000, up roughly 6 percent over the previous 12 months. That figure reflects a market where detached house prices have outpaced unit prices for several years, suppressing apartment development viability and making approvals like this one harder to stack up financially.

Off-the-plan pricing for the Northpoint project has not been publicly released, but comparable developments along the Upfield and Sunbury rail corridors have listed two-bedroom apartments in the $490,000 to $540,000 range. Pre-sales are expected to open in the September quarter of 2026, ahead of a formal construction tender process.

The site's proximity to Craigieburn Central shopping centre, the suburb's main retail anchor on Craigieburn Road, is likely to feature prominently in the sales pitch. Walking time between the two is under five minutes.

Practical implications for existing residents are worth watching. Construction on a nine-storey building typically runs 24 to 30 months, meaning the earliest likely completion would be late 2028 or early 2029. Traffic management during the build will require a separate approval from VicRoads given the Craigieburn Road East frontage. Council's permit includes a condition requiring a Construction Management Plan to be submitted and endorsed before any works begin.

Anyone who lodged a formal objection during the application period has 28 days from the date of the permit, issued on July 3, 2026, to apply for a review at the Victorian Civil and Administrative Tribunal. Northpoint Urban Group has confirmed it intends to proceed, and the permit lapses if works have not commenced within two years.

This article is general information only and is not personal financial or investment advice. Consider your own circumstances and seek licensed professional advice before making financial decisions.