Frankston’s skyline is set for another shake up, with councillors giving the green light to three major mixed use towers along Nepean Highway.
At the 8 December council meeting, an “unprecedented” trio of projects worth a combined $137 million was approved. Together they will deliver 312 new apartments, 388 car parks and new ground floor retail, hospitality and office space across key sites in the Frankston Metropolitan Activity Centre.
Council links building surge to activity centre plan
Council is pointing to the Frankston Metropolitan Activity Centre (FMAC) Structure Plan as a key reason developers are choosing the Nepean Highway strip.
Mayor Kris Bolam said the three approvals showed the planning framework is giving investors a clear roadmap while keeping decisions in local hands.
“These approvals affirm the strategic and practical work driving Frankston’s transformation – from an unassuming seaside town to a regional waterfront city”
He said it was unusual for a suburban council to deal with three major projects of this scale in a single sitting.
“Securing three major developments in a single meeting is exceptional and virtually unprecedented for an outer suburban council. It reflects the deep confidence investors have in Frankston City’s future and proves that our city isn’t just growing, it’s booming”
What has been approved
431 Nepean Highway
The first development sits between the Quest apartments and Dan Murphy’s on Nepean Highway.
The permit allows for:
- A 14 storey mixed use building
- 138 apartments
- Four ground floor shops
- A rooftop terrace with bay views
- Secure parking accessed from Keys Street
347–349 Nepean Highway
The second project is on the corner of Mereweather Avenue, on the edge of the main highway strip in an area Council describes as undergoing “significant gentrification”.
The plans include:
- A 10 storey mixed use building
- 69 apartments
- A ground floor food and drink venue
- A communal rooftop terrace
- Three basement levels of secure parking
Council has linked the proposal to broader change around the former Ambassador site, where a new Sinopec facility has been built. The adjoining property has also lodged a similar scale development, with a decision due in 2026.
424–426 Nepean Highway
The third decision revises an existing permit running from Beach Street through to Kananook Creek Boulevard.
The updated plans:
- Keep the total at 105 apartments
- Adjust the internal layout
- Increase bicycle parking
- Refine the apartment mix
Following Council’s decision, the applicant withdrew a Victorian Civil and Administrative Tribunal (VCAT) appeal over upper level changes, which Council says removes the final legal hurdle to construction.
Business and advocacy groups backing the shift
Local advocacy group Advance Frankston founder Garry Ebbott described the meeting as a turning point.
“Monday night’s council meeting was historic with all three developments approved without a single word of opposition. The time is now for Frankston to bloom.”
Developer Own Your Own Block, which has projects along the corridor, said the current planning settings had encouraged it to stay active in the city.
“We have confidence in Council’s vision and planning processes. That confidence is why we chose to re-engage with the process. We believe Frankston is heading in the right direction and we want to be part of that journey.”
Frankston Business Collective chair David Friend linked the new towers to a broader shift in how Nepean Highway is used.
“More residents and more businesses mean more activation, jobs and investment. The Nepean Highway is no longer simply a thoroughfare to the Mornington Peninsula, it’s becoming a destination; a place people and businesses want to call home.”
Urban DC director Danny Ciarma said the volume of proposals now moving through Council had reinforced their decision to invest.
“The sheer volume of planning proposals now moving through Council’s pipeline validates UrbanDC’s decision to invest in Frankston. The city is exploding with opportunity, and it’s clear we made the right call”
New hotel proposal on the horizon
Alongside the three approved projects, Council has confirmed a fresh planning application that could bring a major hotel brand back into the city.
Mayor Bolam said a newly submitted permit includes a proposal for a large hotel, which would be the first new hotel development in Frankston in 15 years if approved. He said it would lift the city’s capacity to host larger events.
“From business conferences to major sporting events, demand is there. What’s been missing is enough hotel stock. Planning lodgements like this are both very encouraging and welcome”
He said Frankston’s recent re entry into the Mornington Peninsula Regional Tourism Board was expected to help uncover new opportunities.
Frankston’s renewed role on the regional tourism board, he said, is intended to support efforts to attract major events and visitors at a time when new short term accommodation and hotel proposals are being explored with Council.
Part of a wider development pipeline
The Nepean Highway approvals sit within a wider surge in multi storey projects.
Over the past six months, Council reports that five major developments have been approved, representing $231 million in private investment. These include the $140 million Harbour Frankston build, which is already under construction, and Pace’s $91 million tower at the former cinema site.
The latest towers are also tied to the Nepean Boulevard Precinct Revitalisation project, billed as a $60 million co funded upgrade, with an extra $10 million contribution from Council. The works aim to turn Nepean Highway into a “safer, greener, people focused boulevard” that better connects the city centre and waterfront.
Growth, housing demand and incentives
Council forecasts Frankston’s population will rise beyond 150,000 by 2051. It says this will require about 33,000 additional homes and more than 50,000 square metres of new retail and hospitality space.
Mayor Bolam has framed the new approvals as part of the city’s response to that growth.
“Frankston City is rising, and these developments show what becomes possible when a city invests in itself. We welcome this momentum, and we’re ready to turn these development opportunities into real, usable spaces for our city.”
“These projects will boost visitation and strengthen Frankston as a destination. We’re working to expand all forms local stay options — including short-term accommodation — to support that growth.”
To support higher density development and housing access, Council is continuing to promote several measures:
- A Priority Fasttrack Program that offers a 16 week assessment timeframe for qualifying major applications
- A First Home Buyer Subsidy that provides eligible purchasers with a one off $1,000 payment
- A differential rate on long term vacant commercial properties intended to reduce land banking, encourage activation and support local businesses
Council says these settings, combined with the FMAC Structure Plan and Nepean Boulevard works, are designed to keep private investment and strategic planning moving in step along the corridor.
