![\"Elgin](\"https:\/\/www.europesays.com\/australia\/wp-content\/uploads\/2026\/06\/Elgin_Towers_May_2026_demolition.jpg\")
<\/p>\nLendlease and Homes Victoria have taken the next step in the revamp of the 1960s public housing development Elgin Towers.\u00a0<\/p>\n
The ageing red-brick towers of 196 apartments deemed no longer fit for modern living have been demolished to make way for a new development of 248 apartments as construction begins.<\/p>\n
The project at the 141 Nicholson Street and 20 Elgin Street site will deliver two towers of 15 and 20 storeys.<\/p>\n
Apartment sizes range from studio to five-bedroom apartments, replacing the apartments built to outdated design standards, according to lead designers Architectus.\u00a0<\/p>\n
Lendlease executive general manager, construction, Victoria Bill Alexandrakis said that the project would \u201ccreate lasting social impact, renew critical housing infrastructure, and provide more Victorians with access to much-needed housing where it\u2019s needed most\u201d.<\/p>\n
The Elgin Towers redevelopment is the first project to be delivered in what has been called Australia\u2019s largest urban renewal initiative that aims to replace 44 public housing towers with new homes.\u00a0<\/p>\n
The project is part of the Victorian Government\u2019s High-Rise Redevelopment Program being delivered as part of Victoria\u2019s Big Housing Build, supported by the Federal Government\u2019s Social Housing Accelerator investment.\u00a0<\/p>\n
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\u25b2 The demolition of Elgin Towers paved the way for construction proper to begin. <\/p>\n
By 2051, the state plans to have all 44 buildings replaced with \u201cbright, modern and accessible new homes\u201d.\u00a0<\/p>\n
It said the program would boost social housing by at least 10 per cent across 39ha of inner-city sites.\u00a0<\/p>\n
Construction on the project at Elgin Towers is expected to complete in 2028 and former residents \u201cwill be able to return based on their eligibility and needs,\u201d the government said.\u00a0<\/p>\n
But the redevelopment program has not been without controversy.\u00a0<\/p>\n
A class action was initiated by residents to prevent the demolition, which was followed by a damning parliamentary committee inquiry in December 2025.<\/p>\n
Subsequent parliamentary reports criticised the proposed ground-lease model, which was called \u201copaque\u201d, and said the program lacked accountability.<\/p>\n
It was recommended that the redevelopment initiative be halted.\u00a0<\/p>\n