the subject site — Change of Use in the Capital City Zone (CCZ1)
The most important thing to understand first: your use is very likely permissible, but the specific use term matters enormously.
Before walking through any clause, the foundational step for any change-of-use at this address is re-characterising the proposed use under the Clause 73.03 land use terms in the Victoria Planning Provisions. You have not stated your specific proposal, so this Insight works through the framework that applies regardless of what use you intend — and flags the critical distinctions that will determine whether you need a permit, whether the use is permitted at all, and what the key controls are.
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Zone: Capital City Zone Schedule 1 (CCZ1)
the subject site sits in the Capital City Zone Schedule 1 (CCZ1) — the zone that applies to the Melbourne CBD and immediate surrounds. The CCZ is one of the most permissive zones in the Victorian planning system. The use table under Clause 37.04 (CCZ base clause) and its Schedule 1 permits a very wide range of uses, including Office, Retail premises (including Shop and Food and drinks premises), Accommodation, Place of assembly, Education centre, Medical centre, and many others, either as Section 1 (no permit required) or Section 2 (permit required, discretionary). Very few uses are Section 3 (prohibited) in the CCZ.
For a change-of-use assessment, the key starting question is: what Section of the use table does your proposed use fall into? Common uses at the subject site addresses include:
- Office / professional services — typically Section 1 in CCZ1 (no permit required for the use itself, though works may trigger other permits)
- Food and drinks premises (café, restaurant, bar) — typically Section 2 (permit required) or Section 1 with conditions depending on floor area
- Retail premises / Shop — typically Section 1 or Section 2 depending on floor area and schedule conditions
- Accommodation / serviced apartments — typically Section 2
- Childcare centre / Education centre — typically Section 2
- Place of assembly (gym, gallery, community space) — typically Section 2
Because the CCZ1 schedule text was not loaded in this Insight (see Caveats), we cannot confirm precise Section 1/2/3 classifications or any schedule-specific conditions from the ordinance text directly. Confirm the Section status for your specific use with the City of Melbourne planning scheme or a planner.
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Heritage Overlays: HO504 and HO565 — This Is the Dominant Control
The property carries two Heritage Overlays — HO504 and HO565. This is the single most material planning control for any change-of-use at this address that involves any physical works, signage, or changes to the external appearance of the building.
Under Clause 43.01-1 (Heritage Overlay), a planning permit is required to:
- Construct a building or construct or carry out works
- Externally alter a building by structural work, rendering, sandblasting, or in any other way — the 'in any other way' limb is intentionally very broad and catches new windows, doors, awnings, security fittings, air-conditioning condensers, solar panels, and any change to the external envelope
- Construct or display a sign — this is a separate permit trigger under Cl 43.01-1 and applies to EVERY sign on an HO lot, regardless of the Cl 52.05 signage category
- Demolish or remove a building in whole or in part
Two separate HO schedules apply. HO504 and HO565 may have different significance statements, paint-control settings, and internal-alteration control settings. Without the schedule text loaded, we cannot confirm which specific controls each schedule imposes. The most cautious and correct approach is to assume BOTH schedules require a permit for external works and signage until confirmed otherwise. A heritage consultant should be engaged early to advise on significance and likely conditions.
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Design and Development Overlays: DDO1 and DDO10
The property carries two Design and Development Overlays — DDO1 and DDO10. DDO overlays primarily regulate built form (height, setbacks, design quality), but they also set application requirements that must be met when a permit is required for any reason. If you are lodging a permit application for the use, or for associated buildings and works, the DDO application requirements will need to be addressed.
For a pure change-of-use application with no external works, DDO controls may not be directly triggered. However, if any works are proposed — even internal works that are visible externally, or new signage — the DDO built-form controls will apply to those works. Without the DDO1 and DDO10 schedule text loaded, we cannot quote the specific height limits, setback requirements, or design standards that apply. Confirm these from the Melbourne planning scheme DDO schedules.
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Public Acquisition Overlay: PO1
The property is affected by a Public Acquisition Overlay (PO1) under Clause 45.01. This means part or all of the lot is reserved for future acquisition by a public authority. The acquiring authority and purpose are defined in the PO1 schedule (which was not loaded). The PAO has significant implications:
- The acquiring authority has right-of-first-refusal to buy the land
- Development that would increase compensation payable may be refused
- The overlay does not prevent all use and development, but the responsible authority must consider the interests of the acquiring authority when deciding any permit application
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Environmental Significance Overlay: ESO2
ESO2 (Environmental Significance Overlay Schedule 2) under Clause 42.01 applies to this lot. ESO overlays can impose use-related restrictions and trigger permit requirements for certain works. Without the ESO2 schedule text loaded, we cannot confirm whether the ESO2 schedule imposes any use restrictions or only applies to buildings and works. Confirm the ESO2 schedule requirements with City of Melbourne. For most commercial change-of-use proposals in the CBD, ESO2 is unlikely to be a principal constraint, but it must be checked.
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Particular Provisions
Clause 52.06 — Car Parking
A change of use almost always changes the parking demand, which makes Clause 52.06 a central trigger. The key calculation is:
- Determine the Car Parking Requirement Map category for this location. the subject site is in the Melbourne CBD — this is very likely Category 2 or Category 3 on the DTP Car Parking Requirement Map, which applies significantly lower (or zero minimum) parking rates compared with Category 1 suburban areas. At Category 3 (which commonly applies in principal activity centres), minimum parking requirements for many uses drop to zero — but you must confirm the map category for this specific lot.
- Look up the parking rate for your proposed use from Cl 52.06-5 Table 1 at the applicable category. For example:
- Deduct the credit for the existing lawful use. If the building has been in continuous use as, say, an Office, and you are converting to a Food and drinks premises, the net change in parking demand is what triggers the requirement — not the gross requirement for the new use alone.
- If the net new demand cannot be met on-site (which is virtually certain at a CBD tower address where no on-site parking is typically provided by individual tenants), a Clause 52.06-3 reduction permit may be required. However, in a high-accessibility CBD location with strong public transport, the case for a parking reduction is very strong — proximity to Melbourne Central, Flinders Street and Flagstaff stations, extensive tram network, and cycling infrastructure all support a reduction argument.
Clause 52.05 — Advertising Signs
The Cl 52.05-3 gazetted signage category for this lot (CCZ zone) is Category 1 — Commercial areas. Under Category 1, business identification signs are generally permitted with fewer restrictions than residential zones, but signage permit requirements still apply depending on sign type and display area. Note that the Heritage Overlay trigger for signage is independent of and in addition to the Cl 52.05 category — on an HO lot, EVERY sign requires a permit under Cl 43.01-1 regardless of Category 1 status.
Clause 52.34 — Bicycle Facilities
For non-residential uses, Cl 52.34 requires bicycle parking at rates set in Table 1. For example, Food and drinks premises requires 1 employee space per 100 m² and 1 visitor space per 200 m². Office requires 1 per 300 m² (employee) and 1 per 1,000 m² (visitor). If a permit is required for the change of use, bicycle parking compliance will need to be demonstrated. End-of-trip facilities (showers, change rooms, lockers) are required where 5 or more employee bicycle spaces are needed. Many CBD office buildings have centralised end-of-trip facilities — confirm whether the building's shared facilities can satisfy this requirement.
Clause 62.02-2 — Fitout-Only Internal Works
If your change of use involves NO external works — purely internal fitout only — Clause 62.02-2 exempts internal building works from the permit requirement for buildings and works. This means the fitout itself does not require a permit. However, this exemption does NOT cover:
- Any change to the external appearance of the building
- New signage (which is always a separate trigger)
- Changes to use that are Section 2 in the zone (the use still needs a permit)
- Works that trigger the Heritage Overlay (HO always needs its own assessment)
If the building has been lawfully and continuously used for a particular purpose, Clause 63 may give existing use rights that allow the use to continue even if the planning scheme now requires a permit or prohibits the use. If you are converting from a use that has existing use rights, the transition to the new use still requires normal assessment — existing use rights attach to the EXISTING use, not the proposed new use. This is a factual question requiring documentation (leases, rates notices, fit-out history) — flag it with a planner if the building has had a long-standing use.
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Summary: Permit Required?
For a change of use at the subject site, whether a permit is required depends on:
- The specific use — most uses in CCZ1 are Section 2 (permit required) or Section 1 with conditions. Office may be Section 1 without a permit. Most other uses will require a permit for the use itself.
- Whether any external works or signage are proposed — if yes, the Heritage Overlay (HO504 and/or HO565) triggers a mandatory permit under Cl 43.01-1 regardless of use classification.
- Parking — if there is a net new parking demand that cannot be provided, a Cl 52.06-3 reduction permit may also be required.
For an Office use with only internal fitout and no new external signage, a permit may NOT be required for the use or works — but signage will still need assessment against the HO schedules.