Green light for Windsor station hotel

The ex-KJ McGrath Electrical building will be demolished for the hotel.

After four years, SMA Projects has been granted approval to develop a hotel over rail lines at Windsor station.

The Victorian Civil and Administrative Tribunal this week gave the green light for a nine level proposal at 24-26 and 28 Chapel Street.

The proposed 10 level hotel from Chapel Street.

The application was submitted after the City of Stonnington in December rejected a 10 storey plan; with 111 suites and ground floor retail, the construction cost for that complex was estimated at $17.6 million.

In 2017, the developer, led by Martin Strode, sought a permit for a 20 floor tower which was refused by both council and the tribunal.

No objectors at VCAT

Councillor Mike Scott said the tribunal didn’t agree with its view that the 10-storey proposal was too tall, nor that it lacked an on-site pick up/drop off area.

There were no objectors at VCAT, he added (115 locals opposed the project when council was reviewing it).

SMA will need to start building in two years and finish by 2026 (story continues below).

The approval comes more than 15 years since Vicland replaced the street level of a train underpass at nearby 529 Chapel St with a retail and office complex.

In 2018, the same builder won permission to construct another commercial complex on Toorak Road, opposite the South Yarra station.

Also about three years ago, Deal Corp was given the green light for a residential complex on airspace over Glen Iris train tracks.

VicTrack last year listed for sale a prime CBD site beside rail lines, at the south east corner of Flinders and Spring streets.

With the potential to yield three major towers, Cbus Property and Mirvac have been shortlisted as buyers.

More to come.

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Marc Pallisco

A former property analyst and print journalist, Marc is the publisher of