Melbourne City Council has unveiled its vision for the city for the next 20 years.
It predicts the population of the inner city will grow to 1.1 million people by 2030.
Several areas have been earmarked for intensive development.
New residential zones will be built in Elizabeth Street and around transport hubs in Kensington, West Melbourne and the E gate site near the Docklands.
Councillor Peter Clarke says renewing existing city spaces will be the key.
“We are looking to accommodate that through a range of urban renewal projects whether they be projects called E gate or other intensification projects around Elizabeth Street or through the Moonie Ponds corridor,” he said.
But he stresses heritage areas of Melbourne will be protected.
The council’s seeking public comment on its plan before finalising the strategy in 18 months.