Melbourne's unique laneways and a New York-style elevated public park will be incorporated into a $1.9 billion development linking the CBD with Docklands.
The Melbourne Quarter project, to be built over the next decade, will include seven commercial and apartment buildings and a 2000-square-metre elevated park that will span parts of Wurundjeri Way and Collins Street.
Planning Minister Richard Wynne has approved the first stage of the 2.5-hectare project, to be delivered by Lend Lease, which is opposite Southern Cross Station.
"For me, the real jewel in the crown here is the elevated park," Mr Wynne said on Thursday at a launch of the project.
"New York has its highline and, well, this will be Melbourne's high line."
The park part of the project is expected to be completed by 2018.
Lend Lease managing director Jonathan Emery said the whole project would capture Melbourne's sophisticated feel and liveable qualities.
He said cities around the world were starting to look the same, and Melbourne Quarter would buck that trend.
"To make it for Melbourne, of Melbourne, we looked really hard - the laneway, it's classically Melbourne in an eccentric way. We'll create something uniquely Melbourne that incorporates those things," he said.
Melbourne's bustling laneways are well known for their street art and cafes.