Development in Dandenong had stagnated since the opening of the Dandenong Plaza shopping centre which resulted in the closure of many shops in the central business district.
Under the Melbourne 2030 policy, Dandenong was classified as a major activity centre due to its central location with regard to its access to transport.
These projects can be considered to be transit-oriented development, where population density is intended to be higher compared to other areas with poorer access to transport.

In 2006, the Victorian Government committed $290 million towards the Revitalising Central Dandenong initiative, to transform central Dandenong into a vibrant and thriving economic and service hub.
The State Government funding was spent on land acquisition and consolidation, delivery of infrastructure upgrades (Londsdale Street, Stockman's Bridge, Station precinct upgrades and public amenity) and facilitation of key catalyst projects such as the Australian Taxation Office, brand new Council Civic Centre and the State Government Services Hub.

Dandenong's redevelopment is undertaken by Development Victoria, a Victorian Government agency responsible for urban renewal, in collaboration with the Greater Dandenong City Council.
The project is a long-term project, expected to continue for 15 to 20 years.

Metro 3175, named after Dandenong's postcode is a major redevelopment of the former Dandenong Livestock Market (established 1866 and closed in 1998) begun in November 2005 consisting of a mixed-use development consisting of 1100 residences as well as cafes and restaurants.
Because the site is isolated from the rest of the central Dandenong area, George Street was widened and extended with a bridge across the railway lines to improve access between the precincts.
The bridge provides access for cars, pedestrians and cyclists and improves connections to bus services in the area.
Additionally, Cheltenham Road, a major east-west arterial has been realigned in order to remove traffic from nearby streets and encourage pedestrian use.

Redevelopment of the Dandenong Town Hall (built 1880) into a performing arts centre  began in 2004 known as Drum Theatre to a designed by Williams Ross Architects.
The centre was redeveloped with a 525-seat proscenium theatre.
At the cost of $13 million, the centre was opened by Victorian Premier Steve Bracks on 11 February 2006.
The redevelopment involved renovating the existing town hall building and the construction of a modern drum-shaped building.
Its striking red colour is prominently visible from nearby streets in the CBD.
There was some controversy over fears the redevelopment would destroy the historic facade of the town hall building, but this proved unfounded.
Development in Dandenong had stagnated since the opening of the Dandenong Plaza shopping centre which resulted in the closure of many shops in the central business district. Under the Melbourne 2030 policy, Dandenong was classified as a major activity centre due to its central location with regard to its access to transport. These projects can be considered to be transit-oriented development, where population density is intended to be higher compared to other areas with poorer access to transport.
In 2006, the Victorian Government committed $290 million towards the Revitalising Central Dandenong initiative, to transform central Dandenong into a vibrant and thriving economic and service hub. The State Government funding was spent on land acquisition and consolidation, delivery of infrastructure upgrades (Londsdale Street, Stockman's Bridge, Station precinct upgrades and public amenity) and facilitation of key catalyst projects such as the Australian Taxation Office, brand new Council Civic Centre and the State Government Services Hub.
Dandenong's redevelopment is undertaken by Development Victoria, a Victorian Government agency responsible for urban renewal, in collaboration with the Greater Dandenong City Council. The project is a long-term project, expected to continue for 15 to 20 years.
Metro 3175, named after Dandenong's postcode is a major redevelopment of the former Dandenong Livestock Market (established 1866 and closed in 1998) begun in November 2005 consisting of a mixed-use development consisting of 1100 residences as well as cafes and restaurants. Because the site is isolated from the rest of the central Dandenong area, George Street was widened and extended with a bridge across the railway lines to improve access between the precincts. The bridge provides access for cars, pedestrians and cyclists and improves connections to bus services in the area. Additionally, Cheltenham Road, a major east-west arterial has been realigned in order to remove traffic from nearby streets and encourage pedestrian use.
Redevelopment of the Dandenong Town Hall (built 1880) into a performing arts centre  began in 2004 known as Drum Theatre to a designed by Williams Ross Architects. The centre was redeveloped with a 525-seat proscenium theatre. At the cost of $13 million, the centre was opened by Victorian Premier Steve Bracks on 11 February 2006. The redevelopment involved renovating the existing town hall building and the construction of a modern drum-shaped building. Its striking red colour is prominently visible from nearby streets in the CBD. There was some controversy over fears the redevelopment would destroy the historic facade of the town hall building, but this proved unfounded.
Dandenong, Victoria