VICTORIAN Planning Minister Matthew Guy last week announced he has approved a $195 million, 71-storey development named 'The Falls' at 25 Queensbridge Street, Southbank, which will be Melbourne's fourth tallest building at 236 metres when complete.

"The Falls tower will sit neatly between the approved 276 metre Queensbridge Tower and the currently under construction 255 metre Prima Pearl Tower, giving Southbank one of the tallest and most dramatic skylines in Australia," Mr Guy said.

"The approval of The Falls is consistent with the Victorian Coalition Government's commitment to grow a greater Melbourne CBD and to continue the transformation of the city centre to a world-class, 24-hour city.

"Southbank is becoming a true vertical community, with hundreds more Melburnians expected to call The Falls home, in a precinct that has seen huge population growth over the last twenty years," Mr Guy said.

The Falls will provide a total of 586 apartments and ground floor retail. It will also include communal meeting rooms, a north facing lap pool and spa as well as function rooms, lounges and bars for residents and guests.

"The Coalition Government is committed to providing Melbourne's growing population with inner city residential opportunities in close proximity to transport, restaurants, shops and community infrastructure," Mr Guy said.

"This project ticks all those boxes and Southbank is vital in achieving appropriate high density where people can enjoy the benefits of inner city living."