PLANNING Minister Matthew Guy today announced that he has approved a planning permit for two residential towers in Melbourne's CBD at 151-165 Franklin St.

The approved towers, at 29 stories (88 metres) and 45 stories (143 metres) respectively, will provide a total of 810 residential apartments, accommodating up to 1500 new city residents. The towers will also feature ground floor retail space and associated parking.

Mr Guy said that this area of the city was undergoing significant transformation with other recently completed residential developments nearby.

"Melbourne is a vibrant city and the development will further provide for inner city housing choice in an area well supported by transport routes and existing infrastructure," Mr Guy said.

Mr Guy said the development responds to the needs of the city community by providing for an architecturally designed development, with ground level laneway links and active street frontages.

"It is also close to excellent facilities such as the Queen Victoria Market and Melbourne Central shopping complex," Mr Guy said.