PERTH City Council has approved a $130 million, 15-level building in the central city at 374-396 Murray Street, predominantly featuring office space.
The proposed development will also include retail and café spaces on the lower levels which open onto Shafto Lane, as well as public bicycle parking and end-of-journey facilities.
Lord Mayor Lisa Scaffidi said the development would further activate the western end of the city and optimise the site's potential.
"The City's strategic plan encourages cycling and acknowledges that there need to be good facilities for people who choose to cycle to the city," Ms Scaffidi said.
She said the Council approved a 20 per cent bonus plot ratio partly in recognition of the cycling facilities to be provided in the development.
The cycling facilities will include a minimum of 120 secure bicycle parking bays, showers, lockers and a bicycle maintenance workshop operated and managed at the building owner's cost.
There will also be a minimum of 60 secure bicycle parking bays for tenants.
"Another pleasing aspect is the pedestrian activation at street level onto Shafto lane and between Murray and Wellington Streets," Ms Scaffidi said.