Last month, heritage advocates and city planners called for new rules to compel developers to make their construction hoardings more attractive.

Curtin House has taken up the challenge, recently installing a bright and colourful arthouse facade over its hoarding, which was designed by Melbourne creative studio Open Season.

Grant Gould, manager of Curtin House's Rooftop Bar, said the six-storey building on Swanston Street needed a colourful outfit while it underwent renovations.

"We're only getting a facelift for a few months, but we couldn't bear the thought of being covered in dirty dusty shadecloth," he said.

A proposal to improve hoarding appearance will be discussed at Melbourne City Council's next meeting on Tuesday.

It recommends the current hoarding permit criteria are altered to make it mandatory for developers to beautify their hoarding if it is in place for more than 12 weeks.

Councillor Rohan Leppert, chair of arts, culture and heritage, said Melbourne's development boom had led to grey streets covered in fences, and that needed to change.

"We've got nearly a million people visiting the city every day and making the city more exciting is something we can very happily and easily do," Cr Leppert said.

"The current problem is we require hoardings to be plain and at the discretion of developers, clean and tidy, but there's so many of these around the city at the moment, especially the Hoddle Grid and at Southbank, that it doesn't make for an attractive landscape.

"Rather than having black or chicken-wire blank walls in the city, we will see developers drawing from a beautiful set of colourful designs created by a Melbourne artist."

Council will set minimum standards for the design, including standardised colours, signage and maintenance, with artwork commissioned by one artist or a studio of artists.

"If council establishes a curated and bold singular vision for the city's hoardings, visual clutter in the streetscape will be reduced and quality of design improved," the report said.

"The proposed commissioning process will be for a single compelling creative idea that links together all affected sites. It will deliver an enhanced human experience as people move around the city by providing a connected visual narrative."

The permit will apply to developers building on council-owned or managed land - including footpaths and parklands - but does not include Flinders Street Station or anywhere else undergoing the Melbourne Metro Rail project, as it falls under the state government.

A special policy is already in place in Sydney to keep construction sites from becoming eyesores. The city council requires that any temporary structure in a high-traffic area have images of bespoke art work, historic photographic or graphics that the council provides free of charge.

Cr Leppert said he believed there was enough support for the proposal to be passed on Tuesday.