An industrial site in Bakery Hill will be transformed into offices and housing in a new infill plan

Currently the home of Robert Sim Building Supplies located on Porter Street and Bradby Lane, the development by Hygge Property will contain 75 apartments and over 7000 square-metres of office space in two high-rise buildings.

Designed by architects Six Degrees, known for their work in developing inner-city Melbourne, the planned project will return 20 per cent of the existing land to the 'public realm' as open space, says Hygge Property director Joe Van Dyk.

Hygge has previously completed the Nightingale building in Davey Street and is currently constructing an infill development in Lyons Street North on the former St Joseph's primary school site. It also has projects in Daylesford and Melbourne.

Plans for the development describe the proposal as a 'bookend' to the eastern edge of the CBD, which will 'revitalise and kickstart the urban renewal of the broader Bakery Hill and Bridge Mall precinct.'

The seven-storey office development will face Humffray Street South, while the residential tower will rise to 28m on Bradby Lane as a 'sheer rising' frontage.

The design response for the development notes 'a portion of the residential component is proposed to be set aside for affordable housing'.

Although Robert Sim has been on the site since the 1860s, the area has been excluded from nearby heritage overlays by the City of Ballarat, and no permits will be required for demolition.

However an existing chimney stack on the site, which was part of the company's steam engine drive for machinery and chaff cutting, will be retained in the centre of the development as part of the public open space.

The proposal comes as the council struggles to attain its 50/50 infill vs greenfield development goal, and faces growing resistance to the increasing loss of Ballarat's heritage character.

Joe Van Dyk says his development both 'respects and enhances' the heritage of Bakery Hill while providing nearly 1000 square metres of open public space.

"Bakery Hill was once a densely-populated suburb with multiple heavy industries operating in the area," Mr Van Dyk told The Courier.

"This mix of uses, and the walkability of the suburb, ensured the vibrancy of Bridge Street (Bridge Mall) which was Ballarat's historic commercial heart. Introducing sustainable apartment living and office space can catalyse the revival of this precinct. Ballarat has a growing white collar workforce. Offering high grade office space is critical to attracting premium staff talent to our region.

"The design includes a mix of housing outcomes to ensure housing attainability for a broad demographic."

Ian Phelps of Robert Sim Building Supplies says the 160-year-old hardware merchant will stay put for the near future, while they determine their ongoing business plans. His father purchased the hardware store in 1972.

"This is the council's plan; they want to invigorate the central business area and develop it," Mr Phelps said.

"So we realised that's an opportunity for us. We haven't decided yet whether will relocate or sell the business."

He says other former CBD-based hardware stores such as Gay & Co have moved out to the suburbs, and there was still a need for the specialised moulding work Robert Sim does.

"We've got a point of view that we do all the mouldings and heritage, stuff like that. So there's an opportunity for our business to grow somewhere else, either under our toolage or somebody else's. So that's what we've got to sort out in the next four months, two years, whatever we've got."

Joe Van Dyk says anyone who has has questions or comments on the proposal can visit hyggeproperty.com.au to make contact.