Two major developments slated for Melbourne's north and western suburbs will expand the city's scope and increase population by 37,000.

The first project worth US$4 billion will be build by Stockland with ambitious plans to grow the city's biggest urban development project six times bigger than its business district and capable of housing 30,000 people. One lucky family is set to earn more than US$300 million for selling its sheep grazing property in Lockerbie for the project, said to be the largest sale by a private landholder in Victoria state.

The company will pay US$106.5 million worth of levies following the Growth Areas Infrastructure Contribution. Stockland's Victorian general manager, Andrew Whitson, said the site was the company's largest land transaction and would take 30 years to finish. ''It's the obvious next step for the urban front moving north and we will have strong demand for that property,'' he added.''It's very well serviced for a greenfields site, normally we wouldn't expect ... rail, road, power, sewer and water all virtually to the boundary.''

Another project will take place in the new suburb of Toolern called the Waterford development. The project will build a billion-dollar residential community complete with 3,500 standard and medium-density houses, schools, a shopping center, and parks and tavern. Waterford is being developed by Land Source Australia and will start construction in February with plans to sell 200 lots annually.

Chris Betts, project director for Land Source Australia, told The Age that people buying into the 287-hectare estate expected amenities like shops, schools and parks.''This will be a self-contained community,'' he said. ''They don't have to go up the road, they can walk to the shopping center, have their cup of coffee, go to the gym or the tavern or have a meal. Ultimately this is going to house 6,000 to 7,000 people.''