Developer Australand is continuing to profit from the plum land deal it brokered with the Bracks/Brumby government in 2002.
This weekend it will launch another apartment tower, Jardin Parkville, to replace a portion of prime land for years owned by the state government and occupied as a psychiatric hospital.
A spokesman for the developer said 21 of the 91 apartments within the proposed project on Cade Way, Parkville, have already been sold.
One-bedroom flats in Jardin Parkville start at about $370,000, about the price of a house in the area when the government tendered the land to developers 11 years ago.
Australand, with development partner Citta Property Group, beat two other developers to win the tender to transform the 20-hectare site into a village for 6000 athletes and officials before the 2006 Commonwealth Games.
After the Games the consortium transferred 200 units to the government for public housing. Half those are "hostel type" buildings where occupants share facilities.
Australand and Citta are transforming the balance of the Parkville site into a mix of apartments and townhouses. Jardin Parkville will include a residents-only "Park Club", an indoor-outdoor recreation retreat with a 25-metre heated lap pool, gym and free Wi-Fi internet. It will also include two and three-bedroom apartments.