A former tea warehouse in Southbank is set to be transformed under the latest plans to build a new precinct.

The historic Robur Tea House site is set for a hotel, apartment, office, retail and dining hub with its buildings up to 25 storeys high.

The $89m proposal to surround historic Robur Tea House in Southbank with seven new buildings has yet to be considered by the City of &shy;Melbourne.

New buildings between three and 25 storeys tall would be built around it on the 2948 sqm plot.

Apartments are proposed for levels 16-25.

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Developer CostaFox Developments Pty Ltd bought the property for $28 million last year.

The Melbourne developer has a track record of incorporating historic buildings into new developments as in 2014, it won the Australian Property Institute heritage property award for its redevelopment of the former Art Deco Tip Top Bakery, in Brunswick East.

A 2017 application for a 39-storey development of the tea warehouse was rejected by Heritage Victoria.

The six-storey warehouse was built in 1889 at 28 Clarendon Street, then ranked for years after completion as the tallest structure outside of the Melbourne CBD.

CostaFox director Michael Fox told the realestatesource.com.au website that &ldquo;the plan was to create an international hotel with branded residences, a complete refurbishment of the old Tea House building that will include world class retail and hospitality offerings together with a new public realm and forecourt&rdquo;.

A former tea warehouse in Southbank is set to be transformed into a new precinct designed by Oslo architectural practice, Snøhetta

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