The 71-storey Bates Smart-designed tower at on Melbourne’s Southbank has been approved by the Victorian Planning Department, what will be the second tallest building in the city sparking debate about the future of the skyline.

Being built on the site of the Queensbridge Hotel, it will have 592 apartments and 566 car parking spaces.

The $275 million high-rise tower at 276 metres high will be Melbourne's second-tallest building, just below Eureka at 297 metres.

The approval was heralded as starting the ‘new era of super skyscrapers’ in Melbourne, as the city maps out new mandatory height controls in planning for the area.

Melbourne's Lord Mayor Robert Doyle has since voiced concerns about the impact on the riverfront and surrounding area.

"The difficulty is not the architecture of the building, it is what is the culture you are creating at street level," he said on ABC local radio.

Images: Property Observer