The City of Melbourne will consider a behemoth redevelopment project designed to rejuvenate almost an entire CBD block, with ambitious plans for it to become the city's most sustainable urban landmark.

The $232 million plan, which councillors will vote on at a council meeting next Monday, proposes to knock down the 50-year-old Council House 1 on Little Collins Street and surrounding buildings, while restoring the adjoining heritage-listed Commonwealth Bank building, to create a new civic precinct.

An artist's impression of the new civic precinct. Credit:Melbourne City Council

The 10-storey precinct, which runs between Bourke Street and Little Collins Street, will feature retail spaces, laneways, commercial office spaces and publicly accessible rooftops. A third of the build will be used by council staff for office space.

Sustainability will be at the core of the project, with a focus on achieving a six-star "green star" rating through installing solar panels, reusing storm water and aiming for carbon neutrality, according to council documents.