One of Melbourne’s most exclusive venues, the Australian Club, has escaped major damage after a chimney caught fire within the building on Wednesday morning.

Thick black smoke began pouring out of the opulent building on the corner of William and Little Collins streets about 8.30am and four units from the Metropolitan Fire Brigade were on the scene.

The fire was extinguished by about 10.30am and the building, a near-perfect example of late Victorian gold-rush era architecture, sustained minor smoke and water damage.

Established in 1878, The Australian Club was founded by a group of "Melbourne gentlemen" who found it difficult to make the journey in bad weather (due to flooding) to the ultra-exclusive Melbourne Club on Collins Street.

Smoke billows from The Australian Club, at the corner of William and Little Collins streets in the CBD. Credit:Michelle Griffin

The grand and highly decorative building holds an Australian Heritage Listing.