Melton is in the midst of a construction boom, with the value of building permit activity cracking the $1 billion mark in a year for the first time.

More than 3500 building permits were issued in the past financial year, up 10 per cent from the year before, according the latest Victorian Building Authority statistics.

In Moorabool, there were 856 building permits issued in the past financial year, with the total cost of works at $153 million.

Melton ranked 12th in the state for the value of the building permit activity, while Moorabool ranked 44th.

The top five permits, by value of work, issued in Melton were:

•Freezer warehouse and distribution centre at Truganina, costing $29.8 million.

•Residential building and office at Ravenhall ($29 million).

•Refrigerated warehouse and distribution centre at Truganina ($29 million).

•New school buildings at Plumpton ($19.5 million).

•Residential building, office and site water storage tanks at Ravenhall ($17 million).

The Victorian Building Authority said the state recorded its highest-ever number of building permits and value of building work in the past year.