Stretching across 4.9 hectares, Banda Bail Reserve protects a range of critically endangered flora and fauna, including the Grassy Eucalypt Woodland ecosystem and the Matted Flax-lily.
River Red Gums, some hundreds of years old, are also found in this special place.
Banda Bail means 'sleepy Red Gum', and was named by Wurundjeri Woi-wurrung elders.
The reserve was opened on Wednesday 15 December by Minister for Energy, Environment and Climate Change, Lily D'Ambrosio.
It will help residents, visitors and future generations learn about and appreciate this part of Country for years to come.
The reserve was delivered through a partnership between the Victorian Government, Hume City Council and Wurundjeri Woi-wurrung Aboriginal Corporation.
It was established as part of the Victorian Government's Melbourne Strategic Assessment (MSA) program.
The program aims to manage the impact of urban development on significant vegetation, plants and animals in Melbourne's growth areas.
Hume City Council has partnered with the Wurundjeri Woi-wurrung Aboriginal Corporation to manage the reserve over the next decade.
'Establishing the Banda Bail Reserve will help safeguard our unique flora and fauna and provide Victorians with space to enjoy the outdoors and connect with nature within the growth corridor,' Ms D'Ambrosio said.
'This is a wonderful example of the Victorian Government, local council, Wurundjeri Woi-wurrung Aboriginal Corporation and urban developers working together to create a new reserve to protect our endangered plants and animals.'
Visit the MSA website for more details about the program.