Melbourne's mayor-elect Sally Capp is the first woman to take the top job in almost three decades.
The Property Council of Victoria boss, who took leave during her campaign, has been named as Melbourne's next lord mayor after nabbing 53.05 per cent of the total votes in the by-election.
Businesswoman Jennifer Yang fell short of victory, securing just 46.95 per cent of the votes for the coveted $193,000 job.
Ms Capp secured 25.38 per cent of the primary vote with businesswoman Jennifer Yang netting 15.39 per cent to Greens candidate and serving councillor Rohan Leppert at 14.77 per cent.
Ms Capp is the city's first directly-elected woman to the post.
The Victorian Electoral Commission result came about an hour after the counting began on Friday night.
Ms Capp said in a statement, to news organisations after the announcement, she was "humbled and grateful to have received the support of Melburnians" who elected her.
"The hard work starts now," she said.
"I'm committed to building on the two pillars of community and prosperity, with a plan for an even better Melbourne."
She will start day one in in the job "without obligation to any political party or lobby group".
"My only obligation is to good outcomes for Melbourne and Melburnians," she wrote.
Ms Capp will become the third woman to take the city's top job with Lecki Ord holding office in 1987-88 and Winsome McCaughey in 1988-89.
She campaigned to tackle homelessness, population growth and proposed a $250 million elevated walking path from Federation Square to Docklands.
Ms Capp secured the victory from 13 other candidates who threw their hat in the ring after former lord mayor Robert Doyle resigned, strenuously denying allegations from colleagues of misconduct.
An independent inquiry later found he sexually harassed two women and the council was an unsafe workplace for them.
Ms Yang conceded defeat on Friday night and thanked her family and campaign team which was "supported by a grassroots movement for change" in the city.
"Sally Capp will be a great Lord Mayor of Melbourne and I wish her the very best of luck," she said.
Premier Daniel Andrews congratulated Ms Capp on "her historic victory" on Twitter.
"We live in the greatest city in the world - and I look forward to working with Sally to make it even greater," he wrote.
Acting lord mayor Arron Wood said the result was a "fantastic win" for Ms Capp.
"Look forward to welcoming you to town hall & working together to keep Melbourne one of the world's most liveable cities. If you find a bombers scarf in your new office please drop it back, I'm just down the hall," he wrote.
The Victorian Electoral Commission said the results were provisional until the candidate is declared elected on Monday.
It is understood she will be sworn into the role on Thursday at Melbourne's Town Hall.