NBN Co has signed four telcos to take part in a Fibre-to-the-Building pilot in Melbourne.

iiNet, M2, Optus and Telstra will all participate in the pilot which will run in Carlton, Parkville and Brunswick over the next three months.

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During the pilot the NBN will evaluate all aspects of the construction, installation, operation, service performance and the overall customer experience.

It has installed VDSL2 vectoring equipment, which enables the delivery of high-speed broadband services over each buildings existing telephone cabling, in eight high rises -- including a mix of apartments, retail and office buildings.

According to NBN Co, preliminary tests of the technology by NBN Co in December 2013 produced download speeds of more than 100 Mbps and upload speeds of more than 40 Mbps. NBN Co's Chief Technology Officer, Gary McLaren, said, according to the Strategic Review, up to 12,000 buildings containing around one million individual premises could be served by FTTB.

"This pilot scheme, and the Fibre-to-the-Node trials we're currently scoping, will help us determine the fastest and most cost-effective way to deliver access to high speed broadband sooner," he said.

"Retail telcos, local councils, the building owners and tenants are all enthusiastic participants in the process. We are now raring to test the consumer experience along with our wholesale customers."

The company's Strategic Review, issued in December last year, recommended that the National Broadband Network could be rolled out faster and at a lower cost by combining proven technologies with existing capable networks.