If looking to invest for capital growth, I would consider...

If looking to invest for capital growth, I would consider Thornbury as an ideal. Northcote is too expensive, but Thornbury is still affordable. And it's only 7.5kms to the CBD!!

Ringwood is another area I would consider looking at. With the freeway extension, it will attract a lot of families wanting to commute in the hour timeframe in the morning. Ringwood will benefit from the planned developments in the area, and there are some decent houses out there at reasonable prices. though this doesn't fit into the 10kms from the city criteria.

Definately Thornbury would be the go. There may also be some value found in North Melbourne as it hasn't boomed the same way as Carlton. Depends if he's planning to renovate etc.