Lendlease and Mitsubishi Estate Asia have established a joint venture to purchase the One Circular Quay property in Sydney for about $800 million in upfront and deferred payments, with a further $50 million payment subject to specific project results.

The proposed towers at One Circular Quay will be developed by Lendlease and Mitsubishi Estate and built by Lendlease. Their final estimated worth is $3 billion.

At the moment, Mitsubishi Estate owns 19.9% of the joint venture. This will climb to 66.7% and Lendlease's stake will drop to 33.3% upon the fulfilment of certain requirements. The long-standing partnership between Lendlease and Mitsubishi Estate, which included cooperation on the One Sydney Harbour and Sydney Place complexes as well as Melbourne Quarter's residential East Tower, is further strengthened through this joint venture.

The project is anticipated to include a 59-story luxury residential skyscraper with unparalleled views of Sydney Harbor, designed by the late, award-winning Australian architect Kerry Hill. With the development of a 220-room premium Waldorf Astoria hotel in a second tower designed by Kengo Kuma & Associates, Hilton's renowned luxury brand will make its debut in Australia.

One Circular Quay, which will be finished by FY27, is situated where the iconic Gold Fields House once stood, next to Lendlease's Sydney Place construction. It will become one of the most magnificent residences and hotels in the entire world.

Tom Mackellar, Managing Director Development, Lendlease Australia says, “One Circular Quay will undoubtedly become one of the most desired addresses to live and stay in the world, once again elevating Sydney’s real estate market on the global stage and further building off the sales momentum of nearby One Sydney Harbour.”

“With uninterrupted views of the Sydney Harbour Bridge and Sydney Opera House, a development of this standard, in this location, is an incredible opportunity and we look forward to bringing this iconic development to market.”

Yuzo Nishiyama, Head of Australia, Mitsubishi Estate Asia is also keen to be a part of the project: “We are truly excited to be a part of such an iconic project for Sydney and look forward to expanding our relationship with Lendlease as we work together to deliver One Circular Quay.”