Andrew Forrest has paid an estimated $575 million for the Waldorf Astoria hotel project at Sydney’s Circular Quay.

His company Fiveight has bought the property on the site of the former Gold Fields House.  

Previous joint-owners of the project Lendlease and Mitsubishi Estate Asian paid $850 million for the site in July last year. Mitsubishi Estate Asia has a 66.7 per cent stake in the joint venture.

The entire project has an estimated end value of $3.1 billion. 

Lendlease and Mitsubishi Estate Asia will retain the other tower, One Circular Quay, a residential tower already more than 40 per cent sold.

Fiveight, a property investment arm of Forrest’s property company Tattarang, will also take over the 11 retail sites planned for the lower levels of the two towers.

Lendlease development managing director Tom Mackellar said the transaction would help the company deliver on the project.

“This landmark transaction with Fiveight is a rapid execution of our Circular Quay strategy and a major milestone for the precinct’s revitalisation, bringing us one step closer to transforming the centrepiece of Sydney’s spectacular harbour,” Mackellar said.

“Alongside Australia’s first Waldorf Astoria, the residences at One Circular Quay represent a once-in-a-lifetime opportunity in luxury harbourside living with local buyers already claiming their stake in Sydney’s most prestigious and sought-after address.”

▲ Twiggy Forrest added Lizard Island in Far North Queenslandto his portfolio last year.

The 220-key Waldorf Astoria hotel, comprising 25 storeys and designed by Kengo Kuma and Associates, will be the first in Australia. 

Amenities will include restaurants, spa, indoor pool, ballroom, function spaces, boardrooms, and a rooftop bar and restaurant.

There will be six sub-penthouses and one three-storey penthouse in the Kerry Hill-designed residential tower which will have 158 apartments in total.

A private lift, pool and five bedrooms will be included with the penthouse.

Construction is scheduled to start early next month ahead of completion in late 2026.

▲ Fiveight has alsoannounced plans for a new hotel project in the heart of the City of Fremantle. Source: Fiveight

Forrest has picked up other tourism properties in recent months including Lizard Island and has also made a play to develop hotels including in Fremantle in Perth.

He also is working on redevelopment plans for the Indiana Teahouse in Cottlesloe, also in Perth.