A consortium comprising AEG Ogden, Lend Lease, Capella Capital and Spotless has been selected as the preferred proponent to deliver Sydney’s new convention, exhibition and entertainment precinct.
Destination Sydney, a consortium comprising AEG Ogden, Lend Lease, Capella Capital and Spotless, has been selected as the preferred proponent to deliver Sydney’s new convention, exhibition and entertainment precinct (SICEEP).
Chief executive of Destination Sydney, Malcolm Macintyre, states that the consortium is thrilled to be chosen to deliver the landmark redevelopment, which aims to revitalise Darling Harbour and generate long-term economic benefits for New South Wales through a sustained increase in national and international visitation.
Under the consortium arrangement Lend Lease’s infrastructure development business Capella Capital will act as PPP development manager and financial advisor. The PPP capital commitments are fully underwritten, and Lend Lease will invest 50 percent of the equity alongside the national industry super fund for tourism and hospitality, HOSTPLUS, with debt being provided by a consortium of local and overseas banks.
Lend Lease’s project management and construction business will design and construct the project while AEG Ogden will be the operator of the circa A$1 billion facility to be known as the International Convention Centre Sydney (ICC Sydney). Spotless will be responsible for delivering the facilities management services for the PPP.
Bruce Dixon, Spotless Group CEO, notes that the company will be closely involved with the design development aspects over the coming years as well as working in an integrated fashion with AEG Ogden during the operational phase.
According to Mark Menhinnitt, Lend Lease chief executive officer of construction and infrastructure, at the district will be anchored in knowledge, innovation, media and technology, and buildings will be smarter and reliably connected to a wide range of technology services.
Lend Lease will also work directly with Infrastructure NSW to develop a mixed-use site of five hectares adjacent to the SICEEP site with an end development value in excess of A$1.5 billion. The mixed-use site includes a landmark hotel located immediately adjacent the ICC Sydney, residential apartments, student accommodation, retail and commercial space, public car parking, and community space and public realm upgrades.
“Destination Sydney is committed to ensuring that Darling Harbour becomes a first choice destination for conventions and exhibitions, entertainment events and tourism, and, of course, a place that all of Sydney will feel is theirs,” Macintyre comments.
“This project will redefine Sydney as a global city and create one of the world’s great meeting and entertainment destinations. Not only will it become a beacon for international visitors for conventions and events, but it will also build on the appeal of the Darling Harbour area for Sydneysiders creating an entertainment hub that promises to reconnect and re-energise the city.”
Works on the convention, exhibition and entertainment facilities are expected to be completed by late 2016.