Welcome to the Waldorf: Forrests’ luxury hotel rises in Circular Quay
Australia’s first Waldorf Astoria is taking shape rapidly in a prime position on Sydney’s Circular Quay, courtesy of iron ore billionaires Andrew and Nicola Forrest and their expanding interest in real estate.
The structure of the 26-storey building was completed, or “topped out”, this month with the focus now on the interior fit-out of the luxury hotel, along with the installation of the facade, a mix of sandstone, green walls and glass designed by Kengo Kuma & Associates and Crone Architects.
In a $520 million deal two years ago, the Forrests, now separated, acquired the project at One Circular Quay which is being developed by Lendlease next door to a taller luxury apartment building.
The deal makes the two billionaires landlords for a hotel that has become a byword for New York wealth, exclusivity and luxury accommodation. The investment was made through Fiveight, the property arm of the Forrests’ investment vehicle, Tattarang.
“It is privilege to be bringing the brand to the Australian market and providing a product which will help showcase Sydney to the world,” John Hartman, Tattarang chief executive, told The Australian Financial Review this week.
The first Waldorf Astoria opened on New York’s Fifth Avenue in 1893, and it has now become the flagship brand operated by Hilton. The Circular Quay hotel is due to be completed by the end of next year, making it one of the biggest names in a new generation of hotels that have added about 16,000 new rooms so far in an accommodation development boom.
As tastes change older hotels are being shut down and existing landmarks are undergoing major restorations to keep pace.
“From a property investment perspective, at the time we invested COVID-19 was still active,” Hartman said.
“It was our belief that Sydney as a global city needed a truly global product, which this hotel will be.
”It was a highly unique opportunity at one of the best sites in the country for Tattarang to deliver on its vision of investing in really iconic Australian places and making sure we are showcasing the very best of Australia.”
Along with its 227 rooms, the hotel will have a rooftop bar and restaurant along with the usual amenities for top-flight hotels: an indoor pool, eateries, and a spa and wellness centre.
But perhaps its biggest calling card will be its second-floor ballroom, giving guests a unique view out over both the Opera House and the Harbour Bridge. At the base of the building will be a series of upmarket retail outlets and a celebrity restaurateur is also being courted.
“With more than 5 million people passing through Circular Quay each year, we are proud to invest in this uniquely Australian address. The Waldorf Astoria will offer visitors a front-row seat to Sydney’s most breathtaking views, along with world-leading hospitality and a distinctly Australian experience,” Dr Forrest said in a statement.
Sydney Lord Mayor Clover Moore described the Waldorf Astoria as “a new cultural landmark” for her city.
“It will no doubt add to the outstanding new buildings and public spaces in this prestigious, historic and culturally significant part of our city,” she said.
For the Forrests, the Waldorf capped off a run of major hospitality deals along the east coast including the $30 million acquisition of the Gaia retreat in Byron Bay and then the $42 million purchase of Lizard Island in North Queensland, both in 2021.
The east coast hospitality properties have helped diversify the Fiveight portfolio. It includes office and industrial properties as well as projects such as the proposed redevelopment of an empty shopping arcade in the centre of Perth into a hotel, retail and student accommodation.
