Preferred bidder for Sydney convention centre announced

A consortium consisting of Australian contractor Lend Lease and its infrastructure development business, Capella Capital, together with Hostplus, AEG Ogden and Spotless, has been declared the preferred bidder for a AU$ 1 billion (US$ 1.1 billion) convention centre project in Sydney, Australia.

The Sydney International Convention, Exhibition & Entertainment Precinct (SICEEP) project will be awarded by the New South Wales Government as a public-private partnership (PPP). The contract involves the design, construction, finance, maintenance and operation of the new convention, exhibition and entertainment facilities at Darling Harbour.

SICEEP will run north-south from Haymarket through to Cockle Bay, and east-west to Ultimo on the harbour. It is part of a wider urban renewal project, and Lend Lease also plans to enter into an agreement with New South Wales authorities to develop a 5 ha mixed use site adjacent to SICEEP.

Lend Lease claims the mixed use site would have an end development value in excess of AU$ 1.5 billion (US$ 1.6 billion). Meanwhile, the contractor said it would invest 50% of the PPP equity commitments for the SICEEP project alongside the Australian national industry super fund for tourism and hospitality, Hostplus.

Construction is scheduled to start in December 2013.