China's commercial real estate conglomerate Dalian Wanda has started overseas expansion with plans to invest $1bn in a prime property redevelopment at Sydney Harbour.
Dalian's latest plans include the acquisition of Blackstone Group's Gold Fields House at the Circular Quay in Sydney's central business district for $327m, as well as purchasing the nearby Fairfax House for $57.6m.
Blackstone's head of real estate Asia Chris Heady said: "Gold Fields House is one of the most significant investments acquired in the Valad portfolio and is a great example of Valad's capability to reposition assets to achieve their full potential."
The latest investment, which is the second after its Gold Coast acquisition last August, involves redeveloping both the 185m-high tower and the 160-room, five-star hotel.
Wanda Group said: "Wanda Group has recognised the iconic location and intends to create a mixed-use development, including a five-star hotel, luxury residential and retail.
"We look forward to creating a new Sydney landmark."
This acquisition adds to Wanda's series of deals, as the company expedited its overseas expansion in the last two years with the launch of key projects in London, Madrid, Chicago, Los Angeles, the Gold Coast and Sydney.
Blackstone stated that this transaction is expected to close by March.
Image: Blackstone's Gold Fields House at the Circular Quay in Sydney. Photo: courtesy of The Blackstone Group LP.