The Government of New South Wales (NSW) in Australia has allocated A$200m ($140.3m) to fund an upgrade of the Circular Quay wharves in Sydney.
Finances will be backed by the asset sales by the government and reserved in the NSW state Government’s infrastructure fund, Restart NSW.
NSW Transport Minister Andrew Constance said: "Circular Quay is nestled between two Australian icons, the Sydney Harbour Bridge and the Opera House, but at the moment it’s not realising its full potential."
Multiple options will be considered for the revamping project, Constance added, including modernisation work to make the ferry wharves accessible, and potentially modifying them into double-storey wharves with added retail facilities.
NSW premier Mike Baird said: "Circular Quay should be the jewel of Sydney Harbour and today we are committing at least $200m to make it shine.
"We’re working at a rapid pace to deliver Tomorrow’s Sydney, and everywhere you look there are cranes in the sky and construction sites in full swing."
Reconstruction work at Circular Quay wharves is estimated to start in 2019.
The selected assets, which will be divested by the government to fund the project, are currently held by the Sydney Harbour Foreshore Authority (SHFA).
It includes Shangri-La and Four Seasons hotels in the Sydney CBD, the Novotel and Mercure hotels at Darling Harbour and commercial offices in the Darling Quarter.
NSW Finance, Services and Property Minister Dominic Perrottet said: "There is absolutely no reason in the 21st century why the NSW Government needs to be the landlord for these luxury hotels."