Great news for the current re-development of the iconic Darling Harbour precinct.

Australian developer and construction giant, Grocon, has successfully secured the backing of investment firm M&G Real Estate for its $800 million Ribbon project in Sydney’s Darling Harbour.

Earlier this year, The Australian revealed that Grocon was in negotiations with investors on the landmark Ribbon project after a deal with GPT’s wholesale office fell through.

The project will see the site of the IMAX completely overhauled into a dramatic office building, with a renovated cinema and retail podium.

According to The Australian, Grocon has long chased Westpac to anchor the Ribbon, being in talks for the bank to lease 43,000sqm of the tower.

It has been suggested that the bank could either split its CBD requirement, so it’s at the lower end of a 20,000-40,000sqm range for a single site, or remain at the Westpac Place tower in Kent Street.

The Ribbon is expected to change hands on a tight capitalization rate of less than 6.5 per cent if it wins Westpac and as the value of premium Sydney offices have since soared as foreign capital chases so few deals.