Sydney has moved closer to achieving its dream of creating a ‘Silicon Valley’ following approval of anchor tenant Atlassian’s new headquarters and the rezoning of additional land to prepare for new technology players.

In his latest announcement, NSW Minister for Jobs and Investment Stuart Ayres said Atlassian had received planning approval to build its 40-storey headquarters.

Set form the cornerstone of the NSW Government’s plans to transform a rundown area near Central station  into something which could rival Silicon Valley, the Atlassian Headquarters will be the world’s tallest commercial hybrid timber tower and will house up to 5,000 workers.

Targeting a six-star NABERS rating, the 40-storey tower will be organised into six discreet but interconnected ‘habitats’.

Each habitat is a freestanding mass-timber construction which is supported within a steel exoskeleton.

A naturally ventilated zone will be akin to an outdoor garden at each level.

Designed by New York based SHoP Architects in partnership with Australian firm BVN, the building is aiming for 6-Star NABERS and Green Star ratings.

The government has also rezoned ‘Block C’ of the Western Gateway Sub-Precinct to enable development to occur above and adjacent to the Parcel Post building which now houses the Adina Hotel.

A competitive design competition which is now underway for the Parcel Post Building and Henry Deane Plaza is scheduled to be finalised later this year.

Both the Atlassian Headquarter and the rezoned land form part of the Government’s plan to create a 24 hectare Central Precinct surround Central station into a technology and innovation precinct which the government hopes will rival Silicon Valley.

Minister for Jobs and Investment Stuart Ayres welcomed the latest developments.

“With Atlassian HQ set for construction and the Western Gateway sub-precinct rezoned, the planning controls are now in place to transform this tired transport hub into something to rival Silicon Valley,” Ayres said.

“Tech Central will be home to 25,000 jobs over 24 hectares once fully developed. Atlassian’s headquarters alone will accommodate 5,000 operational jobs in the world’s tallest hybrid timber tower.”

Minister for Planning and Public Spaces Rob Stokes said the approvals were a significant milestone in what would be the largest government-led urban renewal in the State.

“The revamp of Central Station and delivery of Tech Central will create a commercial core in the City’s south that would include a public domain with new open space, shops and cafes all on top of the rail corridor.

“This project is a vote of confidence in the Sydney CBD and brings new employment space close to Central Station, providing easy access to jobs, homes and services.”

The $546 million Atlassian tower is scheduled to begin in the first half of 2022, with completion expected by 2026.