The W Sydney opens in February and will be the fifth hotel under the designer W brand developed by Starwood Hotels and Resorts Worldwide.
The 104-room property is also the first W hotel outside North America, where there are already properties in New York, Atlanta, San Francisco and Seattle.
Vice-president of operations for Starwood Peter Thompson said: “Choosing Sydney as the location for the first W hotel outside North America indicates the global reputation the city enjoys as a destination and a city at the forefront of many creative industries.”
The W Sydney will form part of the redevelopment of the historic Finger Wharf at Woolloomooloo Bay on Sydney Harbour, close to the central business district.