Atlassian hired New York architects SHoP to design the tower in partnership with Australian firm BVN. The building will operate on 100 per cent renewable energy and includes solar panels in its facade.

Atlassian's head of global workplace experience,Scott Hazard,said sustainability was a key focus for the tower,which would be built to last 100 years."Cross-laminated timber is an incredibly green material,and it helps us avoid massive amounts of concrete and steel,"he said.

"We are pushing the limits already beyond anything that we know with that material."

The area in which the Atlassian headquarters will be built is to the western edge of the railway and needs to be rezoned to allow forthe redevelopment.

At present,the 35-metre high Henry Deane office block is the tallest of the buildings occupying the government-owned land.

Property companies Dexus and Frasers Property have also submitted plans for a $2.5 billion twin-tower development for the area under the government's unsolicited proposals process. However,the plan to allow for buildings up to 206 metres high hasraised concerns from the National Trust that they will dwarf the landmark Central Station.

Atlassian was the first anchor tenant to sign up to the tech precinct,which the government wants to be able to attract up to 25,000 workers. It is the first stage of a massive redevelopment of the 24-hectare Central precinct,which extends from the railway station to Eveleigh.

The tech giant will lodge development applications for the 40-storey building within months,and plans for construction to start next year.