The surprise announcement came as he launched the biggest hotel development in the Schwartz Family Company's history, a 600-room, five-star hotel to be operated under the Sofitel brand.

"Every major city in the world has a helipad," said Dr Schwartz, who cites the towering skyline of Hong Kong harbour as his biggest inspiration.

"I want to make this a great hotel, in a great part of Sydney."

"To do that I need assistance from the government to help me build an express link between the airport and Sydney."

But the announcement came as a shock to everyone, including the architect.

"It's the first I've heard of it, said architect Richard Francis-Jones. "It hasn't been designed for a heliport, it's got a chiselled roof on it."

The purpose of a building hasn't held back Dr Schwartz's imagination before. In 2013, he proposed turning Sydney's disused Monorail stations into giant fish tanks.

Deputy NSW Premier, Andrew Stoner, did not rule out the helipad.

"I don't mind the idea of a heliport," he said. "It's not part of the approval process, but I'm happy to have a look at it."

Mr Stoner has a vexed history with helipad applications in Sydney.

In 2012 he was part of a botched approval process for a floating helipad in Sydney Harbour.

The helipad was ditched after it was found the licence was granted without consulting the community over noise concerns and environment impacts, or putting the plan out to tender.

At the time, federal communications minister Malcolm Turnbull labelled it a "reckless" and "undemocratic disgrace".

Mr Schwartz's "lighthouse" inspired hotel will tower above another international drawcard, the convention and exhibition centre on the south-western side of Darling Harbour.

The 35-storey hotel, due to be completed by 2017, will form a part of the NSW government's $2.5 billion redevelopment of the precinct.

Mr Schwartz's development is reportedly going to cost north of $350 millon.

Architect Richard Francis-Jones said the area was "looking tired" with its industrial facade. "The hotel will define a new public space."

Dr Schwartz also proposed Vivid style lighting for the hotel year round, with dramatic light shows on the harbour shores.

The development of both the convention centre and the hotel has been secured by Lend Lease, which has dominated developments around the Darling Harbour Foreshore, including Barangaroo.

"It's not like we have a monopoly over the whole precinct, as much as we would like to," said CEO Steve McCann.

Mr Stoner said "the development is another sign that Sydney has well and truly got its mojo back".

For Dr Schwartz, the decision to take on the development was an easy one.

"Frankly it was a no-brainer, it's a spectacular hotel in a spectacular part of Sydney," he said.

The hotel has been granted a 99-year lease as part of the public-private partnership designed to reinvigorate Darling Harbour.

The land will remain the property of the state.