Dacheng Law Offices and Allen & Overy have advised Beijing-based insurer Sunshine Insurance Group on its acquisition of Sydney’s Sheraton on the Park hotel for $400 million, with Baker & McKenzie counseling the hotel’s owner Starwood Hotels and Resorts.

The sale marks the first time that a Chinese insurance group has acquired a large commercial property in Australia after China relaxed its rules on outbound investment earlier this year.

Starwood, however, will continue to operate the hotel as a Sheraton under a long-term management contract. 

The Dacheng team was led by Beijing-based senior partner Liu Xinde, who was assisted by partner Hong Shaorong and attorneys Xu Jie, Ye Hongpo and Liu Yong. 

An unnamed spokesman for Sunshine Insurance said in a statement that the purchase would allow the insurer to diversify its holdings with a “trophy asset.”