Circular Quay is an area of historical significance for Sydney, as it was for a long time the central harbour of a settlement which relied on shipping for its connection to the outside world.

Work on the section of the railway through Circular Quay began in 1936, was interrupted by World War II, and recommenced in 1945.

The construction and placement of the station was always controversial due to its prominent location at the head of Circular Quay, an important natural and cultural landmark and visitors' attraction.

[5] A refurbishment in 2007 introduced sun-shading awnings on the platforms, removed advertising hoarding between the tracks, and improved facilities on the concourse level.

The exterior of the remainder of the platform feature open, glass-railed galleries, supported on the lower level by a continuation of the central facade.

[1] The top of the northern, harbour-facing facade is incorporated into the viewing platform and rest area located above the station alongside the Cahill Expressway roadway.

The central concourse is surrounded on either side by retail and food shops and public toilets located under the elevated platforms.

The station is in an inter-war functionalist style, as seen in the strong horizontal lines presented by the windows and galleries, with art deco details.