Built Breaks Ground on Stage 2 of Sydney’s Capella Precinct

The heritage-listed NSW Department of Lands building in Sydney’s Bridge Street will be restored under the second stage of the so-called Sandstone Precinct project.

The success of the first stage—the luxury Capella Hotel—by Australian construction firm Built has paved the way for the Lands building project.

Pontiac Land’s adaptive reuse of the NSW Department of Education building set a benchmark for reinvigorating underutilised assets, according to Pontiac Land Group chief executive David Tsang.

“Significant trust has been extended to Pontiac Land to meticulously reimagine these historically important buildings and open them to the public for the first time,” he said. 

“The preservation of these buildings therefore requires a construction partner with in-depth knowledge of the historical significance and cultural value of the precinct.

“Following the successful completion of stage one, Built had the proven expertise and award-winning hotel and hospitality experience to deliver the second stage of this complex heritage construction and refurbishment project.”

The first stage of the project created hotel rooms, and food and beverage offerings in the NSW Education building.

The second stage of the Sandstone Precinct’s reimagining will comprise the restoration of the Department of Lands building, next to the completed first phase on Loftus Street.

The Capella Sydney will be extended into a mixed-use development with larger scale event and meeting spaces, retail and restaurants and bars.

▲ Stage 2 comprises the restoration of the heritage-listed NSW Lands building, next to the Capella Hotel in Sydney’s CBD.

Built chief executive Brett Mason said the redevelopment of the Sandstone Precinct is “a once-in-a-lifetime project” that will restore public access and give new life to two of Sydney’s most important heritage buildings.

“Having worked closely with Pontiac Land Group over the last seven years, we’re very proud and grateful to be entrusted to bring the next stage of their vision to life,” Mason said. 

“With the incorporation of innovative and meticulous planning to preserve the heritage of the buildings, the project showcases Australian ingenuity in the construction and craftmanship.”

Works will include the sensitive strip-out and refurbishment of heritage features, as well as a structural upgrade of the building. The project is seven levels and includes about 10,500sq m of gross floor area. 

The construction will involve a hybrid use of existing, heritage, and new construction materials.

The extended Capella Sydney is expected to become one of the largest privately funded tourism infrastructure projects in NSW and one of the largest job-creating foreign investments in Sydney.

The Department of Lands building is targeted for completion in 2026.

It is a heritage-listed three-storey building in the Victorian Renaissance Revival style designed by Colonial Architect James Barnet with Walter Liberty Vernon and William Edmund Kemp designing various components of the building. The builder was John Young. It was completed about 1892.

It was listed on the NSW State Heritage Register in 1999.

▲ The Department of Lands building around 1900. Image: State Library of New South Wales