Built has commenced construction on the next stage of the Capella Sydney redevelopment by Pontiac Land Group, following the successful delivery of stage one in March 2023.
Capella Sydney is a two-phase restoration project, comprising two heritage-listed buildings in New South Wales – the former Department of Education building and Department of Lands building – collectively known as the Sandstone Precinct.
Pontiac Land Group chief executive officer David Tsang said the company has been trusted to reimagine these two historic buildings and open them to the public for the first time.
“The preservation of these buildings therefore requires a construction partner with in-depth knowledge of the historical significance and cultural value of the precinct,” said Tsang.
“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.”
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Stage one included the completion of the Capella Hotel guest rooms, amenities and select food and beverage establishments, all located within Sydney’s former Department of Education building.
Stage two in the adjacent former Department of Lands building across Loftus Street will complete the precinct.
Capella Sydney will be extended into a mixed-use development with larger-scale event and meeting spaces, retailers, and food and beverage establishments.
The NSW Government Sandstone buildings were leased by Property and Development NSW to Pontiac Land Group in 2015 to restore and redevelop the buildings, with lease proceeds reinvested into frontline government services and other infrastructure.
Built CEO and managing director 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,” said Mason.
“With the incorporation of innovative and meticulous planning to preserve the heritage of the buildings, the project showcases Australian ingenuity in the construction and craftsmanship.”
The NSW Government has also supported the delivery and revitalisation of the Sandstone Precinct. This project is an example of how new uses can be found for the state’s beloved heritage properties to provide access to living, preserved examples of NSW’s colonial architecture.
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 approximately 10,500 square metres of gross floor area and construction will involve a hybrid use of existing, heritage, and new construction materials.
The Capella Sydney redevelopment is expected to create hundreds of new construction and hospitality jobs.
The Department of Lands building is targeted to be completed in 2026.
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