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Strategic Advisory Services



About the project

The Sandstones buildings located in Sydney’s tourism and financial hub, include the former Education and Lands Buildings are elegant, stately buildings that tell a unique and interesting story about the history of NSW and the early colony. Both buildings are State Heritage listed and hold the highest level of statutory heritage protection in NSW.

To support the government’s tourism objectives and to allow for these significant assets to be appreciated by the public, the repurposing of these assets has been restricted to adaptive reuse as luxury boutique hotels.

In 2015 a long-term lease was granted to Pontiac Land Group to restore and redevelop the buildings. Importantly, the NSW Government retains ownership and custodianship, safeguarding these important colonial heritage assets.

The long-term lease of these buildings enables significant savings to NSW taxpayers on maintenance, while creating hundreds of new construction and hospitality jobs, boosting the NSW economy for many years to come.

Importantly, these iconic heritage assets will, for the first time in their history, be open to be enjoyed by locals, tourists, and visitors.

The transformation of the former Education Building into a 192-room hotel was completed in March 2023 and is known as ‘Capella’ Sydney.

Hospitality and function spaces will be incorporated into the adjoining Lands Building, with the refurbishment due for completion in late 2026.


The Strategic Advisory Services team utilised its heritage, planning, procurement, and stakeholder management expertise, to oversee the leasing process. The team continues to monitor the design, approval, and construction phases to ensure adherence with the agreed development scheme, heritage protection, delivery milestones and timeframes.

Next steps

The project is on track for completion in 2026.

Contact us

For further information email: