Inside the heritage building reborn as one of Sydney's most luxurious hotels
Capella Sydney opened inside the former Department of Education building in the city's Sandstone Precinct, turning a historic government building into a flagship luxury hotel.
Luxury hotel lobby with heritage sandstone architecture
One of Sydney's grand old buildings has been given a very expensive second life.
Capella Sydney officially opened inside the former Department of Education building in the city's Sandstone Precinct, transforming a historic government building into one of Australia's most luxurious hotels.
The building, originally designed by George McRae in the early 1900s, sits on Bridge Street in the heart of the CBD. For years, it was known more for bureaucracy than bedtime views. Now, after a major restoration, it has become the first Australian property in the Capella Hotels and Resorts portfolio.
The project was led by Pontiac Land in collaboration with Make Architects, with the restoration and reimagining taking years to complete.
That is part of what makes the opening interesting. Sydney has plenty of hotels, but not many have this kind of heritage weight. The sandstone exterior, the scale of the building and its position near Circular Quay give the property a sense of place that newer glass towers can struggle to create.
Capella's arrival also added to Sydney's push to become a more serious luxury travel city. The harbour has always done heavy lifting for visitors, but the hotel scene has become more competitive.
For travellers, Capella Sydney is not just a room near the harbour. It is a chance to stay inside a building that has been part of Sydney's civic life for more than a century.
"Capella shows how heritage can be repurposed without being erased — and how old Sydney can still find new ways to impress."

