Why Sydney’s top restaurants are flipping their concepts instead of closing doors
Sydney’s hospitality heavyweights are increasingly opting for reinvention over resignation, with a growing number of high-profile venues undergoing full concept overhauls rather than shutting up shop.
At the centre of the trend is veteran chef Neil Perry, who at 68 is once again influencing how the city’s dining scene adapts to changing consumer tastes. In 2025, Perry openly acknowledged that SongBird, his Cantonese restaurant in Double Bay, had failed to gain traction. Instead of walking away, he pivoted, transforming the space into Gran Torino, an Italian restaurant that has since found its footing.
Perry also refreshed his Double Bay footprint by renovating and rebranding Next Door, the venue adjacent to his flagship Margaret, relaunching it as Cafe Margaret. The moves signalled a broader shift: well-capitalised operators are now more willing to reset concepts entirely rather than absorb the costs of permanent closures.
That approach is gaining momentum across Sydney. In Surry Hills, House Made Hospitality has announced that Baptist Street Rec. Club, a retro-inspired bar located in the Wunderlich Lane precinct, will soon reopen as an Italian restaurant.
The venue will become Vitelli’s Upstairs, described by the group as being “inspired by old New York red-sauce dining, it focuses on warm, familiar Italian food built around fresh pasta.”
While Baptist Street Rec. Club built a strong following with weekend crowds and TikTok-driven buzz, House Made Hospitality has aimed to retain the venue’s late-night energy, with DJs scheduled to take over as the evening progresses.
The shift marks the second major reinvention by the group in recent years. In 2024, House Made Hospitality converted Promenade Bondi Beach from a seafood-focused restaurant into a Greek venue, Etheus. Director Justin Newton said the decision was driven by a mismatch between the original concept and customer behaviour.
“That was never the intention and didn’t suit how the space was designed to work,” Newton told The Daily Telegraph.
“Once we evolved it into Etheus and leaned into Greek food that’s more relaxed and family-friendly, it became a neighbourhood restaurant that fits the Bondi rhythm much better. Mid-week trade used to be slow — now Wednesday locals’ night is one of our busiest services.”
A similar rationale has informed changes at Hunter Street Hospitality, the group behind Rockpool. The operator has reworked the large Dining Room space at The Collective in The Rocks, converting it into a Lebanese restaurant called Sahtein.
Hunter St. Hospitality CEO Frank Tucker said the original offering struggled to align with the scale and frequency demands of the venue.
“We needed something clearer, warmer and easier for people to return to regularly. Lebanese food lends itself to sharing, value and volume, and Sahtein gives that space a stronger, more sustainable identity,” Tucker told The Daily Telegraph.
Sahtein is scheduled to open on 12 February and will be led by chefs Mike Flood and Rifat Katranci, formerly head chef at Jimmy’s Falafel. The menu draws on traditional Lebanese dishes cooked over wood fire and charcoal, with halal produce central to the offering.
Merivale has also embraced selective reinvention. Last year, chef Dan Hong took over underground CBD venue Good Luck, replacing Mike Eggert and repositioning the space as a straightforward Chinese diner. Hong, known for Mr Wong and MuMu, described the venue as the “fun and casual sibling of Mr Wong.”
Jonathan Jackson, 2nd February 2026
