Laundy Hotels has begun a $3 million renovation of one of Sydney’s most iconic waterfront pubs, the Watsons Bay Hotel.
In partnership with Fraser Short, Laundy Hotels acquired the Watsons Bay Hotel in 2012 from the Doyle Family, who had owned and operated the venue for 125 years and five generations. Last year, Laundy acquired full ownership of the venue when Short divested his half of the shared pub portfolio.
Work is already underway to transform the top and mid deck of the venue into an events space, drawing inspiration from the coastal interiors of the beach club and bar on the lower deck.
Danielle Richardson, one of the group’s directors and daughter of Arthur Laundy, is leading the renovation project. She sees the transformation as an example of the group’s ongoing commitment to elevating the guest experience and ensuring its venues remain at the forefront of Australia’s hospitality scene.
“The $3 million renovation of the top and mid decks at Watsons Bay Hotel is about reimagining how Sydneysiders and visitors celebrate by the sea,” she told Australian Hotelier.
“With Etic Design’s fresh take on our signature Hamptons-inspired aesthetic, the upgrade will transform this iconic waterfront location into one of Sydney’s most sought-after event destinations. We’re creating a versatile, elevated space that brings together stunning harbour views, effortless coastal luxury, and the vibrant social spirit Watsons is known for.”
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Emilie Delalande, Director of Etic Design, says the design translates the laid-back spirit of the destination into a refined yet relaxed atmosphere.
“Designing the Hamptons-style renovation for Watsons Bay Boutique Hotel was a collaborative and creative journey. Working closely with the owners, we really had a shared vision – to elevate the hotel’s offering while honouring the iconic coastal charm that has made Watsons Bay so beloved.
“I drew inspiration from the soft, natural palette of the bay itself – sun-bleached timbers, crisp whites, layered textures, and subtle nautical touches. We are incorporating organic materials, custom detailing, and generous open spaces to celebrate light, air, and connection to the water.
“The result will be a space that feels fresh and elevated yet completely grounded in its surroundings. It is important to us that returning guests still feel at home, while also discovering thoughtful new layers of luxury and comfort,” Delalande continued.
Richardson added: “We expect this investment to significantly grow our events business, while giving our loyal guests even more reasons to return, stay, and celebrate.”

The Watsons Bay Hotel’s beach club, upstairs sunset room, front bar and accommodation will remain open throughout the works. The new events space is expected to open in October, one year after the reopening of Northern Beaches institute The Mona.
The Mona underwent a significant transformation to create a broader offering that maintained the venue’s long-held connection with the local community. The revamped venue includes Ben’s Bakery Café and Pizzeria, modelled off of Manly and Avalon icon Ben’s Bakery, alongside an updated courtyard, beer garden and back yard with the addition of a custom-made playground.