Two prominent venues in Redfern’s $500-million Wunderlich Lane development will close, marking another significant shift for the precinct less than two years after its grand opening.
European-inspired lobby spot Bar Julius and Mexican rooftop restaurant Lottie—both located inside The Eve Hotel—will cease operations by the end of August 2026, as owner-operators Liquid & Larder exit the complex. Taking their place is The Apollo Group, which already operates the popular neighbouring taverna Olympus Dining, alongside acclaimed Sydney venues Cho Cho San and The Apollo.
The handover signals an immediate operator shake-up at the heart of the newly redeveloped site, while raising broader questions about how high-end dining fits into the surrounding neighbourhood.
A Market Misstep and Operational Realities
Liquid & Larder co-founder James Bradey acknowledged in media interviews that the two venues had struggled to meet financial targets. Bradey noted that branding may have worked against Bar Julius, with the name inadvertently signaling a late-night bar to potential patrons instead of an all-day dining spot serving breakfast to hotel guests and walk-ins.
The exit follows a broader pattern of turnover within the precinct. Earlier this year, House Made Hospitality closed the Baptist Street Rec Club after roughly a year of operation, replacing it with Italian diner Vitelli’s Upstairs.
While three high-profile closures in short succession point to early instability, industry observers view the transition as a recalibration rather than a total breakdown of the precinct.
Luxury Precinct Meets Neighbourhood Reality
The turnover has revived debate over whether Wunderlich Lane’s premium food and beverage offerings align with local spending power.
Built on the site of the former Surry Hills Shopping Village—long known locally as the “murder mall”—the redeveloped precinct features high-end apartments, boutique hotel rooms, and destination dining alongside everyday essentials like Coles and Harris Farm. However, it sits just short distance from long-standing social housing estates and diverse residential streets.
Residents report mixed experiences with the site’s hospitality mix:
- Daily Utility vs. Special Occasions: Locals frequently utilise the ground-floor grocers, but treat the premium dining spaces as occasional destinations rather than regular local haunts.
- Price Accessibility: Concerns linger over whether upscale menus match the disposable income of immediate neighbors, with some venues perceived as too tailored for outside visitors.
- Destination Foot Traffic: Foot traffic often surges specifically for established drawcards like Olympus Dining, with diners arriving solely for reservations before departing the precinct entirely.
Broader Industry Pressures
The friction at Wunderlich Lane coincides with systemic pressures sweeping Sydney’s hospitality sector. Operators across the city are navigating a challenging economic climate marked by soaring food costs, rising utilities, higher insurance premiums, and wage adjustments. The expiration of initial tenant rent incentives in new property developments can also abruptly strain a business’ cash flow.
Industry advocates note that multi-venue groups must be increasingly better-equipped to navigate these headwinds. They need to consolidate supply chains, administrative overhead, and staff scheduling across several locations, and larger operators to absorb margin pressures that individual concepts struggle to withstand.
The Next Test for Redfern’s New Hub
The Apollo Group’s expansion across three adjoining spaces in The Eve Hotel demonstrates strong commercial confidence in the site’s long-term viability. Replacement concepts for both Bar Julius and Lottie have yet to be formally announced, but operations are expected to transition smoothly before the end of the year.
The incoming concepts will face the same core challenge as their predecessors: balance the high-spend appeal needed for a destination precinct with price points and menus that invite regular, everyday patronage from the community around them.
Published 5-Aug-2026
