The Grounds of Alexandria is expanding beyond Sydney for the first time, taking over the beachside restaurant at Stuart Park in North Wollongong under a newly awarded 10-year lease agreement.
Wollongong City Council announced the deal on Monday, selecting The Grounds from an open tender process to operate the oceanfront venue that has traded as The Lagoon since 1986. The agreement includes an initial five-year lease starting in late 2026, with an option for an additional five years.
The move represents a significant expansion for The Grounds, which currently operates its flagship venue in Alexandria, along with locations in South Eveleigh and Sydney’s CBD. The company is known for its distinctive aesthetic and premium food and beverage offerings across its portfolio.
“Attracting new business and investment is a core commitment of Council, and it’s very encouraging that a major hospitality player sees the potential in Wollongong to expand their operations beyond Sydney,” said Lord Mayor Tania Brown.
The restaurant sits on the Stuart Park Crown Reserve along Wollongong’s Blue Mile, a popular coastal destination. The current lease expires in July 2026, prompting the council to seek experienced operators with ambitious plans for the property.
Brown noted that The Grounds’ proposal demonstrated “…bold plans for the site over the term of the lease,” though specific details about renovations or concept changes were not disclosed.
The venue award is part of Wollongong City Council’s broader strategy to enhance its hospitality offerings. In the same meeting, the council approved a new lease for the nearby North Wollongong Beach café and kiosk, granting the current operator, North Kiosk Pty Limited, a five-year agreement with two additional five-year options.
The café and kiosk will undergo renovations during a closure period for phase two of the North Wollongong Beach seawall construction project, with the venue set to reopen once the precinct work is complete.
Brown emphasised that the council’s commercial lease approach prioritises market-rate returns for the community, with agreements that include turnover provisions, annual increases, and regular market rent reviews to ensure alignment with current market conditions throughout the lease term.
