Surry Hills building that famously burnt to the ground set for $40m+ hotel renovation

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Plans are going ahead for a former heritage hat factory site in Sydney’s CBD fringe to be revived and turned into the city’s newest boutique hotel, after it famously burnt to the ground in the middle of last year.

Left to right: The original heritage building that housed a hat factory (City of Sydney Archives – file 528496), the building on fire on 25 May 2023 (YouTube: Fire & Rescue NSW), renders of the new hotel (‘TZG’).

The City of Sydney has given green light to a nine-storey rebuild of what was once a heritage hat factory, which will now incorporate historic aspects of the building – including charred timbers – across its 123 rooms, a bar and café.

The historic Surry Hills building that housed the R.C. Henderson hat factory, then later a karaoke club, burnt to the ground last year after group of youths started a fire in the basement of the building.

Located at 7-15 Randle Street in the bustling Surry Hills media district, the hotel designs have been declared ‘consistent’ with the desired future character of the area by the City of Sydney.

A new look for an iconic building 

The hotel renovations were due to kick off last year, but the fire put a halt to those plans. TZG architects are behind the design for the new hotel.

An artist’s impression of the new Randle Street hotel.

“The New Hotel in Randle Street transforms the handsome Henderson Hat manufacturing warehouse building into a vibrant hotel that acts as a catalyst for connecting and reactivating the surrounding public domain,” the TZG website reads.

“Located in a bustling urban environment, noise and privacy has been carefully considered in the design of the new hotel. Guests are protected by means of room orientation, window location, furniture layout, and – at the most exposed face of the building – an impressive cladded screen.”

The new hotel will feature a digital artwork detailing the 112-year history of the building and an original fire bell that was salvaged from the rubble.

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