First look: Rare new apartment project pitched for Sydney's Surry Hills

First look: Rare new apartment project pitched for Sydney's Surry Hills
Joel RobinsonAugust 25, 2025PLANNING ALERT

A rare new development in Surry Hills is aiming to replace a cluster of underutilised commercial buildings with a contemporary eight mixed-use building just 300 metres from Central Station. 

The $27.5 million project is being led by ISL Property Investments Management and will include 35 apartments, some earmarked for affordable housing, alongside street-level retail and basement parking.

The development spans multiple lots between Kippax, Sophia, and Waterloo Streets and will involve substantial demolition of the existing structures on the 780 sqm site.

According to the Urban Design Report prepared by DKO, the design has been shaped to reflect the area’s gritty industrial past while contributing to its evolving identity as a high-density urban hub.

“The proposed development is designed to integrate sensitively and intelligently with its immediate surroundings and evolving urban context,” DKO stated. “It mediates between the existing built environment and the area’s future trajectory, ensuring a thoughtful transition”.

The project includes 35 one, two, three-bedroom apartments across the upper levels, with 15 per cent of the total floor area allocated to affordable housing. The dwelling mix is designed to cater to a range of household types, with layouts strategically oriented to maximise solar access and cross ventilation, DKO notes.

Architecturally, the building is anchored by a podium that reinforces the streetscape while referencing the area’s industrial brick fabric. Above this, a lighter tower form is chamfered to reduce visual bulk and improve solar access to the public domain. 

“The tower mass is elevated above the podium, visibly distinct yet firmly anchored at the bookend corner of Kippax and Waterloo Streets,” DKO wrote.

The development is also aiming high on sustainability. Features include rooftop photovoltaics, water-efficient landscaping with local species, and a commitment to all-electric infrastructure. 

The project is lodged under the Housing SEPP and seeks approval from the City of Sydney. There have been very few new apartment developments in Surry Hills in recent years. Some of the most notable has been redevelopments of former commercial buildings, as opposed to demolishing buildings.

That's the plan for national developer Time & Place, which has recently submitted their State Significant Development Application for Marlborough House, the redevelopment of the original David Jones department store warehouse and factory building on Marlborough Street. The development will have around 150 warehouse-style apartments.

Joel Robinson

Joel Robinson is the Editor in Chief at Apartments.com.au, where he leads the editorial team and oversees the country’s most comprehensive news coverage dedicated to the off the plan property market. With more than a decade of experience in residential real estate journalism, Joel brings deep insight into Australia’s evolving development landscape.

He holds a degree in Business Management with a major in Journalism from Leeds Beckett University in the UK, and has developed a particular expertise in off the plan apartment space. Joel’s editorial lens spans the full lifecycle of a project—from site acquisition and planning approvals through to new launches, construction completions, and final sell-out—delivering trusted, buyer-focused content that supports informed decision-making across the property journey