Renowned seafood chef Josh Niland has announced the December 15 closure of his two-hatted St Leonards restaurant Petermen, citing “extremely challenging” financial conditions.

Petermen was the second fine-dining venture from Niland and his restaurateur wife Julie, who opened the 60-seat restaurant in February 2023 to widespread acclaim – including that of celebrity chef Jamie Oliver, who described the experience as “exceptional” during a visit the following November.

“Our time on Chandos Street … has brought a lot of joy to us and our team, and we have welcomed the most incredible guests,” Niland said.

“However, the past 12 months have been extremely challenging for independent businesses within the hospitality industry [and] sadly, Julie and I have had to make the decision to close Petermen.”

A spokesperson for the couple said the decision came after a yearly review of the business revealed the costs of the “unpredictable commercial environment”.

The Nilands thanked the St Leonards community for its support and said their team (including head chef, Good Food Guide 2023 Young Chef of the Year Tom Foster) would be moved to the new three-hatted Saint Peter in Paddington, or Fish Butchery in Waterloo.

Petermen was created as an accessible, a la carte, alternative to Saint Peter, allowing diners to try Niland’s “nose-to-tail” signature dishes such as hand-caught, dry-aged charcoal coral trout and “eyes” cream sandwiches (made with fish eyes) without paying upwards of $190 for Saint Peter’s set menu at the time.

Its closure caps a rollercoaster year for the Nilands. In March, they announced the consolidation of their seafood empire with the closure of Rose Bay takeaway shop Charcoal Fish and the Fish Butchery outlet in Paddington. At the time, a spokesperson for the couple blamed slow winter sales.

But the move allowed the couple to focus on the relocation of Saint Peter to a larger, more elegant space at The Grand National Hotel in Paddington, where it opened in August with a new private dining room, adjoining bar, and plans for a 14-room boutique hotel over the two floors above.

In November, the new Saint Peter – described as “one of the most cracking times you can have sitting at a table in Sydney” by Good Weekend reviewer and Good Food Guide editor Callan Boys – was awarded three hats by the Good Food Guide, and crowned Restaurant of the Year.

Then, shortly after, the pair announced plans to open a family-friendly restaurant on Hamilton Island, at The Sundays luxury boutique hotel. While the name is yet to be announced, it’s expected to focus more on land-based proteins than previous ventures.

The Nilands will enter the new year with three venues – Saint Peter in Paddington, Fysh at the Edition Hotel in Singapore and Fish Butchery in Waterloo. But more is to come, according to a spokesperson for the couple.

Good Food has reached out to Josh Niland for further comment.