Land subdivision from the 1870s saw development east of Milsons Point in the Neutral Bay and Mosman, New South Wales areas.
Mosman was first an excursion area and residential development had suffered until the regular ferry services began in the 1870s.
[1] Milson's Point became the harbour's busiest wharf with the introduction of a connecting tram service from Ridge St North Sydney.
Sydney Ferries Limited also became significant harbour-side land owners buying and developing properties for the lucrative excursion trade.
In 1906, the company purchased the Thompson estate at Clifton Gardens (in Mosman) including land, the three-storey hotel, wharf dancing pavilion and skating rink.
The company built a large circular swimming enclosure that could hold 3,000 spectators, a boatshed and a tramway from the wharf to the hotel.
[3] In addition to buying out most of the other ferry operators and their assets,[5][6] between 1900 and 1914 the company acquired 25 large vessels - mostly of the type known as the K-class - on its own accord.
The company's largest vessels, Kuttabul and Koompartoo were delivered in 1922, each with a capacity of over 2,000 passengers for the heavy lift Circular Quay to Milson's Point run.
While North Shore services would continue to grow until the opening of the bridge in 1932, decline in demand for other routes saw the company contract steadily from 1928.
[8] Prior to the opening of the Sydney Harbour Bridge, the company carried more than 40 million passengers per annum, three-quarters of which travelled on the Milsons Point-Circular Quay route.
[9] The large Milsons Point ferries, Koompartoo and Kuttabul were immediately redundant and used mainly for concert and showboat work until the outbreak of World War II.
[6][12][13] After investigating the possibility of using statutory powers to compulsorily acquire the business without paying compensation, the government agreed to purchase of the fleet for a nominal sum, and on 1 July 1951 the 15 ferries and the workshops were sold to the government agency established for the purpose, the Sydney Harbour Transport Board.
[6][13][14] Sydney Ferries continued its business through its freight and showboat cruise company, Harbour Lighterage Pty.
The government contracted out operation of the fleet and Balmain workshops to the Port Jackson and Manly Steamship Company, through a subsidiary set up for the purpose, Sydney Harbour Ferries Pty.