A second search will soon get underway to find someone to run the restaurant in the refurbished North Wollongong Surf Life Saving Club building, after the original commercial agreement fell through.
North Wollongong SLSC president David Meredith said an agreement with well-known Sydney restaurateur to run the upstairs eatery in the revamped surf club building had collapsed.
In mid-January, the prospective operator was understood to have been finalising their development application for the restaurant.
Mr Meredith expected a new expressions of interest process to begin shortly.
The work on the clubhouse was largely finished months ago, although minor works and defects are still to be done.
"One of the outstanding items are the fittings for door seals, which will be completed by the contractor once the parts have been supplied," a Wollongong City Council spokesperson said on Friday.
The other part of the $10.5 million project, the seawall, is still months from being finished, having originally been slated for completion in mid-2022.
It is now expected to be finished by August.
The council spokesperson said the project had faced a number of challenges, including "extended bad weather, heavy rains and large seas, supply chain issues and increased costs of materials".
But they said the new seawall's foundation works were finished and form work for the beach access ramp was underway.
Precast concrete sitting bleachers and stairs to be fitted in April.
"Their installation will be an eye-catching affair with a very large crane required to move the hefty precast pieces into place," the spokesperson said.
"Once these have been installed, the landscaping work, including the laying of turf and plantings, will start along the concrete promenade, sitting walls, pathways to the west of the seawall."
Mr Meredith again voiced disappointment that the project had stretched on for so long.
Meanwhile, the council has submitted a cultural heritage report to Heritage NSW after items of potential significance were discovered, in support of an application for heritage approval.
"The next steps will be guided by advice from Heritage NSW," the council spokesperson said.