From cacio e pepe to cask wine: embracing the delightful melting pot of Potts Point

Three 1870s terrace houses make up Spicers Potts Point, the luxury hotel chain's second urban retreat, opening in 2017 after Spicers Balfour Brisbane. But the glorious Sydney terraces wouldn't be there at all if it wasn't for the 1970s "green ban", which saved the buildings from high-rise developers and paved the way for a heritage listing. Now they stand as some of the city's best examples of Victorian architecture.

You could be in the upmarket enclaves of Manhattan's West Village or London's Chelsea walking down Victoria Street in Potts Point. The well-kept buildings, shady trees and community vibe feel homely, and though you're within walking distance to Sydney CBD, you could be miles away. A few streets away, what was once a thumping and gritty Kings Cross has been transformed with well-heeled residents, wafts of expensive perfume and small dogs. But the area is still true to its grungy roots. A uni student pauses on the footpath across from the famous Wayside Chapel, a discarded pair of underpants and an empty cask wine box on the footpath near her, as she texts obliviously. It's a delightful melting pot.

The heritage terraces have been converted into a modern resort embodying old-world elegance. It's airy inside, with natural light and plants filling the Garden Room where breakfast is served, and an honesty bar brimming with a classy selection of wines and spirits, in case you fancy a nightcap. The floorboards under the carpeted stairs make for a noisy ascent and descent (particularly when you're in the rooms underneath) but this adds to the vintage character.

Our Victoria Terrace Suite is oh so spacious. Polished floorboards covered with a rattan rug, two old (no longer used) fireplaces and high ceilings are charming examples of the room's historic soul. The showpiece is the balcony, running the length of the room and accessed by two sets of French doors that can be flung open to reveal a view of the quiet residential street, dappled light between the plane trees, and city glimpses through the buildings across the street. I sit for hours here, looking out over cars parking, listening to the honk of a horn from Sydney traffic, and a woman calling "bye darling" to a friend after lunch.

Potts Point is a foodie paradise and a street away from the hotel, we stumble upon Chester White Cured Diner where we savour hand made empanadas, and cacio e pepe served from inside a truffled pecorino cheese wheel. Around the corner, scallop and prawn wontons with black vinegar and chili oil are slippery and flavoursome at Fei Jai Chinese, and cocktails at The Roosevelt, organised crime boss Abe Saffron's first nightclub, remind us of the old Kings Cross underbelly.

You must have a drink at the Kings Cross Hotel while watching the local characters go by, and if you're visiting on a weekend, pop over to the Potts Point Market for falafel and patisserie cakes. The hotel does breakfast only and a no-fuss smashed avo is enjoyed on the balcony of our room.

Come to Potts Point for the food, stay for the community vibe. And that balcony: our afternoon gin turns celebratory as the bells of St Mary's Cathedral start to chime - someone's just been married.

The writer was a guest of the hotel