"There doesn't seem to be a clear plan for what they're trying to do and it's not helping anybody," Mr Ree said.

He said his contract was later amended to allow opal products to occupy 10 per cent of his retail space.

Place Management NSW, which oversees The Rocks, has said Rockhounds was relocated closer to the Overseas Passenger Terminal, consistent with its leasing strategy to house the more tourist-focused shops in that area. An Ugg brand store has also been set up there.

Place Management has also said tenant leases in The Rocks specify the agreed products for sale in the lease agreement.

The "Made by Many Hands" strategy was retired in 2019, according to the public agency.

Place Management CEO Sam Romaniuk said The Rocks had always needed a balance of retail to appeal to Sydneysiders as well as tourists.

"This leasing strategy considers potential lessees in The Rocks according to both geographic zones and the type of retailer to ensure a diverse collection of shops, restaurants and bars that will appeal to our target audiences," Mr Romaniuk said.

Businesses, meanwhile, have called for the historic precinct to be reimagined, and complain the area has lost its identity as local traders suffer a devastating slump in sales following the erasure of the tourist market and impact of lockdown measures during the COVID-19 pandemic.

Mr Ree said there was hardly anyone visiting, and while he acknowledged the famed weekend markets were important for many of the businesses, his own sales figures showed it was the least profitable time of the week.

Loading

Renata Bernard, owner of The Rocks store Opal Minded, said she wanted to see greater community engagement.

"We are the face of Australia to the premium travellers, yet there is little awareness of businesses like ours giving this flavour to The Rocks," she said.

Sydney Business Chamber executive director Katherine O'Regan said if the area was going to be reinvented, the mix of businesses was very important.

She has previously written to Place Management NSW asking it to work with the business sector to develop a tourism strategy aimed at bringing Sydneysiders back to The Rocks.