Watson's Bay is located at the southern head entrance (commonly called South Head) to Sydney Harbour.
It is recognised as Australia's oldest fishing village – established in 1788 – and is generally just a lovely place to hang out.
The Watson's Bay Hotel beer garden is a great way to wile away time watching ferries berth and sea planes touching down. The famous Doyle's Restaurant opened here in 1885 – roughly on the spot where the first Mr Doyle sold fish. The restaurant has been in the same family since opening!
I took this photo from the wharf – the hotel (pub) is the building on the right and Doyles Restaurant is the cream building in the middle. I'm sure I will spend time here on my visit home as my friend AH lives just down the road!