The Feros Group has been appointed to operate an upstairs bar-restaurant and downstairs kiosk in the redeveloped North Cronulla Surf Life Saving Club.
Club president Geoff Budd confirmed contracts were signed on Friday after the group was chosen as the preferred tenderer in October.
Feros Group owns and operates the Highfield Caringbah hotel, The Prince at Kirrawee and Taren Point Hotel.
Under the proposal accepted by the club, the upstairs, 250-seat venue will be open to the public, with a focus on good food in a casual environment, rather than high-end dining.
The downstairs area, on the south-eastern corner, will continue the informal atmosphere of the former kiosk cafe, but with modern facilities.
The redevelopment has received planning consent, but a separate development application (DA) is required for the fitout of the food and beverage areas.
Feros Group chief executive Chris Feros said following the signing of contracts, "It's final now, and we are going to lodge a DA".
"This is a massive opportunity and we are so excited," he said.
"We believe we can do something really good for the shire. We think it's the best location in Cronulla.
"We will be keeping it nice and simple. The upstairs bar-restaurant will be something special.
"Subject to DA approval, we hope to open at least the kiosk by the end of 2022, and hopefully the upstairs, too."
Demolition of the old section of the club is due to start early in 2022. Temporary toilet facilities are already in place.