The hospital was exclusively for patients who were convalescing and in need of rest, fresh air and peaceful surroundings.  Patients were referred by many Sydney hospitals including St Vincents, Royal Prince Alfred and Sydney Hospitals.  Most patients stayed for up to four weeks and running costs were met from interest on part of Thomas Walker's endowment.

In the first year of operation, 608 patients were admitted.  The poet Henry Lawson was a one-time patient and penned a poem "The Unknown Patient" which was published in "The Bulletin".  See Page 6 for a copy of the poem.