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Piv said..
Catch the manly ferry from circular key/quay. That takes you across the harbour and great views of the opera hose and bridge and maybe some 18foot skiffs or foiling moths out sailing if you are lucky in the afternoon. Ferry from circular key to darling harbour takes you under the bridge. From darling harbour you can stay on it for a tour of the harbour. Sydney has lots of things to see on foot around the city. Ask the hotel desk for a tourist map.
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And when you do get to Manly, if it's pleasant day, walk to the end of the Corso, turn right and after about 150 metres there's a wide path that leads around a little bay to Shelly beach and Fairy Bower. If it's a very sunny warm day, you may be lucky enough to see the very rare and endangered "pink nosed whiter pointers" basking in the sun on the rocks
If you're on the Manly corso around lunch time and fancy a bit of seafood, there's lots of choices nearby, my favorite is Mongers in Rialto square on Wentworth st. I like the char grilled baby octopus with he tempura vegies