Champion skipper Anthony Bell allegedly got it wrong when he walked up the jetty and to a deck to collect his children from the Watsons Bay property he used to share with his now estranged partner, former television presenter and model Kelly Landry.

Police in January sought an apprehended violence order against Mr Bell on behalf of his wife, a condition of which prohibits him from entering the premises where Ms Landry resides.

In the Downing Centre Local Court on Thursday, Magistrate Peter Barnett rejected an application to add a condition that would require Mr Bell to remain a specific distance away from the property, advising that the nanny should walk the children down the jetty when he collects them by boat in the future.

The court heard that Ms Landry was under the impression that Mr Bell might be stalking her and had fears for her safety.

The application to add the new condition came after a series of strange occurrences outside Ms Landry's property on February 22.

Ms Landry's brother, the court heard, believed he had seen Mr Bell driving past the home in his Aston Martin Vanquish and told his sister: "I don't want to alarm you but Anthony is out the front of your house".

"Knowing that Anthony was in the area made me stressed and anxious. I called the kids' school to make sure they were still there," Ms Landry wrote in a statement.

Concerned, Ms Landry reviewed security footage and allegedly spotted a man taking photographs and a woman "in disguise" wearing a headscarf outside her home on the same day, the court heard.

Entering the witness box, Mr Bell, a celebrity accountant who skippered his supermaxi Perpetual Loyal to claim line honours in the Sydney to Hobart yacht race on December 28, denied he had ever been to the home without obtaining prior permission.

"Do you own a wig?," Mr Bell's lawyer Chris Murphy put to him

"No," Bell responded.

"Have you ever dressed up as a woman?"

"No."

"You were at work that day?"

"Yes."

Asked if he wanted anything further to do with his wife, Mr Bell said divorce proceedings had commenced.

"The answer is no....other than for the parenting of the children."

A security guard gave evidence that on the day and times in question, Mr Bell's Vanquish was in a car park in the King Street Wharf precinct.

Mr Bell's executive assistant also told the court he had been engaged in a meeting in his office at the time. The court also heard that the Vanquish spotted outside Ms Landry's house had a different coloured roof and wheels to that belonging to Mr Bell.

Mr Bell, however, conceded that on one occasion in February, when he planned to pick his children up by boat to take them to Luna Park, he had walked up the jetty to the deck of the property.

Magistrate Barnett said he could not be satisfied on the balance of probabilities that it was Mr Bell's car that passed by the home or that he was in any way responsible for the woman in the headscarf or the man taking photographs.

"I'm not saying she doesn't hold the fear but it ceases to be rational when it isn't Mr Bell," Magistrate Barnett said.

"It's like being scared of the bogey man. In the same way the bogey man doesn't exist a child's fear is just as strong."

Magistrate Barnett said he was not satisfied a 50-metre exclusion zone was necessary and if was imposed Mr Bell "wouldn't be able to sail his boat, go fishing, do whatever".

"The whole situation will be rectified by him understanding exactly what it means when it says where Ms Landry lives," Magistrate Barnett said.

An interim apprehended violence order remains in place. Mr Bell is challenging the order, and a hearing is due to take place in May.