AN original 1960s home overlooking Bar Beach has fetched the highest price paid for a residential property in the suburb.
The five-bedroom property at 2 Bar Beach Avenue has sold for a record-breaking $7.05 million after 28 days on the market listed with selling agent Natalie Tonks at Presence Real Estate.
A family from Newcastle are the new owners and plan to demolish the existing house to build their "dream home", according to the agent.
Ms Tonks said the property drew 67 enquiries throughout the campaign.
"We had 24 groups through the home," Ms Tonks said.
"A couple of those did look at it to renovate but the home but the majority of buyers were looking at it as a knockdown rebuild."
The price topped the previous record of $6.9 million set in July last year following the sale of a modern five-bedroom, three-bathroom home at 96 Memorial Drive.
The property was marketed for sale with two sets of DA-approved plans including a Mediterranean-inspired rebuild by Derive Architecture and Design with two four-bedroom, two-bathroom homes with a double garage and a lift connecting the floors.
A second set of plans from Newcastle design firm Craggspace included DA approval for a six-bedroom home with a four-car garage.
"That DA approval really appealed to buyers," she said.
"Anything that is DA approved has a benefit for sure and if somebody wanted to customise the plans to suit their requirements they could amend the plans."
The location of the home is arguably one of the best in Bar Beach, with the 574 square metre corner block on Memorial Drive taking in panoramic ocean views.
"It is one of the best blocks in Bar Beach because it has the closest access to the beach," she said.
Other significant sales in Bar Beach include the $6.85 million sale of a house at 92 Memorial Drive last year and and 80 Memorial Drive which sold for $5.8 million, also in 2022.
The record sale marks the fifth property Ms Tonks has sold for more than $5 million this year.
The art deco home was built in the 1960s and is split across two levels, with the kitchen and dining area taking in expansive water views through a series of windows that run along the front of the house.
The ground level has a lounge room and a separate living area, plus four bedrooms and the original retro bathroom.
Upstairs has the master bedroom with a walk-in robe and ensuite, with the bedroom window providing a vantage point across Bar Beach.
CoreLogic records show the property was last sold in October 2021 for $6.65 million.
Bar Beach holds the title the most expensive suburb in Newcastle with median house value of $2.12 million, according to CoreLogic.
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