Darlinghurst Mansion Iona Relisted With $13-m Price Reduction

The heritage-listed Iona mansion in Darlinghurst has been re-launched to market with a revised guide of $27 million, down from $40 million in its earlier campaign.

Market Shift In Darlinghurst

Iona, the seven-bedroom Victorian Italianate residence at 2 Darley Street, Darlinghurst, has returned to market after its previous campaign ended without a sale. The property was first listed in 2024 with a $40 million guide. It has now been reintroduced with new agents at a reduced guide of $27 million.

Sydney real estate — *Photo Credit: Sotheby’s*

Agents And Vendors

The property is being marketed by Maclay Longhurst, Harriet France and Clint Ballard of Sotheby’s. Current owners Tim Eustace and Salvador Panui acquired the estate from filmmaker Baz Luhrmann and designer Catherine Martin for about $16 million between 2015 and early 2016. The new campaign seeks to reposition Iona within a competitive environment, with the agents describing the revised figure as better aligned with current market conditions.

Features Of The Estate

Built in 1888, Iona sits on 2716 square metres, making it one of the largest private residential landholdings close to Sydney’s CBD. The property has seven bedrooms, seven bathrooms and parking for twelve vehicles. Its features include a 20-metre pool, landscaped gardens, a wine cellar, a self-contained apartment, a gym and multiple formal and informal living areas. The interiors preserve period details such as stained glass windows and ornate ceilings while incorporating modern updates including a renovated kitchen.

Iona mansion — *Photo Credit: Sotheby’s*

Historical Background

The estate was constructed by pastoralist Edward Chisholm in 1888, replacing an earlier cottage on the site. From 1912 until 1977 it operated as a private hospital under various names. Iona was later saved from demolition and in 1976 was placed on the National Trust’s heritage list. It was added to the New South Wales State Heritage Register in 1999.

Luhrmann and Martin purchased the property in 2006 for $10 million and used it as both a residence and workplace for their production company Bazmark, where films including The Great Gatsby and Australia were developed. They later sold Iona before relocating overseas.

Iona Darlinghurst — *Photo Credit: Sotheby’s*

Cultural Role

During their ownership, the house became a venue for social gatherings attended by actors including Nicole Kidman, Tom Cruise, Ewan McGregor, Tobey Maguire and Joel Edgerton. The property also hosted charitable events such as the Sydney Children’s Hospital Silver Party in 2016.

Next Steps

With the $13 million reduction and a new sales team, Iona is being presented as a family residence with potential for broader use, reflecting its size and history of partial commercial zoning. The outcome of this new campaign will determine whether the landmark Darlinghurst estate secures a buyer after its earlier unsuccessful attempt.

Published 24-Sep-2025