As born and raised "Newcastle boys", Joe Berriman and Glenn Carroll felt a sense of pride at being able to breathe new life into one of the city's landmark properties.
The Nero Group Australia executive directors bought the well-known Federation property that once formed part of Merewether Estate in January.
It was marketed with Development Application approval to knock down the circa 1910 residence and build seven new dwellings on the 1242 square metre block.
But Berriman, a carpenter by trade, and Carroll, a licensed real estate agent, thought the residence was worth saving.
"There was a family that I knew that had had this property," Mr Berriman said. "It obviously got ran down over the years. I kept driving past it and I knew there could be something amazing happen to it.
"We started to notice the sign was going up for an apartment development and basically just put an offer in on the property. Glenn and I came up with a plan to bring the old place back to life."
The property, which was used in recent years as a day spa and Bed and Breakfast has been subdivided into three titles.
Merewether House remains on a block 638 square metres in size. Two new luxury residences will be built on the land below it.
"It had been let run down almost to the point where it had to be demolished," Mr Carroll said. "We've taken a lot of time with the design to get it right and to save the home was important.
"It was important that we designed something that protects the integrity of the past but also resonates with what is new. This is a positive reflection of that mandate - protect the old but make it modern and new.
"The amount of people who come by and tell us their stories of the property has been incredible."
Anyone who has driven past the property at 285 Glebe Road in the past five months will have watched its transformation.
The result is a luxury four-bedroom, two-bathroom residence with ocean and city views and original features throughout. There are four separate living spaces, including a whiskey room. A luxury parents' retreat has its own sitting area, bar, ensuite and private access to a plunge pool with waterfall feature.
Inside the turret, recognisable from the road, is "the dining hall".
There are 12-foot ceilings, cast-iron fireplaces, leadlight windows, Kauri timber floorboards, french doors, a wrap-around verandah and the main bathroom retains its original mirror.
The home also features full WiFi Smart Sonos surround sound.
"Since we started the restoration, the response has been overwhelming," Mr Berriman said.
"I think everyone has their own little story about this home and which we've found out more and more as we've been going with this development. It's a beautiful home and it's awesome to bring something like this back to Newcastle.
"It was about saving something with a bit of history. It's pretty amazing when you can bring something like this back to life."
Merewether House has been listed for sale and interest is expected to be widespread. A guide has not been disclosed.