44 Union St, McMahons Point has a $13.5m price guide for September 28 auction.

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Kailoa stands as a testament to the rich history of McMahons Point.

Originally part of the Graythwaite estate, the heritage-listed home dates back to the 1880s but has undergone a meticulous transformation over the past two decades.

The late insurance magnate and vintner Tony Maxwell and his widow Robyn Godlee bought the 1878sq m estate for $3.8m in 2003, then set about sympathetically renovating it into a single-level six-bedroom home with a pool and manicured grounds.

The residence, at 44 Union St, is now set for September 28 auction with a $13.5m price guide via Tim Frazer and Nigel Mukhi of Di Jones Lower North Shore, with Saturday inspection times 1.45-2.15pm.

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NSW premier Sir George Dibbs, who held office in the 1890s, lived in the home.

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The entry foyer has 3.7m ceilings, herringbone floors, intricate arches and silk-painted Venetian lighting.

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“It is the largest privately owned landholding in McMahons Point and is steeped in history with modern luxury,” says Mr Frazer.

Initially built for banker Sir Thomas Dibbs, Kailoa was also the one-time home of his brother, NSW premier Sir George Dibbs, who held office in the 1890s.

Now the largest private property in the suburb, the Union St home is a prime example of blending past and present under one roof.

Beyond the circular driveway and wrought-iron front gate, the character facade features Flemish bond brickwork and authentic imported Welsh slate tiles.

But beyond the historic facade, a modern kitchen and living areas await.

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The central winter garden-style courtyard includes a water feature.

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Inside, the heritage touches continue through the entry foyer with 3.7m ceilings, herringbone floors, intricate arches and silk-painted Venetian lighting.

The spacious formal lounge room has a deep red and terracotta palette, a marble fireplace and bay window, while the adjoining library is a bibliophile’s dream illuminated by a crystal chandelier.

The library and home office open via French doors to the wraparound sandstone terrace.

In the modern living zone the open-plan space features a modern kitchen with its dolomite stone island bench and convenient butler’s pantry, as well as a central winter garden-style courtyard with water feature.

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An aerial view of the special property.

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Wine enthusiasts are also catered for with a 3000-bottle temperature-controlled wine cellar.

Each of the six bedrooms have built-in wardrobes and the palatial main is home to a large dressing room, bath ensuite and cosy fireplace.

Outside are a 17m gas-heated lap pool, a gym, a kitchen garden, manicured hedges and a double carport with additional off-street parking for up to 10 cars.