Australian studio Alexander & Co kept to a restrained palette of black, white, and grey for the renovation of this waterfront holiday home in Sydney, so as not to distract from the view out to sea.

A monochromatic colour scheme features throughout the interior of the 310-square metre property, called Palm Beach House, while large windows frame impressive views of the Pacific Ocean.

The house is situated in the coastal suburb of Palm Beach, an affluent area populated by grand estates and upscale cottages.

Originally built in the 1980s, the house had fallen into a state of ruin – its concrete facade was cracked and several of its wooden window shutters were broken. Plus its rooms were also mostly finished with cheap plasterboard, painted in beige.

This was enough to convince its current owners, a couple with two young children and a dog, that the home was in need of a complete overhaul.

They asked locally based studio Alexander & Co to transform the "uncharismatic and barely functional" property into a family getaway where they could also entertain friends.

"Our client was very open to our design direction, whilst providing limited but clear feedback that the house should be rich with detail and have the feel of being on holiday," Jeremy Bull, principal of the practice, told Dezeen.

The architects first had to make a series of structural changes to the home.

While a majority of the external masonry walls were able to be restored, the roof and internal partitions had to be rebuilt. Several new windows were then created at ground level to provide a better visual connection with the ocean.

Walls in the open-plan living area are painted entirely white, along with cabinetry in the kitchen. Grey marble also features heavily, forming surfaces in the kitchen and a fireplace in the living space, complemented by stone-coloured sofas.

Touches of warmth are offered by wooden dining chairs and a timber ceiling, created from panels of American oak.

A black frame staircase leads upstairs, where colour is subtly introduced through brass bathroom fixtures and teal-coloured bed linen.

"The pared-back interiors, subdued palette and handmade quality creates a 'lived in' atmosphere for the client, an important element for them to experience a sense of place and history," said Bull.

Alexander & Co is shortlisted for emerging interior designer of the year in the inaugural Dezeen Awards, while Palm Beach House featured on the house interior longlist.

The studio is not the only one to have recently completed a residential project with monochrome interiors. Arent & Pyke recently updated a 1930s Sydney home with black and white living spaces to allow the owner's extensive art collection to take centre stage.