Dunbar House - Watsons Bay
Fully Licensed (no BYO)
Just 30 metres from the shores of Watsons Bay and located in a stunning historic building, Dunbar House offers the quintessential Sydney dining experience. The surrounds may be plush, but the atmosphere is relaxed and casual. Great for long lunches and high tea. Dunbar House is also opening for dinner with a special "Summer Nights" menu on the 9th, 17th and 23rd of January, 2013.
Source: Best Restaurants of Australia