Terrace houses in Australia began to be built in early 19th century Sydney, closely based on the models found in London and other UK cities. They soon developed unique features, particularly elaborate balconies, and became a very popular form of housing right through the Victorian era, with some still built in the Edwardian period. Large numbers of terraced houses were built in the inner suburbs of the two large Australian cities, Sydney and Melbourne, mainly between the 1850s and the 1890s, with some examples in the smaller cities and towns.

The Rocks is a suburb, tourist precinct and historic area of Sydney's city centre, in the state of New South Wales, Australia. It is located on the southern shore of Sydney Harbour, immediately north-west of the Sydney central business district.