Positioned on a rocky peninsula between to Budva and Petrovac, this villa is separated from the mainland by sea and vegetation. The house sits directly above the Adriatic, surrounded on all sides by water and mature pine trees. Its origins stretch back several centuries, with later adaptations allowing the structure to remain in continuous residential use.

The accommodation is arranged across a series of connected volumes that respond directly to the terrain. The main house contains two bedrooms with en-suite bathrooms, an additional bathroom, and a sequence of living, dining and kitchen spaces oriented toward the sea. A further two bedrooms, each with its own bathroom, are set directly into the rock, extending the home laterally rather than vertically. Together, the interiors total approximately 200sqm.

Seven stone terraces wrap the site, stepping gently through shaded clearings beneath the pine canopy and opening to long views across the water. The interior palette reflects the building’s material origins, with exposed stone walls, timber beams and wooden furnishings offset by onyx-lined bathrooms and contemporary appliances.

Set within 1,200sqm of land and entirely detached from neighbouring development, Villa Peninsula offers a rare example of historic coastal architecture adapted for modern living on the Montenegrin coast. It’s currently listed with Montenegro Sotheby’s International Realty, price on application.

Read next: Case Study modernism comes to Ventura at this live-work compound

A historic townhouse in Mallorca reveals layers of craft