We stayed 7 nights at Palazzo Penelope in late Sept 2016. We only booked the downstairs apartment as it was only my wife, 18 month old son and myself.
We realised on booking that we were not going to have access to the top terrace but the bottom terrace looked more than enough for the three on us.
The apartment is impressive and the view is amazing. You are right on the cliff edge. The decor and furnishing is lovely and we really enjoyed the feel of the place. For a large group booking, the entire place would be ideal.

It wasn't perfect for us though.

The bottom terrace didn't receive any sun in late Sept. Given the angle of the sun at this time of year, it was in shadow all day. I would think it only receives sun at the height of summer. The photos show it in sun, so we were disappointed when we found this out. It's only an issue if you're renting half the house, as otherwise you would have access to the roof terrace. Finding a house with a large terrace that we could sit in the sun was one of the main reasons we booked this place. Even though we explained this, we could not access the top terrace without paying extra money. I would hope that Pernille advises future guests about the lack of sun if they do not book the whole house. For us, it was a cold, sunless week in sunny Polignano a Mare.

We did find the house had some silverfish. Both Enza (who greets you and was lovely) and Pernille said it's very common close to the ocean because of the moisture and it's not a problem. But it was disconcerting to see them climbing the walls in the lounge, under wood ornaments, behind pictures on the wall.

We also had 2 x single bed quilts on a queen size bed. I have not come across this before...bit weird.

This apartment is also featured on a luxury apartment website, so we were expecting a higher level of presentation.