The Apartments formed in Brisbane in 1978 around the songwriting vision of Peter Milton Walsh, remaining the band's sole constant member through four decades of intermittent activity. The original lineup included Michael O'Connell (guitar, vocals), Peter Whitby (bass, vocals) and Peter Martin (drums). Their name derives from Billy Wilder's 1960 film The Apartment.
Walsh briefly joined The Go-Betweens when they received an eight-album offer from Beserkley Records. Grant McLennan and Robert Forster described the dynamic: "Walsh is night... We are day. We're sun, he's rain." When the Beserkley deal collapsed, Walsh returned to The Apartments, with The Go-Betweens commemorating his style on their B-side "Don't Let Him Come Back": "Here he comes, with his twelve o'clock junk... who's that dressed in black?"
The band recorded their debut EP The Return of the Hypnotist for The Go-Betweens' Able Label in May 1979, dissolving that October when Walsh left Brisbane. After forming Out of Nowhere (1981-1982) and relocating to New York to join The Colors, Walsh spent time touring with Ed Kuepper's Laughing Clowns, recording Law of Nature and the single "Eternally Yours."
The Apartments reformed in 1984 with Gary Warner (piano), Joseph Borkowski (bass), Graeme Beavis (guitar) and Bruce Carrick (drums). Rough Trade Records signed them in June 1985 based on early demos. Walsh moved to London, and their debut album The Evening Visits... and Stays for Years appeared that year, featuring guests Clare Kenny (Orange Juice), Ben Watt (Everything but the Girl) and Graham Lee (The Triffids).
NME critic Jane Wilkes wrote: "This album is a pure heart-wrencher, and should only be listened to after dark." French critic Bayon in Libération compared them favorably to Nick Drake, Bob Dylan and Alex Chilton. The album became a cult success in France and appeared on NME's 1985 Albums of the Year list.
Following several lineup changes and the single "The Shyest Time" (featured in John Hughes' Some Kind of Wonderful), Walsh returned to Australia as Rough Trade entered receivership. The Apartments recorded Drift (1993), which Les Inrockuptibles ranked 19th in their year-end list, followed by A Life Full of Farewells (1995), Fête Foraine (1996) and Apart (1997).
Personal tragedy struck during Apart's completion when Walsh learned his young son had a life-threatening illness. Walsh suspended musical activities, and his son died in September 1999. "I felt entitled to nothing," Walsh later explained.
John Willsteed convinced Walsh to reform The Apartments in 2007. Since then, the band has toured extensively, particularly in France, released No Song, No Spell, No Madrigal (2015) — which French magazine Magic named their number one album — and In and Out of the Light (2020), maintaining their reputation for emotionally resonant chamber pop.