Hmmm, that's interesting. You seem to be right that they offer the City/Harbour King for award stays, and in fact that was even the cheapest paid room I was able to find pulling up various dates. And the City/Harbour King does state in the description that it has a "private balcony overlooking Sydney Harbour". But if you pull up the list of rooms from the hotel homepage, it lists a "Park King" which I assume is the base room overlooking the back of the hotel with terrible views. I'm surprised they don't make those available for award stays.