So we've unpacked it all and I put the owl on the back verandah in line of sight from the back door and went about putting the plants in what I thought were good locations.
I walked in the front door and could see Nutmeg had arched her back and the fur on her back and tail were standing to attention as she stared at the owl about 2m from the back door. It was pretty funny but she was obviously a little stressed about it, so brendan picked her up and I brought the owl to the back door so it was viewable for her, but on the other side of the screen door so "safe" etc.
She still fluffs her tail out when she sees the owl outside, it quadruples in thickness, but hasn't arched her back or fluffed her back fur up again, so missed a brilliant photo, but did capture this.
Her tail is fluffed but no where near as much as the initial encounter with the "alien" outside lol