Hi Richard Ward,
Thank you for reaching out to us on the Microsoft Q&A forum.
As an original poster cannot accept their own answer, I am reposting it so that you can accept it an answer. Accepted answer will help other community members navigate to the appropriate solutions.
Issue: Conditional Forwarder to Azure DNS Private resolver sometimes returns a public IP address for a private endpoint.
Solution: We have now resolved the issue. On the internal windows DNS server, we initially created a conditional forwarder to privatelink.database.windows.net. However, what we did to resolve the issue was to remove this and create a conditional forwarder to database.windows.net. After doing this, running nslookup to xxx-xxx-xxx-xxx.privatelink.database.windows.net always returns the correct result.
Remember to "Accept Answer" so that others in the community who are experiencing similar challenges can easily find a solution.
Your contribution is greatly appreciated.
Regards,
Ganesh