Childcare property bonanza

Sunday 27 January 2019

Darwin’s commercial properties are proving popular with interstate investors after a childcare centre was sold for more than $5 million.

The Zuccoli childcare property was sold at auction in September and settled in November for $5.15 million.

It is leased to Creative Kids Childcare, the brand’s third operation in the Territory.

The property was bought by a Queensland-based family who regularly conduct business in Darwin.

Burgess Rawson childcare specialist Jamie Dewe said it was an encouraging sale for Darwin’s commercial market.

“It’s a pretty significant sale for the Darwin area,” he said.

“Childcare assets are one of the top asset classes for investors in the last four or five years, they’re very popular.

“They’re self-sufficient. You have a property manager looking after it, it’s something you’d only have to see a few times a year and they’re a friendly asset.”

The auction was at Melbourne’s Crown Casino, with bidders from multiple states.

It was built by Hutchinson Builders and completed in early 2018.

It was advertised six weeks prior to auction and attracted significant interest.

“We had a good campaign. There were twenty or thirty enquiries, down to four or five on the bidding day,” Mr Dewe said.

“Zuccoli is a magnet for young families and boasts a high demographic of children under 4 years old,” he said.

“The property’s location really couldn’t be more ideal. Zuccoli itself is one of the Northern Territory’s fastest growing regions.”

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Written by Raphaella Saroukos, Sunday Territorian