A Dubbo childcare centre will continue to be operated by G8 Education after the property was sold prior to auction for more than $1.5 million.
The centre at 8 Goode Street maintains a new lease to G8 Education until March 2032, plus options to 2052.
The property was bought for $1,510,000, at a yield of 5.70 per cent prior to its scheduled sale the Burgess Rawson flagship Sydney portfolio auction.
The property’s sale follows a strong run of childcare asset sales for Burgess Rawson, which was responsible for more than $220 million worth of childcare sales in 2017 alone.
Burgess Rawson NSW sales executive and childcare expert, Michael Vanstone, said childcare was Australia’s strongest commercial property asset class.
“This property’s sale was just one of four childcare properties that sold in the past month, proving childcare assets certainly remain top-of-mind amongst commercial property investors. – Michael Vanstone
“With the popularity of childcare assets and this property’s secure tenancy to Australia’s largest ASX listed early education provider … it came as no surprise that the asset attracted substantial investor interest,” said Mr Vanstone.
“The property could not be more ideally located in Dubbo, just 250 metres from Cobra Street and within a 1.6 kilometre radius of six schools.
“This property’s sale was just one of four childcare properties that sold in the past month, proving childcare assets certainly remain top-of-mind amongst commercial property investors.”
The asset also provides the new buyer a net income of $86,000 pa plus GST, as well as three per cent annual rent increases, and is licensed to hold 40 children.
View the property here.
View the original article here.
To find out more about the properties in our portfolio, and how we can help you with sales, leasing and property management services, please contact us.
Originally written and published by The Daily Liberal
Dubbo childcare centre