Land tax assessments, council rates, insurance renewals, a tired roof, an air conditioning unit that has finally given up: the running costs of commercial property tend to arrive at inconvenient moments and in unpredictable amounts. At the childcare centre on the corner of Robertson Drive and Jacana Street in Mornington, none of them arrive at the owner’s door.

The 67-place centre is leased to ASX-listed G8 Education on a triple net lease, an arrangement under which the tenant pays council rates, water rates, insurance, land tax on a multiple holding basis and management fees, and carries all general and structural capital repairs and maintenance. The 20 year lease began on 1 January 2018 and runs to 31 December 2037, with one further 10 year option to 2047. The rent is $202,104 a year plus GST, supported by a bank guarantee equal to six months’ rent plus GST.

None of this is unusual in the sector, which is part of its appeal. CBRE’s March 2026 Early Education research describes child care centre leases as typically net, escalating at CPI plus or a fixed 3 to 4 per cent a year, and running for 15 to 20 years with options. What stands out here is how the features combine. Rent rises each year by the greater of 3 per cent or CPI, and ABS figures published in July 2026 put annual inflation at 3.8 per cent in the 12 months to June. A market review in 2028 follows, with a ratchet that means the rent cannot fall.

CBRE’s Natalie Couper says the appeal for investors is how little there is to manage. “The tenant looks after the outgoings, the repairs and the structural capital works, so the income arrives much as it appears on paper. For a private investor, that is a very straightforward way to own commercial property,’ she says.

The tenant gives that income its footing. G8 Education is an ASX-listed operator with centres across the country and more than 8,000 staff, and the lessee is G8 Education Ltd itself. Behind the lease sits a revenue stream with substantial government support: CBRE’s research notes that typically about two thirds of an operator’s revenue comes from the Child Care Subsidy, and since 5 January 2026 the Federal Government’s Three Day Guarantee has ensured every eligible family at least 72 hours of subsidised care a fortnight, equivalent to three days a week, according to the Department of Education.

The site explains why a centre belongs here. The 1,428 sqm corner position is about 200 metres from Mornington Park Primary School and directly opposite local specialty stores including Foodworks, with seven on-title car spaces and access to Nepean Highway about 200 metres away. The Mornington healthcare and medical precinct is roughly 400 metres away, while Peninsula Homemaker Centre and Mornington Central, anchored by Bunnings, Coles, Harvey Norman, Officeworks and Woolworths, sit within 750 metres. A parent’s morning run takes in most of what a family needs.

“Families in this part of Mornington have schools, healthcare and everyday retail within a few minutes of the centre,’ Ms Couper says. “That daily convenience is what keeps a childcare centre relevant to its community year after year.’

Rent per place offers another measure. The $202,104 net income equates to $3,016 a place, and the 2028 market review, which carries a ratchet, is the next point at which the rent is tested against the market.

“At $3,016 a place, we see the current rent as sitting below market, so the 2028 review is a date investors will be watching,’ Ms Couper says. “With the ratchet in place, that review can only hold or lift the rent, and the annual increases continue in the meantime.’

For investors weighing childcare, the appeal of 16 Robertson Drive lies in the combination: a long lease to a listed operator, a tenant that carries the cost of ownership, annual rent growth built into the document and a site that sits within a seaside community’s daily routine. It is an asset designed to be owned with minimal fuss. The G8 Education childcare investment at 16 Robertson Drive, Mornington is being offered for sale through CBRE’s Investment Portfolio Auction program. Click on the link below or contact the exclusive selling agents for more details.

16 Robertson Drive, Mornington VIC 3931