Geelong childcare centre a set and forget hit for property investors
A Geelong childcare centre will be the latest in asset from the sector to be offered to commercial property investors at an in-room auction this month.
The Bell Post Hill property is one of three childcare centres offered at the auction on June 24.
The tenanted investment occupies a 3377sq m site at 5-9 Anakie Rd, Bell Post Hill.
Price hopes are circa $5 million.
The operators of Kardinia Childcare have signed a new 14-year lease with two further options of equal length for the 120-place facility.
The tenants have spent $300,000 upgrading the premises in 2020, and pay a net income of $358,275, plus GST.
Burgess Rawson director Raoul Holderhead said childcare would continue to ride the strength of the Federal Government’s recent support package.
“It’s arguably one of the best lists of childcare centres we’ve ever had, with three brand new offerings enjoying net 20-year leases, one in Epping with a 15-year lease and one in Geelong a new 14-year lease – buy, set and forget,” he said.
It’s the first portfolio auction in three months after the previous event was transferred to private treaty sales amid the COVID-19 pandemic.
Among the 17 properties of offer include a range of essential services tenants and asset classes, including two Hungry Jack’s restaurants, fuel and convenience retail, childcare centres and government-leased offices.
Published by news.com.au