Another child care centre in suburban Melbourne has smashed price expectations.
The 12-month old Bentleigh complex at 188 Tucker Road (pictured, top) sold for a speculated price of $11.7 million on Thursday.
Based on the annual rental return of $648,000, it is trading on a 5.5 per cent passing yield.
When it hit the market last month, the asset carried price hopes of about $10 million.
Permitted for 144 day care places, the 1310 square metre site includes a 1165 sqm facility and basement car park for 28 vehicles.
It was offered with a 20 year lease to Buckets Early Learning Centre. The occupant then has two ten year renewal options.
The holding is close to three primary schools, according to Sandro Peluso, director with CBRE’s Victorian Health, Aged & Child Care division, who confirmed the sale on Friday morning. Colleagues Josh Twelftree and Jimmy Tat also worked on the campaign.
The Bentleigh deal comes a month after Mr Peluso sold a child care complex at 31 Nepean Highway, Elsternwick, for $11.3 million – again on a yield of less than six per cent.