Charter Hall is paying $75.5 million for 13 childcare centres on Australia’s east coast.
Two of the complexes are completed.
Six are subject to a funds through arrangement, whereby the landlord is buying the land and paying the balance of construction costs.
The assets are fully leased to occupiers including Harmony Early Learning, G8 Education, Little Seeds Early Learning and Nino Early Learning.
Vendor CCLP is offloading the investments on a blended 6.5 per cent yield (story continues below).
The fund manager is paying an average $5.9m for the two completed centres and $6.76m for each of the five complexes due to open by the middle of the year. The remaining six facilities are each costing $4.98m.
The portfolio includes assets in Elwood, Keysborough and West Footscray, in Melbourne. The others are in New South Wales and Queensland.
Charter Hall will now embark on a $120 million capital raising to help fund the purchase.
Its Charter Hall Education Trust became the country’s largest listed landlord in this sector following the group’s takeover last year of Greg Paramor’s Folkestone.