Investors spend $35m on childcare centres
Six childcare centre investments sold at auction today – making eight for the week.
In the biggest revealed deal, a Throsby complex, north of Canberra, traded for $7.25 million.
Completed in late 2019, it returns annual net rent of $454,300 ex-GST.
In Melbourne, a Mount Martha property achieved $6.3m and the lowest yield – 4.86 per cent.
At 4 Watson Road, on the south east corner of Langrigg Avenue, that 1004 square metre site carried a $5m guide.
A block from the beach and until recently a home, it now contains a two floor, 706 sqm complex licensed for 80 clients.
With options the occupier, Little Acorns, can stay until 2049.
Elsewhere in Victoria, a G8-backed purpose-built complex at 54-56 Ray Street, Castlemaine, collected $1.815m – a 5.87pc return (story continues below).
A Bairnsdale childcare investment traded for a similar amount ($1.72m) but lower yield (5.56pc).
A fifth facility sold at auction today – The Cottage Ashmore, west of Surfers Paradise – for $2.59m.
It earns annual net rent of $131,790 ex-GST.
Burgess Rawson’s Natalie Couper, Doug Doyle and Jamie Dewe marketed these properties.
They sold another investment of this type for an undisclosed price; in Melbourne’s Truganina, it collects annual rent of $398,778 and could be exchanging for c$7.3m if the price reflected a c5.5pc yield.
Another asset in Sydney’s Harrington Park earned $3.105m on Monday; colleagues Darren Beehag and Dean Venturato brokered that deal.
Late last week Colliers’ Ben Baines and Ted Dwyer traded another childcare centre – at 352-354 Princes Highway, in Noble Park North – for $4.65m.
