Sydney childcare centres fetch eight figures
Two Sydney childcare centres have sold for eight figure sums.
In the bigger deal, a new 130-place complex at 120 Lodges Road, Elderslie, traded last month for $11.5 million.
Young Academics Early Learning Centre is the tenant, on a lease expiring in 2040 with two 10 year options.
It pays $604,500 net annual rent with fixed three per cent rises for the two level complex with 33 basement car parks, on a 2410 square metre block.
The occupier also picks up council rates, water rates, insurances and general repairs and maintenance.
CBRE’s Yosh Mendis and Michael Vanstone were the agents.
The buyer, a China based investor, was sourced from Zomart He at the agency’s Asian Services Desk.
Elderslie is about 60 kilometres south west of town.
New South Wales childcare centre transactions are land tax free – the use falling into education and care services under the Land Tax Management Act (continues below).
Land tax exempt deals
Meanwhile a new childcare centre at Castle Hill, 34km north west of the CBD, has sold for $10m – a 4.54 per cent net passing yield.
Like Elderslie, the buyer is based offshore.
On 1843 at 37-39 Crane Rd, with 30 basement car parks, it is also leased to Young Academics until 2040, or 2060 with options.
There are 90 places.
Stonebridge Property Group’s Tom Moreland, Brett O’Neill, Michael Collins and Rory Alexander were the agents.
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