This article is from the Australian Property Journal archive
IN excess of $30 million is expected for three brand-new Nino Early Learning Adventures centres in Melbourne, including a pair that are yet to open, in just the second childcare centre portfolio brought to the market in 2021.
The sites in Mickleham, Craigieburn and Ivanhoe are being marketed through CBRE’s Sandro Peluso, Jimmy Tat and Marcello Caspani-Muto on behalf of the Agosta family, which operates the Nino brand.
Home Consortium’s newly-listed HealthCo Healthcare & Wellness REIT has just spent $98 million on 12 Allaf Property-developed childcare centres in Victoria and Western Australia. Earlier in the year, Assembly Funds Management, backed by the Lowy family, picked up six childcare centres in Sydney’s north west for $42 million.
Among the new offering is a Mickleham property, 2 Whiteleaf Drive, that has opened this week on a 2,499 sqm site just off Donnybrook Road, while the Craigieburn property, on 1,798 sqm at 162 Elevation Boulevard, and Ivanhoe site, on 1,003 sqm at 27 Livingston Street), are currently under construction and set to open in February.
The combined annual rental income is about $1,550,000.
High-net-worth private investors, syndicates and institutional investors who have been increasingly active in the market of late are expected to make enquiries.
“Childcare centres have become the new bank; COVID- and recessionary-proof in terms of avoiding disruption, heavily subsidised by the Commonwealth and featuring long leases with built-in increases,” Peluso said.
The Craigieburn and Ivanhoe centres will take Niño Early Learning Adventures’ tally to 16 across Melbourne when they open.
“The build quality and experience of the business operation is as good as any within the sector, while the locations are always strategically selected and supported by demographic research to support the long-term viability of the investments,” Tat said.
CBRE has managed the sale of 12 Nino Early Learning centres dating back to 2017, totaling more than $200 million, to a mix of local and international buyers.
Completed childcare centre sites have been a dominant part of portfolio auctions in recent years, including at a trio of Burgess Rawson events that saw a New South Wales record yield of 2.99% achieved for the Affiinity Childcare centre at Umina Beach, while a $5 million-plus sale in Sydney’s Epping earlier this month set what is believed to be a new national benchmark for a rate per childcare place.
“The underlying strength of the childcare-centre market has always been clear, however as time has passed and more press has circulated, a greater proportion of buyers are appreciating its stability,” Peluso said.
Expressions of interest close 18th November.
