Rosedale childcare on 12-yr lease
The facility at Rosedale is licensed to cater for 148 children. Photo / Supplied
Leased childcare centre properties such as one now for sale at 15-17 Saturn Pl, Rosedale, Auckland, are proving popular with investors, say Andrew Bruce and Rob Meister of NAI Harcourts who believe the property has much to recommend it.
“It is a modern building with a childcare tenant on a 12-year-lease, with pre-agreed rent increases for the duration of the current term,” Bruce says. The property is for sale by deadline private treaty, with offers to be in by August 3.
“Childcare is a growth industry supported by Government funding and leases are generally long-term and this property is an excellent exIn the central North Shore, the property has easy access to the new Western Ring Route and SH1 north/south motorway, as well as exposure to Upper Harbour Highway.
Built in the early 2000s of permanent materials including pre-cast concrete panels and weatherboard, the property comprises a superbly presented two-level building of about 980.75sq m plus 325sq m of enclosed first-floor deck, and 37 carparks.
Bruce says it is an established business located in a purpose designed and build premises, ensuring long term occupancy.
Parents have the benefit of easy access, lots of parking and safe drop off and pick up areas in the cul-de-sac street location.
It is accessible from the wider North Shore area and is a popular choice with both parents and the business operator. Learning Tree is licensed for 148 children.
“This is a significant business and the tenant is currently paying rent of $305,000 net per annum. The lease has pre-agreed bi-annual rent increases of 3 per cent, guaranteeing rental growth.”
Meister points out that this provides investor certainty over a long period and for future economic conditions that may be less buoyant than they are currently.