The childcare centre in Rivett is an opportunity for a savvy investor. Photo: Knight Frank.
A modern childcare facility with a long-term tenant and guaranteed growth potential has come onto the market, offering investors a secure and stable investment opportunity.
With demand for childcare only increasing and a 20-year lease in place, 9 Rivett Place in Rivett is a rare chance to secure a premium, low-risk commercial investment in Canberra’s south.
The modern building, with 678 sqm of floor space on a 1943 sqm block, has 11 car spaces and is currently leased to 360 Early Education.
The current lease is set for 20 years with options to 2075. Annual rent increases are locked in at 3.5 per cent per annum, making it a low-risk opportunity.
“The childcare sector is secure and offers stable returns, paired with the suburb’s character, it’s ideal,” Frank Knight real estate agent Paul Douglas MacDonald says.
“We are really looking for a savvy investor here who sees the value in long-term, stable returns. Given the area, the stats backing up the investment and the solidity of the tenant, it’s a great opportunity.”
A top-of-the-line facility, 9 Rivett Place features a kitchen, a break room, an indoor play space, and extensive outdoor areas with established trees, green spaces, climbing equipment, outdoor bubblers, and undercover seating areas.
Established in 2009, 360 Early Education has expanded across NSW and the ACT with a reputation for quality in childcare, making them an ideal tenant.
The facility’s location, near an oval, playground, café, early learning centre, church, and aged care centre, puts it at the heart of the community, making the facility convenient for local parents who may have older children or other family needs.
“It’s near the shopping centre, so it’s very convenient for parents picking up or dropping off their kids and because Rivett is a nice, quiet suburban area, there’s less road traffic, which is always a cause of concern for parents,” Paul says.
“360 Early Education is an experienced operator with an excellent reputation. They’re the ideal tenant.
“Demand for childcare is only going to go up, and with the 20-year lease in place, this building affords great stability going forward.”
Speak to any parent in Canberra and they’ll tell you it’s hard to find a good childcare facility in town.
The area is perfectly suited for the 100-place childcare facility, given Rivett’s reputation as a well-established family suburb with a stable residential base.
With eight schools in the local area, the demographics of the Rivett area are particularly amenable to childcare businesses.
Family homes predominate in the area, with 82 per cent of dwellings being houses, almost 20 per cent higher than the ACT average, and with 20 per cent of the suburb’s residents under 15, demand for childcare is set to remain strong.
Demand for childcare is projected to increase, with a corresponding rise in the district population from 23,066 in 2017 to 33,200 by 2041.
Tenanted by a reliable, growing business in a suburb with demographic evidence pointing to an increase in families, and surrounded by complementary but not competing businesses, 9 Rivett Place is a solid investment with future returns all but guaranteed.
For more information on 9 Rivett Place, call Knight Frank real estate agents Nathan Dunn on 0488 216 406, Lucas Brinkmeyer on 0419 383 818 or Paul Douglas MacDonald on 0435 048 383.
