Melbourne

ASX-listed HomeCo splashes $6.57m on Melbourne childcare centre

ASX-listed property group HomeCo has expanded its portfolio of childcare centres with the acquisition of a brand-new facility in the Melbourne suburb of Tarneit for $6.57 million.

04 Feb 2021

ASX-listed property group HomeCo has expanded its portfolio of childcare centres with the acquisition of a brand-new facility in the Melbourne suburb of Tarneit for $6.57 million.

Situated at 80 Homebush Drive, Tarneit, on a 2,305sqm corner site, the property comprises a new, state-of-the-art building spanning 2,093sqm. The centre, which can accommodate 140 children, is leased to Explorers Early Learning on a 15-year lease term with two 10-year options available.

CBRE’s Healthcare and Social Infrastructure team – Sandro Peluso, Josh Twelftree, Jimmy Tat and Marcello Caspani-Muto – negotiated the sale on behalf of a private vendor.

Mr Twelftree commented on the sale, which transacted at a yield of 5.75%: “This sale is the sharpest result for a childcare centre in Melbourne’s western corridor in the past three years, which highlights the increasing appeal of this asset class.”

Mr Peluso added: “Now, more than ever, the importance of childcare to the Australian economy is evident, with it contributing 0.7% to national CPI in September – by far the greatest contributor to the economy in this period. This figure is expected to jump even higher once October figures are revealed.”

“As a result, investors can only see government support for the sector increasing in the long term which gives them great confidence.”

HomeCo, which has exposure to more than $150 million of existing seed assets with a significant development pipeline of healthcare and wellness opportunities, recently announced plans to introduce capital to healthcare and wellness assets, including aged-care facilities, childcare centres, medical centres, pharmacies, allied health premises and gyms. For Australian/international news or global stories, follow us on Twitter: @cbreaustralia

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CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2019 revenue). The company has more than 100,000 employees (excluding affiliates) and serves real estate investors and occupiers through more than 530 offices (excluding affiliates) worldwide. CBRE offers a broad range of integrated services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at www.cbre.com.

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About CBRE Group, Inc.
CBRE Group, Inc. (NYSE: CBRE), a Fortune 500 and S&P 500 company headquartered in Dallas, is the world’s largest commercial real estate services and investment firm (based on 2021 revenue). The company has more than 105,000 employees (excluding Turner & Townsend employees) serving clients in more than 100 countries. CBRE serves a diverse range of clients with an integrated suite of services, including facilities, transaction and project management; property management; investment management; appraisal and valuation; property leasing; strategic consulting; property sales; mortgage services and development services. Please visit our website at https://www.cbre.com.