Melbourne

Prestigious Elsternwick childcare centre more than just a passive investment

A blue chip childcare investment with $10 million+ price expectations is going against the grain of recent offerings, positioned within one of Melbourne’s most elite locations.

01 May 2018

A blue chip childcare investment with $10 million+ price expectations is going against the grain of recent offerings, positioned within one of Melbourne’s most elite locations.   

31 Nepean Highway in Elsternwick will feature a brand new childcare centre with a 20 + 10-year lease term to well renowned operators Nino Early Learning Adventures. The substantial 2,185sqm land holding is one of the largest blocks in Elsternwick with its Residential Growth zoning further enhancing investment appeal.

In a childcare sector where developers are targeting Victorian growth corridors, 31 Nepean Highway goes against the grain with Elsternwick’s median price of $2,165,000 placing it within Melbourne’s top 15 most valuable suburbs. The centre is licensed for 128 places and has a building area of 1,100sqm. The property further benefits from unique rear laneway access, namely Ross Street. 

The CBRE Victorian Health, Aged & Childcare team featuring Sandro Peluso, Josh Twelftree, Bianca Butterworth and Kinson Wong are listing the property which will be made available to the market via CBRE’s Premium Property Portfolio Auction (PPA) in May.

The imposing site is more than just a passive investment with Elsternwick featuring a growth in median house price values of 82% over the past 5 years. The property will feature the high-quality extension and renovation of an iconic premium dwelling surrounded by some of Melbourne’s most elite private schools.

Sandro Peluso said the investment counters current market concerns of an oversupply within the childcare sector.

“The strong underlying land value of this investment coupled with a substantial lease term to Nino Early Learning, an operator with a proven track record and 18 centres either in operation or the development pipeline makes this one of the country’s best and most secure childcare investments,” Mr Peluso said. 

Josh Twelftree added; “Elsternwick features a dense number of long term residencies and historical homes, housing some of Melbourne’s most high-profile residents. Furthermore, landholdings of this nature a short distance from both St Kilda (2.5km) and the Melbourne CBD (8km) are rarely transacted making an investment of this nature incredibly rare.”
 
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CBRE Group, Inc. (NYSE:CBRE), a Fortune 500 and S&P 500 company headquartered in Los Angeles, is the world’s largest commercial real estate services and investment firm (based on 2017 revenue). The company has more than 80,000 employees (excluding affiliates), and serves real estate investors and occupiers through more than 450 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.