Sydney Hunters Hill Childcare Centre
Brand new childcare centre in Sydney’s Hunters Hill – Knight Frank
  • Sydney childcare centre sold off-market in 48 hours
  • One of NSW's largest childcare centre sales in 2021
  • Set to be home to Little Zak's Academy

A brand new childcare centre in Sydney has been snapped up inside 48 hours, in one of the state’s largest sales of its kind this year.

The 1,047sqm property, located in Hunters Hill on the north shore, was completed in August and sold on Tuesday to Electrical City shortly after hitting the Knight Frank database.

The childcare centre can facilitate 76 children, and offers two floors of internal and external learning and play areas as well as a 17-car basement car park.

The property will be home to one of Australia’s largest privately-owned childcare providers, Little Zak’s Academy, with whom a lease is already in place until 2031.

The lease also offers a further 10 plus 10-year options, with Little Zak’s Academy set to see minimum annual rent increases of four per cent.

Little Zak's Academy Childcare Centre in The Oaks
Little Zak’s Academy Childcare Centre in The Oaks, NSW. Image – website.

Demi Carigliano, Associate Director of Knight Frank, said the property was in a prime location and demand for the asset was strong.

“We sent it to our database on a Monday and had the deal done by Tuesday afternoon.

“The strength of the covenant was one of the biggest drawcards, with a high-quality tenant for at least the next 10 years, providing a near-guaranteed and steady income,” he said.

Good asset

Childcare centres had proven to be a secure asset class throughout the pandemic.

Back in March, The Property Tribune reported on a $5.2 million property sale in West Ipswich (in Queensland), which can cater for 136 children. In February, another centre in Essendon (Victoria) was sold for $8.6 million.

“The childcare industry has become secure with government rebates due to Covid lockdown and restrictions, and as such childcare-based investments continue to be sought after by buyers.”

Anthony Pirrottina, Associate Director of Knight Frank

Little Zak’s Academy in Hunters Hill is set to open its doors to the public in October.

You May Also Like

“Sydney setting the pace”: CBD office rents march higher

Cushman & Wakefield’s quarterly Office Marketbeat reveals 2.9% quarter-on-quarter uplift in Sydney

Canberra office market shows impressive resilience and growth

The market is underpinned by low vacancy, large developments in the pipeline and strong rental growth

Accenture and Lendlease to expand data insights platform

The platform which uses AI and virtual reality will be expanded to increase digital and in-store visits.

Demand for life science assets on the rise in Australia

Australians are getting older and this is contributing to the increase in demand for life science assets across Australia