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. CBRE’s Sandro Peluso, Josh Twelftree, Jimmy Tat and Marcello Caspani-Muto – negotiated the sale.

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.”

2020 western corridor child-care sales:

Sandro Peluso told WILLIAMS MEDIA “ ‘Despite already compelling child care subsidies across the nation - economic influencers and politicians continue to push for further increases in fiscal measures further supporting the sector. The way we are heading, the sector will effectively be underwritten by the federal government which inturn will provide investors with a bullet proof investment”

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.