Market leading Fund Manager Clarence Property has sold a brand-new Ripley childcare centre to a private Brisbane-based investor for $7.6 million, as the asset class continues to be highly sought after. 
 
Located at 1 Brooking Rise, the 977sqm childcare centre opened in May last year and sits on a 3,378sqm allotment. 
 
The 154-place centre is secured by a 15-year net lease to Little Locals Early Learning Group, a privately owned business with eight childcare centres throughout the Southeast Queensland regions. 
 
CBRE’s Harrison Coburn brokered the deal off-market, achieving a 5.4% yield on behalf of Clarence Property.  
 
"The first-time childcare buyer was selected following a targeted off-market process, whereby CBRE approached five active groups off a recent on-market process for Lead Childcare Kallangur. The buyer’s short due diligence timeframe allowed us to move and exchange contracts swiftly, which is a common theme we are seeing in this sector,” Mr Coburn said. 
 
“Whilst tenant operator demand is still high, we have witnessed a significant decrease in the number of new centres coming online given the rising construction costs we have experienced over the last 12-24 months.” 
 
“Having recently run an on-market EOI process for a childcare centre in Bahrs Scrub, it is clear that the depth of the market is still strong to start the year and is something we expect to remain constant in this sector for the remainder of 2024.”