A long-standing medical office building in Melbourne’s eastern suburb of Croydon is set to be demolished and make way for a brand-new multi-level childcare offering. 

The property, which is located at 407 Dorset Road, Croydon will feature multiple points of exposure to Dorset Road and Tanika Circuit. However, most importantly, access will occur via the Tanika Circuit side street allows for reduce issues with the heavy traffic Flanagan experienced via Dorset Road while also benefit from all existing street exposure.

The property has been architecturally designed by specialist early learning architects, Architecton and will feature 119 long-day care places with semi-basement parking. The location is also poised to be highly attractive to potential operators given the signage and exposure opportunities with between 16,000-18,000 cars traveling via Dorset Road each day.

CBRE’s Sandro Peluso, Jimmy Tat and Marcello Caspani-Muto are running the leasing campaign via Expressions of Interest which is set to formally launch in 2 weeks time.

Sandro Peluso said “Croydon is a proven and successful childcare location with a good volume of younger families. Many who have grown up within the Croydon and Ringwood areas choose to remain here as they start their own families as there are still affordable pockets within close proximity.

From a competition standpoint it’s important operators looking beyond a simple needs assessment ratios. Many of the existing service within the catchment are dated to a point potential closures may start occurring. There is a small selection of modern centres but this amount is minimal. As a result, occupancy prospects are considered very strong into the long-term.”

Jimmy Tat added “The centre is well sized at just below 120 children, with some further potential flexibility possible if operators require something slightly larger or smaller for efficiency. Most importantly though is it’s corner location which allows both the benefit of main road exposure plus side street access. Main road access is accepted in certain metro Melbourne pockets were site selection is limited but in areas further from the CBD like Croydon parents are far more comfortable with access via a less trafficked side street and operators know this. 407 Dorset Road gives a tenant the best of both worlds with the benefit of main road exposure and alternative access via a less trafficked side street in Tanika Circuit.”

Related Readings 

Hawthorn childcare centre launches for lease - CBRE

CBRE to launch charming trophy childcare centre for lease in Melbourne’s Inner North

Brighton Childcare Centre sold by CBRE for $17.5m adds to Australia’s list of largest ever childcare transactions

CBRE Release 2024 Childcare Report – What asset class should investor consider to invest in?

CBRE lease city rooftop childcare centre along the famed St Kilda Road corridor