The property has a 10-year lease to Affinity Education Group to 2024.
The property has a 10-year lease to Affinity Education Group to 2024. Orin Lucke - Blink Photography

Investor family buys Boyne childcare centre for $2.55m

CHILDCARE centres are the flavour of the year for investors, and a Boyne Island purchase has been the first taste for a city-based family.

For $2.55 million a family based in the Gold Coast and Sydney have purchased the property at 6 Corimba Parade, Boyne Island.

It has a 10-year lease to Affinity Education Group to 2024, with four further five-year options to 2044.

Burgess Rawson sales executive Jamie Dewe said the family had spent several years exploring investment opportunities.

The property sold mid-November with a yield of 7.94% after an unsuccessful auction in Melbourne four months earlier.

"This stuck out for them, so they went for it," he said.

"They were obviously attracted to Affinity Education being the tenant, which is one of the larger childcare providers in Australia."

The Affinity centre, one of more than 150 in Australia, produces a net income of about $202,475 per year (+ GST).

In its Childcare Property Investment report Burgess Rawson said it was the fastest growing commercial real estate investment class in Australia.

The commercial property company said childcare centres were "true set and forget" investments that were low-risk and delivered significant returns.

It said since 2011 the number of children attending care across Australia has grown by 29.8%.

"As investments they tick all the boxes, with quality tenants, exceptional lease terms and consistent returns, while also attracting government funding and support," the report said.

This year Burgess Rawson has exceeded $231 million in childcare asset sales in Australia, including $87.7 million in Queensland.