Epping house to be child care centre after setting Australian record
A child care development site in Sydney’s northwest has sold for $5.061 million at auction, setting a new record sale rate per childcare place in Australia.
The 1349sqm site at 25 Ray Rd in Epping, which is approved for a 50-place child care centre, was purchased by Healing the World Pty Ltd – a local child care operator – at a rate of $101,220 per place.
The rate was 35 per cent higher than the previous record set for a site at 6-8 Waterloo St in Rozelle at the end of 2019.
The property is currently has a four-bedroom single storey residential dwelling with 36m street frontage. The new owner plans to repurpose the house for the child care centre.
Listed with Demi Carigliano, Anthony Pirrottina and Grant Bulpett of Knight Frank, the auction had six registered bidders who placed a total of 47 bids. Strong bidding resulted in the property selling for $861,000 above the reserve.
Mr Carigliano said purchasers had been attracted to the property due to its existing development approval, strategic location and the potential for expansion.
“The approved design is efficient, incorporating the existing dwelling into the plan, with no basement required due to on grade parking,” he said.
“While the site is currently approved for a 50-place child care centre, there is further potential for 60 places, subject to council approval, with the R4 zoning also permitting a range of uses including apartments.
Mr Pirrottina said it was rare for DA-approved childcare development sites to come to the market, but when they did they were very highly sought after.
We are seeing growing confidence from investors in Sydney’s commercial property market as the state nears its reopening, and quality investments like these are always hotly contested,” he said.
“Child care centres are a solid investment, with almost every child care asset that comes to the market setting a new record lately.
“These investments are attracting a high number of buyers and selling for strong rates due to the asset class being ‘Covid-proof’, with government rebates on childcare facilities.”