Photo: Affinity Early Education Centre, Redbank Plains
Burgess Rawson from CBRE’s Portfolio Auction event realised $88.57 million in transactions, delivering an average yield of 5.62 per cent and an impressive success rate of 84.38 per cent across the three-day campaign.
The event was driven by strong demand for early education assets, which accounted for nearly $40 million of the total sales volume and achieved yields as sharp as 3.89 per cent.
In Brisbane alone, $16.093 million worth of assets changed hands, led by the $7.35 million sale of the Affinity Early Education Centre in Redbank Plains, reflecting a yield of 5.24 per cent. Embark Early Learning in Kingaroy also sold for $3.65 million, underscoring investor confidence in higher-value childcare assets.
Burgess Rawson from CBRE Senior Sales Executive Josh Scapolan said the results reflect the increasing willingness of investors to pursue premium childcare assets. “We’re seeing greater confidence in the top end of the market, particularly for centres with long leases and quality tenants. Buyers are prepared to stretch further for well-located assets with strong fundamentals,” he said.
In Melbourne, the auction followed Sydney’s standout performance, achieving more than $25 million in transactions and a solid 75 per cent clearance rate, with an average yield of 5.5 per cent.
Burgess Rawson from CBRE Partner, Shaun Venables said the results reflect the depth of demand we’re seeing across the board.
“From entry-level assets to institutional-grade investments, buyers remain highly active and competitive, particularly for quality assets with strong lease covenants in growth locations and strong regional centres.
The Melbourne event opened with the $2.335 million sale of a Petstock asset in Traralgon, delivering a 5.22 per cent yield.
Entry level buyers were out in force with the $1.101 million transaction of a restaurant in Berwick which yielded 5.54 per cent while the Fitstop Gym in Armstrong Creek, Victoria transacted for $1.857 million showing a return of 5.01 per cent.
The industrial site in Tasmania’s tightly held Mornington precinct, spanning over 12,000 square metres and comprising three freestanding warehouses fully leased to government tenants, sold for $5.705 million, achieving a yield of 5.22 per cent. Elsewhere, an NAB in Devonport was sold for $2.02 million reflecting a yield of 5.61 per cent
Burgess Rawson from CBRE Partner, Matthew Wright said the official reappointment of the Rockliff Government, stabilising inflation, and the prospect of an interest rate cut have all helped to solidify confidence in the market.
The Sydney event recorded a 91 per cent success rate and more than $45 million in sales, underscoring continued investor confidence across multiple sectors.
Assets spanning early education, healthcare, fast food and essential services drew strong bidding from both local and interstate buyers. Among the highlights were three Goodstart Early Learning centres in Queensland, including Brighton, Aspley and Indooroopilly, all achieving yields below 4.5 per cent – the Aspley asset sold for $5 million reflecting a return of 3.89 per cent while the Brighton asset sold on a 3.91 per cent yield.
Elsewhere, a Montessori childcare centre in Merrylands (NSW) sold for $4.2 million at a 4.18 per cent yield, while an Oz Education asset in Gunnedah (NSW) secured $6.1 million reflecting a yield of 5.74%
Healthcare assets also performed well, including an I-MED Radiology clinic in Campbelltown (NSW) and a Velocity Conveyancing tenancy in Greenway (ACT). Both received strong interest from buyers seeking long-term, recession-resistant income.
Fast food remained a reliable drawcard, with a Hungry Jack’s in Albion Park Rail (NSW) selling for $4.725 million.
“The results speak volumes about the appetite for well-leased, securely tenanted assets across the country,” said Yosh Mendis, Senior Director of Burgess Rawson from CBRE. “We’re seeing continued demand for properties backed by national operators and essential services, particularly when they’re strategically located.”
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