Melbourne Childcare Centre with New 10-Year Lease to Be Auctioned

A leased childcare centre in Melbourne’s south-east has hit the market, offering investors a newly inked 10-year tenancy with a national early education operator, annual rental income of $136,000 and fixed 3.5 per cent rental increases.

Positioned on the corner of Howard Road and Glenway Drive in Dingley Village, the renovated childcare facility is licensed to accommodate 34 children and occupies a 529 square metre landholding, enjoying more than 50 metres of dual street frontage.

The property is being offered for sale through commercial agency MAKER Property, with price expectations exceeding $2 million ahead of its on-site public auction at 2:00pm on Thursday 19 November.

The centre is occupied by Little Scribblers Early Learning Centres, which operates 10 locations across Australia and commenced a new decade-long lease in July 2026, with options to extend its occupancy through to 2056.

The lease incorporates a six-month bank guarantee and provisions requiring the tenant to cover outgoings.

MAKER Property’s Raphael Favas said the combination of long-term rental security, fixed income growth and an established childcare operator presented an attractive proposition for investors.

“Childcare properties have some compelling investment fundamentals, particularly when you have a well-regarded national organisation committed to a long-term lease with fixed annual rental increases,” Mr Favas said.

“For investors considering their next commercial property move, this presents a set-and-forget investment opportunity with clear visibility over rental growth and limited day-to-day management responsibilities.”

“One of the key attractions of this property is its relatively modest scale, which offers an opportunity to secure a childcare asset at a more accessible price point than other larger centres.”

“We expect the combination of the new lease, established suburban location and underlying landholding to attract interest from both active private investors and first-time commercial property buyers.”

Located within an established residential neighbourhood, Dingley Village has a median house price exceeding $1.2 million.

The boutique centre’s size offers a strategic advantage, as it requires enrolments from fewer than seven per cent of local children aged under five to achieve full capacity.

MAKER Property’s Raphael Favas, Anthony Kirwan and George Davies are managing the sales campaign for 67 Howard Road. For more information, please visit www.makerproperty.com.au.