Surging demand for childcare services fuels investment opportunities

The demand for childcare facilities in Australia is on the rise, driven by significant population growth and more parents entering the workforce.

According to Colliers’ recent Premium Investments Report, childcare assets are increasingly attractive to investors, including high-net-worth individuals and real estate investment funds.

With the population of young children projected to grow by 9% between 2023 and 2031, childcare facilities present a valuable defensive investment, boasting stable leases and strong government support.

Investor interest has surged, with childcare asset sales reaching $389 million in 2023. Government initiatives and demand for premium centres offering medical, fitness, and language services bolstered the sector’s positive outlook. As childcare needs expand, real estate investors find unique opportunities to support the sector while ensuring long-term returns.

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