Property consented for childcare centre
freehold property in Birkdale, with a resource consent in place for the development of a childcare centre, is on the market.
The property, at 126 Birkdale Rd, Auckland, is being marketed for sale by Peter Kermode and Shoneet Chand of Colliers International. It is to be sold by auction on December 14.
The 916sq m site, which is situated adjoining Birkenhead College and directly opposite Birkdale Primary School, has been consented for a childcare centre with a capacity of 45 children, says Kermode.
“Development of a new, purposebuilt childcare centre on this site is a compelling value proposition, given its location next to existing schools and the strong growth of the surrounding locality.”
Demand for early childhood education is on the increase as more parents return to work to meet the increasing cost of living in Auckland, he says.
“The Government has also invested in early childhood education through subsidies, creating a stable industry and resulting in childcare centres becoming highly attractive business propositions.”
Chand says likely buyers for the site would include developers, investors and owner occupiers.
“There is a clear opportunity here for someone to sign up a tenant and then build the centre to the operator’s specifications.
“Given that the site sits directly between Birkdale Primary and Birkenhead College, it’s likely several operators will be interested in leasing the centre once it is built.”
There is also a strong opportunity for owner operators in the property, says Chand.
“The property is being sold with vacant possession and resource consent already in place, paving the way for a buyer to purchase the site, build the childcare centre and run the business themselves.”
The potential to develop a brand new facility with modern features will mean a childcare centre on the site could have a competitive advantage over other existing centres in the area, Kermode says.
“An emerging trend in childcare is towards modern, purpose built centres built to 100 per cent of new building standard and including features such as double glazing, airconditioning, monitored security systems and natural ventilation.
“Parents have a wide choice when considering the childcare market nowadays, and as a result they are becoming more discerning about the quality of surroundings in childcare centres. There’s also every chance that regulations will tighten around centre design, putting modern facilities at an advantage over older centres.”
The proposed centre has been designed to provide room for future expansion of the 45- child licence, although any expansion would be subject to consents, Chand says.
A four- bedroom weatherboard house and sleepout are currently on the site that could be demolished to make way for a new, purpose- built childcare centre, Chand adds.
The location opposite Birkdale Primary School is also a key advantage, offering parents a high level of convenience in being able to drop off and collect children from both facilities in a single trip, he says.
Birkdale is a well- established suburb on Auckland’s North Shore where there are few opportunities to secure sites suitable for childcare, says Chand.
“There are few sites left in Birkdale suitable for redevelopment. There has also been vast areas of land rezoned for higher density residential development, meaning that over time, population density will increase and land supply will tighten further.”