Zuccoli early learning centre changes hands for $6.6m

A popular Top End early learning centre has changed hands for millions. Find out more.

An early learning centre in the heart of the NT’s nappy valley has just been sold for $6.6m.

Interstate agents Burgess Rawson teamed with local Craig Inkster from McGees Property to sell Zuccoli Early Learners at 17 Ginger St.

A spokesman for Burgess Rawson said the absence of land tax in the Northern Territory provided additional incentive for the buyer.

Mr Inkster said the Territory’s $50bn major project pipeline was underpinning economic confidence in the market.

“The childcare sector remains one of Australia’s most in-demand asset classes buoyed by robust government funding and ongoing population growth in key regions,” he said.

Zuccoli Early Learning has been sold.

“Zuccoli sits within the City of Palmerston, home to the highest demographic of children under five in Australia. This, combined with the rapid population growth, makes it an incredibly secure investment.”

The Ginger St premises is occupied on a 10-year lease through to 2028 with options extending right out until 2048.

The centre has a net income of $477,620 per annum with fixed three per cent rent increases fixed annually with opportunities for continual rental growth.

The site, which spans 3140 sqm and features three street frontages, is located opposite Mother Teresa Catholic Primary School and Zuccoli Primary School, and close to Mackillop College.

In 2018 the Australian Bureau of Statistics identified the largest proportion of children in any Australian jurisdiction were in the Territory, where they contributed more than one-fifth of the population.

Palmerston has previously had the most children under five.

Zuccoli Early Learners opened its doors in September 2017 and has space for 160 children.

According to the online site KindiCare, ZEL has an 8.4 rating compared to the average 6.6 rating around the area.

The Federal Government allocated $12.7bn in funding to the childcare sector in the 2023-24 financial year and an additional $4.7bn under the Cheaper Childcare Reform, which came into effect in July 2023 to make early education more affordable.