Matamata childcare investment built to last

A purpose-built Waikato childcare facility operated by a national provider on a long lease has come into play for commercial property investors.

The modern, architecturally designed premises for sale in central Matamata are home to New Shoots Children’s Centre. Licensed for 95 infants, toddlers and preschoolers, the centre serves the growing town and agricultural surrounds with childcare built around quality ratios, small group sizes and a tailored rural focus.

Its prominent town centre location on Peria Road, with immediate access to State Highways 24 and 27, supports convenient family drop-offs and pick-ups from across the district.

The more than 3,300-square-metre property generates an annual net rental return of $293,169 plus outgoings and GST, with around 10 years to run on the current lease and rights of renewal extending to 2048.

The lease provides for annual CPI rent reviews, replaced by market reviews every four years.

The freehold land and buildings at 6 Peria Road, Matamata, are being offered to buyers by Deadline Private Treaty closing on Thursday 22 October, through Willem Brown of Bayleys Hamilton.

“Thoughtfully designed around the needs of children, staff, and families, this modern facility offers a well-balanced blend of a practical building layout, spacious outdoor play areas and plenty of parking,” Brown says.

“With its strong income, established national tenant and long-term lease security, this strategically located property in the heart of Matamata will appeal strongly to buyers seeking a high-quality investment that’s truly one for the bottom drawer.”

Brown says childcare is attracting growing attention as a long-term commercial property investment.

“Investors in early learning centre facilities can have added confidence in their returns in the knowledge that a large portion of the fees payable to operators are government subsidised,” he says.

The single-storey, approximately 569-square-metre building with a striking gabled roof was completed in 2018. It is complemented by extensive outdoor areas – designed for all-weather play with decks and sheltered spaces, a generous playground and an abundance of natural materials.

Generous on-site parking for 30 vehicles caters to the needs of parents and staff.

The Peria Road facility sits on a substantial site of some 3,382 square metres across four freehold titles, zoned Business and Business Residential Interface under the Matamata-Piako District Plan.

Brown says the centre is well-placed to benefit from growing demand for childcare in Matamata, whose population grew by more than a quarter, to 9,100, in the 10 years to the 2023 census.

The town is a vital hub serving a flourishing rural hinterland with a concentration of amenities such as supermarkets, shops, cafes and professional services.

“Located in the heart of Waikato, Matamata has emerged as a strategic destination for commercial property investment. Renowned for its strong agricultural base and growing service economy, the town benefits from consistent local demand, a resilient business community, and excellent connectivity to the ‘Golden Triangle’ centres of Hamilton, Tauranga and Auckland.

“With a limited supply of quality commercial stock, competitive pricing relative to large centres, and a catchment that punches well above its weight, Matamata attracts investors and owner-occupiers seeking stability, yield, and long-term growth,” says Brown.