How To Best Purchase Child Care Real Estate
- Alan Stahl
- May 1, 2023
- 2 min read
Updated: Dec 22, 2024

Child care brokers are specialists who understand the unique aspects of child care real estate and are best brought in to convey to Buyers and Sellers the investment opportunity. As an essential use during COVID, the demand for child care investments are increasing as more Buyers understand the business model, and the opportunity to buy higher cap rate assets with long 10-15 year NN or NNN leases. Further, the default rate for these assets are relatively low with the right operator.
Child care is a complex business, and having a broker that understands the investment opportunity and the unique aspects of the child care industry is very important. After operating 2 schools, franchising 20 schools, developing 25 schools, and leasing over 50 schools, we know the ins and outs of the child care franchise market, and can provide valuable insights on the current state of the industry, including trends, government funding, and opportunities. We also stay in contact with over 2,000 child care landlords nationwide - a wide network of contacts, including buyers, landlords, and other brokers in the industry.
After having signed over 50 child care leases representing over $200M in real estate, we can also help with the negotiation of terms and conditions, handle all necessary paperwork and legal requirements, and assist with due diligence and inspections.
Another opportunity that child care real estate owners may need help with is negotiating lease options with their Tenant, including Kindercare, Learning Care Group, The Learning Experience, Goddard, Primrose, and more. By employing the services of a child care specialist, we can analyze and understand the viability of the center based on enrollment, tuition rates, and are able to even the playing field when working with your corporate Tenant.
In summary, child care brokers are specialized professionals who are well-equipped to handle the unique aspects of the child care industry, and play a vital role in connecting buyers and sellers in this lucrative market. They can provide valuable insights, guidance and support throughout the process of buying or selling a child care property.
To get a full valuation of your child care investment, you can contact:
Alan Stahl alan@futureinsiterealty.com
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