Early Education Real Estate: Investing in Small Kids’ Care
child-Care Real Estate Boom – Key Facts
Here’s a breakdown of the key facts from the provided article, formatted for clarity:
Market Growth & Value:
* The U.S. child-care market is currently valued at $65.2 billion.
* It’s projected to grow to $109.9 billion by 2033.
* The number of early education properties available for sale has grown by 14% since the end of 2024, reaching a total of 158.
* Properties with leases of 10+ years increased by 12% in 2025.
Driving Factors:
* Return-to-office trends for parents.
* Advancements in educational technologies.
* Increased government funding, especially for single and working mothers.
* Families moving to rural areas (creating “child-care deserts”).
Investment & Development:
* Net lease structures are common, where tenants cover property expenses (taxes, insurance, maintenance).
* Banks favor lending on these properties due to lease stability.
* Fortec and Equiturn are launching a $100 million early education real estate fund to “institutionalize” the sector.
* Fortec specializes in adaptive reuse projects for early childhood education (example given in Barrington, Illinois).
* B+E is a CRE brokerage specializing in net leasing and provided market data.
* KinderCare and The Learning Experience are examples of large national chains utilizing net lease structures.
Source:
* Information is based on a report from CRE brokerage B+E,citing data from Grand View Research.
* The article originally appeared in the CNBC Property Play newsletter.