Maximum LVR (ex GST)

70%

65%

Up to 70% of ‘as if complete’ valuation

Up to 90% of Total Development Cost (TDC), subject to feasibility and QS sign-off

Borrower Type

At least 5 years of relevant experience within the childcare sector, with a demonstrated ability to operate facilities aligned to the purpose, scale, and complexity of the proposed loan. Typically, these are multi-site operators with three or more centres, an existing banking relationship, or strong mitigants for loan exit risk. For construction facilities, we focus on operators developing their own centres or projects supported by a strong tenant covenant.

Business (Company, Trust, or Group Entity – Childcare Operator / Owner)

At least 5 years of relevant experience within the childcare sector, with a demonstrated ability to operate facilities aligned to the purpose, scale, and complexity of the proposed loan. Typically, these are multi-site operators with three or more centres, an existing banking relationship, or strong mitigants for loan exit risk. For construction facilities, we focus on operators developing their own centres or projects supported by a strong tenant covenant.

Business (Company, Trust, or Group Entity – Childcare Operator / Owner)

At least 5 years of relevant experience within the childcare sector, with a demonstrated ability to operate facilities aligned to the purpose, scale, and complexity of the proposed loan. Typically, these are multi-site operators with three or more centres, an existing banking relationship, or strong mitigants for loan exit risk. For construction facilities, we focus on operators developing their own centres or projects supported by a strong tenant covenant.

Business (Company, Trust, or Group Entity – Childcare Operator / Owner)

Loan Purpose

Acquisition, refinance, or equity release of operating childcare businesses.

Acquisition or Refinance of a leased Childcare Property where the tenant is a related party or represents a strong lease covenant.

Centres in acquisition or launch stage, with funding structured to bridge early operations through to Established Loan eligibility. This product is designed to sit alongside an established portfolio or an existing loan.

Construction funding for new childcare centres, covering land acquisition and build costs, with funding aligned to stabilised earnings and occupancy in line with external valuation.

Maximum Loan term (P&I)

Up to 15 years¹

n/a

n/a

Maximum Loan Term (Interest Only)

Up to 5 years Interest Only, then 10 years P&I¹

Up to 2 years with Interest prepaid where appropriate

Up to 2 years (Interest Only)¹

Use of Funds

Acquisition, refinance, or equity release of operating childcare businesses

Refurbishments, rental guarantees, and operational cost reimbursements

Pre-opening / ramp-up funding for new centres

Operating cost cover until full CCS-linked occupancy is achieved

Working capital, payroll and fit-out

Construction of new childcare centres (freehold going concern)

Funding for land acquisition, build costs, and capitalised interest

Provision for contingencies, fit-out,

Maximum Loan Size

$5,000,000

$5,000,000

$15,000,000

Amortisation

Interest Only
Principal & Interest

Interest Only (pre-paid in advance and included in loan)

Interest Only (capitalised during construction)

Security Structure

First ranking General Security Agreement over the Borrower

Security taken over the childcare business and leasehold rights

First registered mortgage over the property and business assets

Director’s Guarantees

First ranking General Security Agreement over the Borrower

Security taken over the childcare business and leasehold rights

Director’s Guarantees

First ranking General Security Agreement over the Borrower

First registered mortgage over land and improvements

Fixed and floating charge over the childcare business

Director’s Guarantees