Brand-New 15-Year Lease with 2.00% Annual Rental Increase
– The tenant signed a new 15-year lease at the subject property in 2025.
– The lease has no day-to-day landlord responsibilities and offers 2% rental increases every year.
– In addition to the 15-year base lease term, the tenant has one, ten-year options to renew the lease with the same rent increase structure annually.
Extremely Affluent Northern Suburb of Austin ($148,000+ AHHI in 1-Mile)
– While offering a small-town atmosphere, Georgetown’s proximity to Austin means residents can easily access the big city’s amenities, job market, and cultural attractions. The commute to downtown Austin is typically a 30 to 40-minute drive via I-35 or the toll road SH-130, providing the best of both worlds.
– Georgetown’s population has surged by over 50% since 2020. This rapid growth creates urgent and sustained demand for retail centers, professional office buildings, and healthcare facilities to serve new households.
Austin MSA – 2,600,000+ Residents in the Metro
– The metro’s population increased substantially in recent decades and now exceeds 2.6 million residents. Employment gains in the tech sector have significantly contributed to the metro’s recent population and median household income growth.
– Austin is the host of the Tesla Gigafactory Texas, America’s second-largest factory, which employs 20,000 people.
– The government is a significant driver in the local economy. Austin is the state capital and home to an IRS regional processing center, as well as military bases.
– The metro is a vibrant technology hub with industries that include semiconductor and related equipment manufacturing, along with computer and software development. High-tech firms with local operations include Meta, Apple, Tesla, Oracle and Amazon.
Demand For Daycare Remains Extremely Strong
– The U.S. childcare market size was valued at USD 60.4 billion in 2022 and is expected to grow at a compound annual growth rate (CAGR) of 4.18% from 2023 to 2030.
– The key factor driving the growth is the rising demand for early daycare & education services with more parents returning to working in offices, the rising number of single & working mothers, advancements in learning technologies for children, and the accessibility of government funding.
– The expenditure on daycare in the U.S. is very high. As per the cost of care survey facilitated by the U.S. Department of Health and Human Services, the expenditure on these services reached up to 7% of the household income in 2021.
