Jarra Childcare Trust

The Fund leverages a hybrid investment strategy to create a diverse portfolio, combining direct real estate ownership with co-investments in a national childcare business.

This strategy provides investors with attractive risk adjusted returns by balancing predictable, inflation protected rental income, and growth potential from business operations.

The Fund’s investment strategy is informed by Jarra’s strong track record in the childcare sector, with experience developing over 30 childcare centres and successfully rolling out a similar hybrid investment strategy prior to establishing this Fund.

To rollout Early Learning Collective nationally, Jarra is partnering with leading national childcare provider Early Learning Management (ELM), who will be engaged to manage the centres.  Having operated and managed more than 450 childcare centres over the past 35 years, ELM are currently managing 90 centres nationally, with an impressive average occupancy of 86%.

Over the past decade, childcare enrolment has surged by more than 30%, driven by rising female workforce participation, delayed retirements, population growth (with the 0-5 age group increasing by 3.3% annually since 2012), and the increasing cost of living.

These factors have contributed to higher childcare attendance rates, with 50% of Australia’s 0-5 population currently enrolled in formal childcare.

Both sides of the Australian government recognise childcare as critical infrastructure for the economy. During the COVID-19 pandemic, the childcare sector was the first industry to receive direct government financial support.

Recent government budget announcements reaffirm continued strong financial backing for the sector, reinforcing its long-term stability.

The Fund’s co-investment structure fosters strong alignment between the Fund, ELM and Jarra by ensuring that all parties have a shared financial and strategic interest in the success of Early Learning Collective.

Stakeholders are incentivised to drive operational excellence, long-term growth, and quality outcomes, creating a unified approach to value creation.

Investing in early childhood education strengthens communities and drives long-term economic growth. Quality childcare services provide essential support for working families, increase workforce participation, and contribute to the development of future generations.

By ensuring access to early education, the Fund will contribute to social stability, improving educational outcomes, and enhancing productivity across Australia.