Distressed Child Care Real Estate Opportunity

Former 83 Capacity Facility | Seller Financing Available

This offering represents a rare opportunity to acquire a purpose built child care facility in a strong Northern California residential market, now positioned as a value add real estate acquisition.

The operating business has ceased. The opportunity is now centered on acquiring the real estate at an adjusted basis and executing a clear renovation and reactivation strategy.

The property was previously licensed for substantial capacity and is configured for educational use with classroom layout, restroom infrastructure, and outdoor play area already in place.

Asset Overview

The facility provides a functional foundation for redevelopment and re licensing, avoiding the cost and timeline associated with ground up construction.

• Approximate building size of 4,700 plus square feet
• Purpose built educational layout
• Outdoor play area configuration
• Zoning aligned with child care use subject to verification
• Located within an established residential corridor

Replacement cost for comparable facilities materially exceeds the current pricing, creating a favorable basis for qualified buyers.

Property Condition and Scope

This is a heavy lift opportunity.

Recent inspections identified sub slab plumbing issues, including a grey water leak, along with additional structural and repair items. Slab related remediation, plumbing replacement, flooring, and interior reconstruction should be anticipated.

This is not a cosmetic upgrade. This is a full repositioning.

Inspection reports and supporting materials are available for review.

Execution Path

For experienced operators and investors, the path forward is clear:

• Complete structural and plumbing remediation
• Rebuild and modernize interior improvements
• Pursue licensing under new ownership
• Stabilize enrollment and operations
• Refinance or hold long term

This is an execution driven opportunity with defined steps and measurable upside.

Capital Structure

Seller financing is available to qualified buyers and has been structured to support acquisition and renovation:

• Minimum 30 percent buyer equity
• 7 percent interest
• 20 year amortization
• 3 year initial balloon
• Option to extend to 5 years with rate adjustment

This structure is intended to provide a bridge through renovation, licensing, and stabilization.

The property is not financeable through conventional lending in its current condition.

Ideal Buyer Profile

This opportunity is best suited for:

• Experienced child care operators expanding into new markets
• Contractors or developers comfortable with structural remediation
• Value add investors seeking a basis reset opportunity
• Groups with capital and execution capability

This is not suitable for first time operators or passive investors.

Why This Opportunity Stands Out

• Purpose built child care facility in a supply constrained market
• Discounted basis relative to replacement cost
• Seller financing aligned with execution timeline
• Clear repositioning and value creation path
• Full transparency with inspection documentation

Opportunities to acquire specialty use facilities at this basis with financing support are limited.

Next Steps

All inspection materials, property documentation, and supporting information are available for review.

Buyers should be prepared to:

• Complete underwriting
• Validate renovation scope
• Submit a structured Letter of Intent

Serious Buyers Only

This is a risk adjusted, execution focused opportunity.

For buyers who understand construction, licensing, and capital structure, this presents a clear path to value creation.