This turnkey preschool and real estate package presents a rare opportunity to acquire a fully operational early childhood education facility with immediate cash flow and long-term appreciation potential. The offering includes both the licensed child care business and the underlying property, located in a thriving residential area of Ontario, CA.
The facility is licensed for 122 children and currently has 50 enrolled, leaving ample room for enrollment expansion and revenue growth. This is a prime value-add acquisition for owner-operators, preschool chains, or investors looking to grow within the child care sector.
PROPERTY OVERVIEW
Building Size: 6,480 SF
Lot Size: 0.69 Acres
License Capacity: 122 Children
Current Enrollment: 50
Zoning: Educational / Daycare Use
Parking: On-site parking lot
Improvements: Multiple classrooms, administrative office, playground, ADA-accessible restrooms, kitchen setup
LOAN STRUCTURES (example)
SBA 7(a) Loan (15% Down)
DSCR: 1.88x
Debt Yield: 9.5%
Leveraged IRR (5-Year Hold): 29.6%
DSCR: 1.39x
Debt Yield: 9.5%
Leveraged IRR (5-Year Hold): 17.7%
VALUE-ADD STRATEGIES
Increase enrollment from 50 to 100+ children (82%+ capacity utilization)
Optimize tuition rates to match local market benchmarks
Expand eligibility and participation in CSPP, CCTR, and CACFP programs
Implement enrichment programming (music, STEM, language) to attract new families
Rebrand and market the center to increase community awareness and drive leads
DEMOGRAPHIC ADVANTAGE
Located in a high-density family community in San Bernardino County, the property benefits from a strong pipeline of working parents, dual-income households, and a high volume of children under age 10. Traffic counts, residential growth, and local school feeder systems reinforce the long-term viability of the center.
EXIT STRATEGIES
Resale to strategic or private operator at full enrollment
Hold and refinance after NOI growth for capital extraction
Sale and leaseback to a child care REIT or investment group
Asset repositioning for alternative educational programming or special use care (e.g., therapy, SPED)
WHY THIS LISTING STANDS OUT
Rare combination of business + real estate in a demand-rich market
SBA financing ready, with clean financials and owner add-backs clearly documented
Underutilized license capacity, allowing an investor to more than double gross revenue
Modern facility, fully code-compliant, ADA-ready, and capable of full-day programming
California’s public investment in early learning through CSPP, CCTR, Prop 98, and infrastructure funding offers lasting financial tailwinds