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4194 Pilot Knob Rd, Eagan, MN, 55122

Premier Early Childhood Education
$1,985,000

Key Information

Cap Rate
6.75%
Tot. SF
7,335
Lot Size
0.97 Acres
Term Remaining
±12 YRS
Type
Retail
NOI
$133,972

Highlights

  • Experienced Operator – Premier Early Childhood Education – Premier Early Childhood Education Partners is an education brand that focuses on improving the lives of children, families, and early childhood professionals nationwide with ±150 locations.
  • Private Equity Backing – Tyree & D’Angelo Partners (TDP) acquired Premier Early Childhood Education Partners in December 2018. TDP focuses on lower middle-market companies and has completed 1,000+ partnerships with $2.5B+ in capital under management.
  • Long-Term Absolute Net Lease with Structured Rent Growth – The property is backed by a ±12-year absolute NNN lease, offering investors stable, predictable income with annual built-in rent escalations that enhance long-term cash flow and protect against inflation.
  • Strong Demographics Supporting Childcare Demand – Within a ±5-mile radius, the property serves 144,000+ residents with average household incomes exceeding $159,000 within a 1-mile radius. The area’s family-centric population and high percentage of dual-income households create steady, long-term demand for early education services.
  • Attractive Pricing Relative to Comparable Assets – Comparable long-term early education properties are trading above $5 million, with many exceeding $7 million—nearly triple the price of this offering. This presents a compelling opportunity for a long-term lease at a below-market basis.
  • Positive Industry Outlook and Growing Market Demand – The U.S. childcare market was valued at $59.9 billion in 2023 and is projected to grow to $73 billion by 2030 (source: Towards Healthcare). Industry expansion is supported by rising parental workforce participation, the prevalence of dual-income households, and a continued focus on early education quality.

Photos

Location

Agents

Broker of Record

Kurt Sauer

License # 40628602, 41005445 (MN)
Matthews of Minnesota, LLC
701 Xenia Ave S, Ste 485 Minneapolis MN 55416