Early Learning Market Report – Mid-Year 2025

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09/09/2025

Gain Clarity on the Fast-Growing Child Care Real Estate Sector

The early education sector continues to outperform expectations. Since the end of 2024, available early education properties have increased by 14%, while average cap rates remain steady at 6.91%. Behind this growth lies a national trend: a $65.2B U.S. child care market projected to reach $109.9B by 2033.

Whether you’re a seasoned investor or exploring new net lease categories, this report gives you the data, trends, and insights you need to make informed decisions.

Inside This Report

Market Overview: Updated pricing, cap rates, and lease term trends across the U.S.
Tenant Insights: Data on leading operators including KinderCare, The Learning Experience, Cadence Academy, and The Nest Schools.
Geographic Breakdown: State-by-state performance showing where early learning assets are most active.
Trend Analysis: IPO impact, brand expansions, and the evolving role of institutional and private investors.
Real-Time Data: Metrics sourced from B+E’s proprietary 1031 Trade Database, the largest dataset in the net lease industry.

Why It Matters

Early learning assets are proving resilient — driven by rising dual-income households, increased government funding, and steady demand for high-quality childcare. Understanding these market forces helps investors identify where long-term stability and upside potential intersect.

This mid-year report empowers you to:

Spot emerging opportunities by tenant, market, and cap rate.
Compare franchisee and corporate lease structures.
Navigate a market seeing renewed investor confidence post-KinderCare IPO.

About B+E

B+E is a modern investment brokerage specializing in single-tenant net lease real estate and 1031 exchanges. We combine real-time data, AI-powered technology, and experienced brokerage expertise to help clients buy and sell net lease properties with confidence.