Sell Your Goddard School Property
Considering selling your Goddard School property? NNN Realty specializes in net lease investment sales nationwide, including franchised early education schools. Learn what impacts the value of a Goddard School property, how buyers evaluate the franchisee behind the lease, and what to expect throughout the selling process.
The Goddard School Market at a Glance
Short Answer
The value of a Goddard School property depends on the remaining lease term, the rent and scheduled increases, and the strength of the franchisee and guarantors who signed the lease. The Goddard School is franchised, and the franchisor generally does not guarantee the lease, so buyers underwrite the operator’s experience, finances and enrollment rather than the brand alone. Newer schools on long NNN leases tend to draw the most buyers.
- Typical cap rate
- 6.25% to 7.25%
- Typical sale price
- $4M to $6M
- Typical term left at sale
- 10 to 15 years
- Typical lease type
- NNN
Approximate ranges from NNN Realty’s tracking of Goddard School listings and reported sales, with data as of October 5, 2026. They are a starting point, not an appraisal or a quote of current pricing: your property’s value depends on its lease, location and condition.
How to Sell Your Goddard School Property
Selling a Goddard School property requires presenting both the real estate and the franchisee who operates the school. Our process is designed to establish realistic pricing, reach buyers who understand franchised childcare, and manage the transaction from valuation through closing.
Property Review & Valuation
We review the lease to confirm the franchisee tenant entity and any personal or corporate guarantees, then look at the remaining term, rent increases and options. We also consider the franchisee’s experience and number of schools, any financial or enrollment reporting the lease provides, the building and playground, local family demographics and comparable sales to set a realistic value.
Market Positioning & Buyer Targeting
Our offering materials describe the school, the operator and the lease clearly, supported by professional photography and drone imagery where appropriate. We then market to 1031 exchange buyers, private investors and groups that regularly buy newer early education properties on long NNN leases, supported by national exposure.
Offers, Buyer Qualification & Negotiations
When offers are received, we look at each buyer’s experience with franchised tenants, financing or proof of funds, timeline and requests for franchisee or guarantor financial information. We help negotiate a non-binding Letter of Intent (LOI) covering the main terms before the parties enter into a Purchase and Sale Agreement (PSA).
Due Diligence & Closing
After the PSA is signed, the buyer typically has a due diligence period of about 30–45 days to review the lease and guaranties, any franchisee financials the lease allows, title, survey, environmental reports and the building. The buyer may be able to terminate during this time and recover its earnest money deposit.
We coordinate the documents, site visits around school hours and communication with the buyer, attorneys, title company and lender, and we help obtain the tenant estoppel from the franchisee. Depending on the PSA, the deposit may become nonrefundable once due diligence ends, subject to contractual exceptions, and closing commonly follows within another 15–30 days. Timelines vary by transaction.
What Is My Goddard School Property Worth?
A Goddard School property is valued primarily on its net operating income (NOI) and the capitalization rate (cap rate) buyers will accept. Not every Goddard School property trades at the same cap rate. The franchisee and guarantors, the remaining term, rent increases and the age of the building all affect what a buyer is willing to pay.
How Cap Rates Affect Your Property’s Value
A cap rate represents the relationship between a property’s annual net operating income and its purchase price. Generally, a lower cap rate results in a higher property value, while a higher cap rate results in a lower value.
Example: $360,000 annual NOI at 7% cap rate = approximately $5,142,857 estimated property value.
Property Value = Annual NOI ÷ Cap Rate
Cap rate calculator
Estimated property value
Illustrative calculation only. Actual sale prices depend on property characteristics and market conditions.
Factors That Influence Goddard School Property Values
Franchisee Strength & Lease Guarantee
Each school is operated by a franchisee, and the lease is usually backed by the franchisee entity and its owners rather than the franchisor. Buyers look at how many schools the operator runs, its track record and the net worth of the guarantors.
Remaining Lease Term
Schools with 15 or more years remaining tend to draw the most buyers and the strongest pricing. As the term shortens, the franchisee’s performance carries even more weight.
Enrollment & School Performance
Enrollment and tuition trends show whether the school can comfortably cover its rent. Owners who can share this information, where the lease allows, give buyers more confidence.
Rent Increases
Leases often include increases of about 2% a year or 8% to 10% every five years, which build income growth into the investment. An increase coming soon after closing can add to value.
Building Age & Location
Newer purpose-built schools in neighborhoods with young families and strong household incomes are the most sought after. Buyers also consider how easily another childcare operator could use the building.
The Goddard School as a Tenant
The Goddard School is a franchised early education brand managed by Goddard Systems, LLC, which is headquartered in King of Prussia, Pennsylvania, and owned by private equity firm Sycamore Partners. Leases are typically signed by the franchisee’s entity, often with personal or owner guarantees, and the franchisor generally does not guarantee them. The tenant entity and any guarantee vary by lease, so confirm both from your lease documents.
As of May 18, 2026, Goddard Systems licensed more than 680 Goddard School franchises serving almost 100,000 students in 37 states and Washington, D.C. It reported awarding 35 new franchise licenses in the first quarter of 2026, after opening 28 schools across eight states in 2025, so buyers have a steady supply of new schools on long leases to compare with yours.
- Parent company
- Goddard Systems, LLC (private; owned by Sycamore Partners)
- Schools
- More than 680 franchised schools in 37 states and D.C. as of May 18, 2026
- Credit rating
- Not rated; franchisee leases depend on the operator’s and guarantors’ finances
- Common lease terms
- Often 15 to 20 years on new schools, NNN, with increases of about 2% a year or 8% to 10% every five years. Confirm the franchisee tenant, guarantors and landlord duties in your lease.
- Typical building
- About 8,000 to 12,000 square feet on 1.5 to 2.5 acres
Company facts checked October 20, 2026. Sources:
What Is Your Goddard School Property Worth?
Considering selling your Goddard School property? NNN Realty can help you understand its current market value through a review of the lease, the franchisee and guarantors, recent comparable sales and current buyer demand.
Whether you’re ready to sell or simply exploring your options, we’re here to provide an informed assessment of your school.
NNN Realty is not affiliated with The Goddard School. Market ranges are approximate, based on listings and sales tracked through October 5, 2026, and the calculator is illustrative. Nothing here is tax, legal or investment advice.