Another week, another Genius childcare centre shuts - this time owing $28K-plus in rent

Little over a week after the Genius-run childcare centre in Gungahlin was shuttered by the ACT’s childcare regulator for repeated breaches of child health and safety – and parents were told to take their children to another Genius centre in Symonston – that one is also now closing.

Genius Childcare Symonston, located on 22 Wormald Street, will close on 7 March after the site’s landlord terminated the company’s lease, saying it owes $28,038.89 in unpaid rent.

A letter from the landlord’s lawyers, quoted by the ABC, said Genius had a “longstanding history of defaults” since it began leasing the centre in February 2024.

“You must be aware of your company having repeatedly failed to pay its rent,” the letter read.

“Our client considers that your company lacks the necessary and proper business practices to operate from the premises in a reputable manner.”

On the afternoon of 24 July 2024, parents who arrived to pick up their children were handed notices by local firm BAL Lawyers, advising that Genius had been given two days to vacate the premises due to unpaid rent.

“Due to the operator of Genius Childcare Symonston failing to comply with the terms of the sublease of our premises, our client has been left with no choice but to terminate the sublease,” the letter read.

The landlord later agreed to extend the termination date by a few weeks “so that families have enough time to make alternative childcare arrangements”.

During that time, Genius applied for an injunction in the ACT Supreme Court, where both sides were told to keep the centre open in the interests of the families, but on the condition Genius paid the landlord a $125,000 advance from which rent could be drawn.

This fund was exhausted in December 2024.

The ACT’s childcare service regulator, Children’s Education and Care Assurance (CECA), told Region it had received a “notification of voluntary suspension” of services at Genius Symonston, but no “formal notification of permanent closure”.

“It is the obligation of the approved provider to notify the regulatory authority of any closure,” a spokesperson said.

“The provider must also advise families at least 14 days before any closure and must notify CECA before this period.”

The closure will affect not only the centre’s regular users but also those of Genius Gungahlin, who were told last week by management to transfer to Symonston – about a 20-minute drive away.

Last week, CECA ruled the centre on Gribble Street will be unable to operate from 20 February to 5 March “in the best interest of children” after considering “all evidence and the issues of ongoing compliance”.

The regulatory authority has the power to cancel a childcare if it’s established its continued operation “would constitute an unacceptable risk to the safety, health, or wellbeing of children”.

In a letter sent to parents at the Gungahlin centre, Genius management offered care at Symonston “to ensure your child’s learning and routine remain uninterrupted”.

So far in the past year, CECA has received 35 complaints, incident reports or statuary notifications about the ACT’s Genuis-run centres, with Gungahlin racking up the most with 11, followed by eight at Gowrie, seven at Symonston, six at Condor and three at Bonython.

In late 2024, there was a mass exodus of educators from the Gowrie centre who accused the company of consistently delaying wages and withholding superannuation and annual leave payments.

Earlier this week, educators at Bonython also refused to work because of ongoing pay delays and withheld superannuation.

During the suspension at Gungahlin, CECA requires Genius to “demonstrate the service will be compliant with the national law and that steps are in place to ensure ongoing compliance”.

“If CECA is not satisfied that the provider will be compliant, further regulatory action may be taken.”

CECA told Region this week, “Regular risk audits are being conducted at Genius services”.

Genius Childcare and BAL Lawyers were contacted for comment.