In talking with them about the childcare side of things, they ran into a lot of regulation that just proved too much at the time.
Childcare is highly regulated and childcare and workplaces even more so apparently. They said that many of the laws they were running into were meant to keep larger industrial organizations in check back in the day. Companies used to offer very sub-par "childcare" for line-workers and if a child was having a problem (sick, injury, etc) it wasn't in the best interest of the company to inform the parent (who would have to leave the production line).
I didn't think those laws would apply to a co-op type office where everyone is working for themselves.
When I left in December, there was no childcare running, just the co-op workspace (which I would highly recommend).