10
Reasons to Consider Purchasing an Existing Building for Your Church
Expansion
By Rev. Brian Kluth of
www.MAXIMUMgenerosity.org This article appeared in Church
Executive Magazine in Aug of 2007.
In your community,
research the following
for-sale or rental
properties:
-
Grade schools
-
Middle schools
-
High schools
-
Movie theaters
-
Large restaurants
-
Shopping malls
-
Big box stores
-
Corporate offices
-
Manufacturing plants
-
Car dealership
4 Top Things Needed
for an Ideal Property:
-
Highly visible and accessible location
-
Ceilings of 18’ or higher for sanctuary
and/or gym space.
-
Hundreds of existing or surrounding
parking spaces
-
Sale price that is 50-90% below what it
would cost to build today.
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When it comes to
managing facilities growth in most dynamic churches, many people
traditionally think in terms of buying land and building a brand new
facility. But in today’s changing world, there are at least ten reasons a
church should seriously explore purchasing and renovating an existing
building to meet their expansion needs.
1.
Available properties. In many major cities, there has been a
downturn in the real estate market for retail, office, and commercial
properties. Large buildings with tens of thousands and even hundreds of
thousands of square feet are sitting empty across America. Many of these
empty properties have attractive exteriors, ample square footage, tall
enough ceilings for sanctuaries and gymnasiums, plenty of parking, and are
located on a major road.
2.
Affordable costs. Across the country, the price for new
construction has been escalating beyond reach for many churches. On the
other hand, the price of many existing properties is much for cost
effective. I was part of a growing church plant that purchased a bankrupt
racquetball club for $500,000 that was listed for $2.2 million. Another
church I know purchased a 50,000-square-foot school with a 600-person
auditorium for $600,000. A church in Maryland paid $1 for a closed high
school facility that only five years earlier had undergone $10 million in
renovations. And in Chicago, a former international corporate headquarters
on 80 acres with a 280,000-square-foot building and a 900-car parking garage
that was valued at $53 million was given to a church for free!
3.
Quicker occupancy. It normally takes three to seven years to go
from purchasing land to having your first worship service in your brand new
(already-outgrown) multipurpose facility. The time needed to develop
drawings, line up funding, work with city government, put in your
infrastructure, and construct the first building will take multiple years
and will frequently encounter delays, loss of momentum, senior staff
turnover, and cost overruns. Existing facilities, on the other hand, can
oftentimes be renovated within 12 months (and sometimes less) from the date
of purchase.
4.
Less government hassles. When I was with a growing church plant
in Milwaukee, we worked directly with our city government to choose an
existing property for our future church home. We scheduled a meeting with
the planning department to discuss existing properties and available land
that we were interested in pursuing. After they looked over our desired
locations, they told us they would fight us on five of the properties we had
in mind. But they also told us that if we pursued buying the bankrupt
racquetball club they would grease the skids and quickly approve this
facility for use as a church. Guess which property we pursued and ultimately
occupied with the city’s blessing?
5.
Less neighborhood opposition. If you want to begin a controversy
in a community, try to buy a large piece of property and let the neighbors
know you are going to build a church that will attract hundreds or thousands
of people that will clog the roads and take up the land where they like to
take their dogs for a walk! Across America today communities are rising up
against new super-sized buildings, whether they be WalMarts, corporations,
or churches. I know of a California church that had a multi-year battle with
the city and neighbors and ultimately were only allowed to build on 25 acres
of the 126 acres they had purchased. When you purchase an existing property,
the building is already a regular part of the community’s landscape.
6.
Ready-made parking lots. One of the greatest needs for growing
churches is ample parking. Existing big box facilities or commercial
buildings often have hundreds of parking spaces on their existing property.
In many cases, there is additional parking at nearby businesses that can be
used with special permission since these businesses often don’t need parking
spaces on weekends.
7.
High visibility location. In real estate, the motto is “location,
location, location.” Many of these large facilities are sitting in prime
locations with high visibility. When your church moves to one of these
locations it becomes highly visible to the whole community. I know of one
church that purchased an empty big box sporting goods store in a prime
location. Within a year their attendance jumped from 1200 people to over
3000. A church in Florida purchased over 400,000 square feet of retail and
commercial property that included a mall, movie theaters, bowling alleys,
and restaurants, and turned it into a seven-day-a-week ministry and economic
center in their community. And Joel Osteen’s Lakewood Church in Houston
purchased a former NBA basketball arena for their church.
8.
Keep your growth momentum going. Nothing will kill the growth of
a church quicker than running out of facility or parking space. If church
leaders do not strategically address the need for expanded space in a timely
fashion, momentum can be lost forever as the church bogs down in inadequate
facilities. By seriously researching all available existing buildings within
a one- to five-mile radius (or satellite worship venues further away) you
may find a God-given solution for your expansion needs.
9.
Easier design decisions. When you start your design process with
a piece of paper and empty acres of land that will be occupied in three to
seven years, design decisions are difficult. But when you have a building
you are going to occupy within the next 12 months, design decisions flow
more quickly because you are concentrating on the best use of the specific
space you have available. I heard of one church that purchased a Chucky
Cheese Pizza restaurant. Guess what? They didn’t have to debate where the
stage or the kitchen or the children’s play area would be. All they had to
do was concentrate on the fix-up, painting, carpet/chair color, and deciding
what to do with the life size mice and animals that were on the stage!
10.
Easier to sell the vision and raise the funds. No matter how hard
you try, some people will never be able to “see” what the church will look
like if you stand them out in the middle of a cornfield on the edge of town.
But when you can have them drive up to the existing building and let them
walk around, they quickly and easily catch the vision and see the value of
what their gifts and pledges will help accomplish. In Texas, a church
purchased a beautiful newly-built Cadillac car dealership that went
bankrupt. The congregation was blown away when they could walk in and see
this beautiful new facility that was available to them at a fraction of what
it cost to build.
I trust this article
helped “stretch your thinking and stretch your faith.” I have opportunities
to travel and preach around the country, and whenever I visit a city, I look
for large commercial facilities that are sitting empty so I can pray that
God will use some of these facilities for His divine purpose. Proverbs 13:22
says the “wealth of the sinner is stored up for the righteous.” I personally
believe there are companies that have built wonderful facilities in prime
locations that are now sitting empty because God has destined these
facilities to be used by community-shaping and life-impacting churches.
Maybe one of the buildings I have prayed for will be the God-given building
for your needed expansion plans.
About the
author: Brian Kluth is a Senior Pastor in Colorado Springs. He is the
author of
40 Day Spiritual Journey to a More Generous Life, a Bible
devotional booklet (www.GenerousLife.info)
that hundreds of churches have used to inspire generosity and increased
giving (oftentimes for building campaigns). He is also the founder of
www.MAXIMUMgenerosity.org and has a free e-newsletter on church giving
that goes to over 18,000 pastors and leaders. |