SACRED SPACES UPDATE November 20, /20/111

AGENDA / OVERVIEW Review of Sacred Spaces Task Force Findings – Three Facility Options – “Unified Modules” – Module pricing from Hollister Construction Implications from a financial standpoint What about the “other” factors? Next Steps - Getting to a decision 11/20/112

Role of Sacred Spaces Task Force 9 Member Team; Fall 2010 – Summer 2011 Impartial - No agenda – “Just the facts…” Explore 3 options Move from the 10,000 foot view to 1,000 feet 11/20/11 3

The Three Options Option 1 – “Stay and renovate” Option 2 – “Buy raw land and build from scratch” Option 3 – “Buy an existing building and re-purpose for church use” For ease of comparison, SSTF developed specifications for “Unified Modules” 11/20/114

Unified Building Module Concept As much as possible, provide “apples to apples” comparisons for each option. Key components: The Sanctuary – seating for up to 450 The “church basement”, i.e., public gathering space and large kitchen facility RE and Admin Building - ~10,000 s.f. total Key Infrastructure -Lobby, restrooms, fire stairwells and elevators 11/20/115

Module 1 Sanctuary Second Floor Module 1 Sanctuary First Floor Module 2 Fwp. Hall Basement Module 3 Lobby, Access Toilets Three Floors Module 5 RE, Admin Two Floors Module 4 Parking Not Shown 11/20/116

Unified Module Pricing Cost Estimating from Hollister Construction ModuleElementTotal CostPrice Per S.F. 1Sanctuary$1,000,000$170/sf 2Public Gathering Space$425,000$70/sf 3Lobby, Bathrooms, Elevators$850,000$140/sf 4Parking, Lighting, Curbs, Drainage$500,000*150 parking spaces 5Religious Education + Admin.$1,100,000$110/sf Other costs (Professional fees, insurance, contingency) $500, ,000 11/20/117 * Could be larger/smaller

Gross Cost By Option ElementCostOption 1 Stay/Renovate Option 2 – Raw Land Option 3 - Buy/Renovate Land + Site Improvements Est. $1,100,000NoYesIncluded Renovate Existing Space Depends$600,000*NoDepends Sanctuary$1,000,000Yes Depends Public Space$450,000Yes Depends Lobby$850,000Yes No Parking$500,000*Yes No RE + Admin$1,100,000$300,000YesDepends Other Costs$5-700,000Yes Gross Cost$4.4 million$5.7 million$3.5 – 5 million 11/20/118 * Could be larger/smaller

Total Net Cost By Option ElementCostOption 1 Stay/Renovate Option 2 – Raw Land Option 3 - Buy/Renovate Gross Cost$4.4 million$5.7 million$3.5 – 5 million Less: Sale of 21 Normandy Hts Rd. NoYes Total Net Cost$4.4 million$3.7 million$1.5 – 3 million 11/20/119

Implications of Financial Information Option 2 (Raw Land) cannot be phased $3.7 million (net) is probably financially unfeasible. Option 3 (Repurpose) most likely requires a 5 – 10 mile Relocation to capitalize on lower property values – see next slide. Option 1 - the crucial repairs are so expensive that any expansion might need to be deferred for a significant period of time. 11/20/1110

Cost of Option 3 is LOCATION Dependent – Compare the Following: 13 Emory Ave. – North-Western Randolph – 25,000 SF Office Building – Acquisition cost is $1.5 million – Total estimated gross cost is $3.25 million 300 Webro – Parsippany – 34,000 SF Warehouse Building – Acquisition cost is $3+ million – Total estimated gross cost is $4.5 million 11/20/1111

Membership By Zip Code 11/20/1112

Relocation probably means North and West off the I-80 corridor Are there benefits to be gained? What are the ‘costs’? What do the demographics suggest? Where is our membership located now? Where will our future members come from? How are drive times affected? 11/20/1113

A Final Decision is Highly Nuanced “What else would you need to have/consider in order to make an informed decision”? Total CostTotal TimeAesthetics of Buildings GroundsAccessibility & SafetyEase of Funding “Flow” and layout of spaceLegal approvalsNeighborhood resistanceTransactional complexityAvailability of suitable property “Green” Efficient energy useCost of maintenance Incorporates “green” building featuresContributes to landfill Location Area demographicsOverlap with Summit Effect on current membership drive timesGood highway accessVisibilityAccess to public transportation Character of neighborhood 11/20/1114

A Word about the Capital Campaign Regardless of the option we select, a capital campaign will be required “Best practices” = every ten years We are about 20 years overdue! The Board is beginning the investigative phase now Dovetail fund raising with facilities decision 11/20/1115

What’s Next Sacred Conversations between now and April. 1.Team to assemble and explore factors with congregational input. 2.Expand analysis of Options 1 and 3 – timing, phasing. 3.Team builds range of options based on all factors and potential size range of Capital Campaign. Board to bring a vote before the congregation – Earliest in June, latest in October – Vote is to affirm direction and charter a financial feasibility study for capital campaign. – Board will not be seeking spending authorization at this time. 1611/20/11

Our Legacy 50 years ago a small group made a brave decision to acquire a building Now is the time for us to make another brave decision about our future We will hold the Sacred Conversations We will find the correct answer for our community 50 years from now, it will be your legacy 1711/20/11

Primary Factor Analysis Table (PFAT) 11/20/1118

PFAT, continued 11/20/1119