February 22, 2003

Building and Location Committee (BLC)
Rocky Mountain Conference
United Methodist Church

Re: Recommendation and meeting summary, Basalt Community United Methodist Church (BCUMC), consideration of purchase and sale of real property

Recommendation:

UNANIMOUS APPROVAL

Meeting Summary:

Present:
BCUMC: Representatives of the Board of Trustees and the Land Acquisition Committee
BLC: Guy Botkin, Randy Henrie

Summary:
On Saturday, February 22, 2003, the BCUMC hosted a meeting for the BLC to present and discuss their desire to sell their existing church building, and purchase an alternate church building and agreage. They are well into the due diligence phase and rounding third base in this process, and are set to close on both properties the last week of May. The BCUMC has done an excellent job planning, researching, and implementing all phases of this process.

Reasons for transition:
The primary reason for acquiring a different property is the lack of expansion space at the existing facility. The existing facility is located in a dense residential neighborhood in downtown Basalt and is constructed to the lot line. There is no off-street parking, no safe place for outdoor activities, and no place for the building to grow to accommodate a growing congregation. The current building is also over 100 years old with the sanctuary on the upper level. This creates multiple accessibility problems, and it would be difficult to solve the accessibility problems. The new building is very similar in size and also has the sanctuary on the upper level. However, this building has entries at the ground plane of each level making it accessible for all people with disabilities. The new property also sits on a nearly 3 acre lot with more than enough room for off-street parking, safe outdoor activities, and room to grow.

Financial:
As with many real estate transactions, there are often contingencies. One of the BCUMC's largest hurdles was to find a buyer and close on the current property before they could close on the new property. They were quite pleased therefore when two solid offers came forward, and they were able to counteroffer for $26,000 more than the original asking price. The difference between the asking price of the current property and the purchase price of the new property (with 2.86 acres) is approximately $105,000 (shorfall). This is an almost unheard of bargain given the escalating cost of property in the Roaring Fork Valley. They are just at the beginning of the funraising phase of this process and have a strong and realistic plan to move forward, and have strong support from the congregation. They believe that with up-front donations and pledged giving, the congregation can pay off the remaining $105,000 in 3-5 years. They are also following all guidelines put forth by the United Methodist Church including trust laws and clauses.

Spiritual:
As with all the logistical and practical aspects of this real estate process, the BCUMC has a solid plan for the emotional and spiritual impacts of this transaction. A primary concern was that the existing and historic church building would be sold to a party who recognized the history, character, and community value of the building. This concern became the deciding factor in choosing which of the two offers to accept. The chosen buyer is interested in refurbishing the existing building without damaging its character, and is planning to change its use to community-oriented art studios and meeting places. The BCUMC also recognizes the emotional impacts (particularly in regards to the youth) the transition will have on the congregation when it moves into a new home. To help with this they are planning on the day of the move to have a "funeral" for the old church and a "resurrection" for the new church.

We would like to congratulate and thank the BCUMC on an excellent job with every phase of this process, and extend our blessings and prayers for the success of this project.