Churches flood into real estate market

Every year, about 7,000 churches in the United States close their doors, the Christian ministers’ organization Pastoral Care estimates. In some cases, members’ numbers have declined, and those who remain cannot support the considerable cost of maintaining the buildings.

Many are architectural gems in residential neighborhoods built 100 years ago, when money bought far more stone and stained glass than it does today.

Some church structures are being acquired by growing denominations, or congregations established by new immigrant groups. But more than a few are allowed to decay, or are being razed and the land put to secular uses.

“We want to save these structures,” said John Duffy, of Duffy Real Estate in Philadelphia. One of the hardest things he does, he says, is meet with congregations who need to sell.

“My heart goes out to them,” he said.

One church, for example, got nine offers for its property, said Duffy, who was the listing agent. A developer bought the structure, then sold it to another denomination.

Another one Duffy listed will see new life as a Jewish high school for boys, he said.

Elsewhere, developer Ken Weinstein is turning an Episcopal church into a new home for the Waldorf School. He also is converting a different church into a performing-arts center.

“There are a lot of churches on the market or about to go on the market,” Weinstein said.

Developers see great value in saving liturgical buildings and adapting them to other uses. And some communities have stepped up to help make that easier. For example, one such town with nine closed churches, adopted a conversion ordinance two years ago.

Another, which has just three churches left of the five it had 30 years ago, also acted to make adaptive reuse easier, Duffy said.

Developer Scott Brehman, of Main Line reBuild, is adapting Narberth United Methodist Church, built in 1929, to residential use as Narberth Place, carving out condominiums for the downsizing-buyer market.

“A demolition guy stopped by the church unsolicited and handed me a proposal to raze and remove the building,” Brehman recalled. The cost: $250,000.

Five of six bidders on the property would have razed the church and replaced it with townhouses.

Brehman chose another way. The first phase of his project — transforming the 7,500-square-foot former parsonage next to the church into three condos and constructing a “like-minded” building on the site with three more units — is sold out. In Phase Two, the 27,000-square-foot church, built in 1929, will be made over into six additional condos; work is scheduled to begin in the fall.

Prices for the 12 condos will range from $495,000 to $1.1 million, Brehman said.

He also is starting the public-approval process for development of a 1923-vintage Baptist church.

The church, at 10,000 square feet, is smaller than Narberth United Methodist “but had all the things we look for,” he said, including an easy to walk to the business district. There will be four “elevator-capable” condo units, with the possibility of downstairs master bedrooms. The parsonage will be a single unit, he added.

“Churches are closing down at a really rapid rate,” said Brehman, “and we need to do something about it.”

He cited data from a 2012 symposium sponsored by the Lower Merion Conservancy that said 20 percent of the 1,000 churches in the city of Philadelphia were likely to close in 10 years.

Longtime parishioners are saddened at seeing the churches turned into housing, he acknowledged, but these buildings often are neighborhood icons.

Philadelphia developer Alon Barzilay, who is converting Greater St. Matthew’s Baptist in the city’s Graduate Hospital neighborhood as Sanctuary Lofts apartments, sees adaptive reuse of religious buildings as a niche business.

“It took a long time to figure out how to save it, but we were able to make all the apartments unique, with those who live on the top floor able to see the architectural features out of view of a century and more of worshipers,” Barzilay said of the 38 units.

Construction from the ground up is probably cheaper, Brehman said, “but saving these buildings is more palatable to the community.”

Sale and eventual reuse of religious properties does not necessarily mean all congregations have to vacate. At another site, for instance, Weinstein will build 20 condos but lease the sanctuary back to the church members.

Brokering sales of spiritual institutions is very different from the rest of his business, Duffy said:

“I tell people I have the greatest client ever — God.”

Talk to us

> Give us your news tips.

> Send us a letter to the editor.

> More Herald contact information.

More in Business

ZeroAvia founder and CEO Val Mifthakof, left, shows Gov. Jay Inslee a hydrogen-powered motor during an event at ZeroAvia’s new Everett facility on Wednesday, April 24, 2024, near Paine Field in Everett, Washington. (Ryan Berry / The Herald)
ZeroAvia’s new Everett center ‘a huge step in decarbonizing’ aviation

The British-American company, which is developing hydrogen-electric powered aircraft, expects one day to employ hundreds at the site.

Allan and Frances Peterson, a woodworker and artist respectively, stand in the door of the old horse stable they turned into Milkwood on Sunday, March 31, 2024, in Index, Washington. (Ryan Berry / The Herald)
Old horse stall in Index is mini art gallery in the boonies

Frances and Allan Peterson showcase their art. And where else you can buy a souvenir Index pillow or dish towel?

Everett
Red Robin to pay $600K for harassment at Everett location

A consent decree approved Friday settles sexual harassment and retaliation claims by four victims against the restaurant chain.

magniX employees and staff have moved into the company's new 40,000 square foot office on Seaway Boulevard on Monday, Jan. 18, 2020 in Everett, Washington. magniX consolidated all of its Australia and Redmond operations under one roof to be home to the global headquarters, engineering, manufacturing and testing of its electric propulsion systems.  (Andy Bronson / The Herald)
Harbour Air plans to buy 50 electric motors from Everett company magniX

One of the largest seaplane airlines in the world plans to retrofit its fleet with the Everett-built electric propulsion system.

Simreet Dhaliwal speaks after winning during the 2024 Snohomish County Emerging Leaders Awards Presentation on Wednesday, April 17, 2024, in Everett, Washington. (Ryan Berry / The Herald)
Simreet Dhaliwal wins The Herald’s 2024 Emerging Leaders Award

Dhaliwal, an economic development and tourism specialist, was one of 12 finalists for the award celebrating young leaders in Snohomish County.

Lynnwood
New Jersey company acquires Lynnwood Land Rover dealership

Land Rover Seattle, now Land Rover Lynnwood, has been purchased by Holman, a 100-year-old company.

Szabella Psaztor is an Emerging Leader. (Olivia Vanni / The Herald)
Szabella Pasztor: Change begins at a grassroots level

As development director at Farmer Frog, Pasztor supports social justice, equity and community empowerment.

Simreet Dhaliwal is an Emerging Leader. (Olivia Vanni / The Herald)
Simreet Dhaliwal: A deep-seated commitment to justice

The Snohomish County tourism and economic specialist is determined to steer change and make a meaningful impact.

Nathanael Engen, founder of Black Forest Mushrooms, an Everett gourmet mushroom growing operation is an Emerging Leader. (Olivia Vanni / The Herald)
Nathanael Engen: Growing and sharing gourmet mushrooms

More than just providing nutritious food, the owner of Black Forest Mushrooms aims to uplift and educate the community.

Owner and founder of Moe's Coffee in Arlington Kaitlyn Davis poses for a photo at the Everett Herald on March 22, 2024 in Everett, Washington. (Annie Barker / The Herald)
Kaitlyn Davis: Bringing economic vitality to Arlington

More than just coffee, Davis has created community gathering spaces where all can feel welcome.

Emerging Leader John Michael Graves. (Ryan Berry / The Herald)
John Michael Graves: Champion for diversity and inclusion

Graves leads training sessions on Israel, Jewish history and the Holocaust and identifying antisemitic hate crimes.

Gracelynn Shibayama, the events coordinator at the Edmonds Center for the Arts, is an Emerging Leader. (Olivia Vanni / The Herald)
Gracelynn Shibayama: Connecting people through the arts and culture

The Edmonds Center for the Arts coordinator strives to create a more connected and empathetic community.

Support local journalism

If you value local news, make a gift now to support the trusted journalism you get in The Daily Herald. Donations processed in this system are not tax deductible.