Updated Information – Aug. 11, 2020
Hyde Park Purchases Women’s Center After several online meetings and a called church conference that resulted in a vote to purchase the former Hyde Park Women’s Center, we have successfully acquired the property. We appreciate the congregation’s thoughtful participation in the church conference and input throughout the process. We are thankful for the hard work and leadership from our Board of Trustees, the Committee on Finance, the Debt and Property Implementation Team and Steve Gardner, Lay Delegate to the Annual Conference. Next steps include taking control of the property and petitioning the city to vacate the alley on the property. Our Board of Trustees will lead this effort.
Throughout its history, and particularly during the last 25 years, Hyde Park United Methodist has acquired surrounding property as an investment in the church’s future growth and expansion. We are grateful for the sacrifice and faith demonstrated by previous generations, which have contributed to the dynamic ministries we have today. Recently, the Women’s Clinic of Hyde Park has become available for purchase, and the Trustees have been conducting due diligence on the property. As the congregation discerns a possible purchase of the property, the following is offered to provide essential information regarding the potential acquisition.
Where is the property located?
The address is 502 S. Magnolia Ave, on the southeast corner of Magnolia and Horatio. It is in the northwest corner of the rest of the DeLeon block, which is owned by the church. See the yellow box highlighted on the attached property map.
How much is the purchase price?
The original asking price was $1.8 million. The actual purchase price is set at $1.04 million, based on an independent appraisal authorized by the Trustees.
What is the process moving forward?
The Trustees completed the required 21-day period of due diligence which expired June 11, which included requisite inspections, consent from the Gulf Central District, and discussions among various committees of the Church.
The Trustees did vote to move forward past the due diligence period, and now the church has until July 20 to secure approval by a Church Conference and to close on the purchase of the property. An information session is scheduled for June 28, 2020 at 12:15 p.m. The Church Conference during which all members may vote on the potential purchase is scheduled for July 9, 2020 at 6:30 p.m.
Why would the church be interested in this property?
The property would finally complete the entire DeLeon block, which has been a long-time goal since the church began acquiring property for growth and expansion over 25 years ago. The church did not want to become land locked, as many urban churches are. Owning the entire block could raise the overall property value by giving us a bigger footprint with which to work. It opens up more opportunities for either utilizing the property ourselves or for using it in conjunction with a mission partner. Owning the entire block could also increase the pool of potential buyers if future generations should elect to sell the property.
The existing building could be either repurposed or torn down to create additional contiguous parking. Ensuring that another buyer does not purchase the property would also prevent complications with other potential occupants.
Ultimately, this purchase would ensure the capacity for future expansion of the church, just as prior generations purchased the properties that enable us to have the facilities and ministries we have today. This purchase will open up possibilities to future generations of Hyde Park, giving them the ability to achieve their dreams for ongoing ministries and missions.
How would purchasing this property affect our debt and impact our annual budget?
The Church has a current unpaid balance on its existing loans of $805,659, with a monthly payment of $30,950. This will be paid in full by the end of September 2022. The Finance Committee is exploring numerous avenues for funding the purchase, one of which includes securing an additional loan, with the intent of not increasing the current monthly payments, while extending debt repayment over a longer term. Proceeds from the June 30 sale of the small parking lot on Cedar and Azeele (407 W. Azeele Street, box 8 on the attached property map) can also be put toward the purchase. Sales of additional out parcels owned by the church (refer to the attached property map) could also be considered.
How can I offer my comments and questions?
Church leadership intends to provide an information session to offer more details about the purchase and hear comments and feedback. Until then, questions related to the property can be directed to firstname.lastname@example.org.