Building Update 4

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The timeline for the next steps in the project were noted as follows: 1. Scaffolding and site - work presently in progress to tidy the site and move the hoarding off the pavement to reduced ongoing maintenance costs. 2. Tender documents ready for pricing end May/June 3. Subject to funding, price the works; June / July / August 4. Analyse prices; August / September 5. Church vote on the award of the <strong>Building</strong> Contract; September / October 6. Phasing Julian Navey (Trustee responsible for Finances) shared the following details regarding the financial challenge ahead. The Challenge - Where do we start? Julian reminded us of the prime importance of Prayer and Scripture quoting from 2 Corinthians 9: 6-8, emphasising the spiritual legacy of our giving. The priority of personal and corporate prayer over the coming weeks was also emphasised. The Challenge – What next? Julian described the nature of the challenge ahead and that not only was the £1.8m a large figure, but that if we are to appoint a main contractor as soon as possible then most of those funds need to be available before the end of 2019. Although regular monthly giving is still most appropriate for some givers the emphasis needs to be on giving larger sums in the short term and we were challenged to consider how we might fund a large purchase like a roof repair or a new kitchen at home, and apply those thoughts as to how we would be able to give a significant sum to the project in the coming months. It was noted - Over 300 people have given to the Regen project over the last 6 years - 300 gifts of £5,000 = £1,500,000 - If those gifts were gift-aided = £1,875,000!! The Challenge – Already Started Julian reported that the Elders/Trustees and Pastors were challenged by the situation facing the leadership in 1 Chronicles 29. As a result each gave a confidential new commitment and the total committed by the group came to over £200,000 of immediate gifts such that the target is now less than £1,600,000! This was a great encouragement to all! Loans and Legacies A loan form CAF bank has been agreed in principle for £700k and is over and above the £1.8m to be raised. The monthly cost of this is just above £4,000 with an interest rate a little over 3.5%. Currently regular monthly giving, specifically for the building project, is over £6,000 and will therefore cover the repayments. These commitments would need to be renewed/replaced in 5 year cycles over the term of the loan. Julian challenged those present to consider whether legacy payments from wills might be considered to help this loan to be paid off more quickly in the next 20 years. The following table was presented to show how the monthly repayments might change if interest rates were to change in the coming years. The 19 May is now scheduled as the Gift Day where everyone will be given the opportunity to contribute.
Regeneration Project: Balance to Raise Estimated Cost to Complete 3,708,000 Cash in account and confirmed Pledges to be completed 1,216,000 Loan 700,000 1,916,000 Balance to raise 1,792,000 Say £1.8m Loans and Legacies: Potential Loan Costs Loan £700,000 Monthly repayments Repayment Term 15 Years 20 years Interest Rate 3.50% £4,909 £3,937 4.50% £5,201 £4,229 5.50% £5,493 £4,520 Current extended pledges £6,000 + per month Conclusion Faced with the exciting potential of our new building alongside the huge financial challenge, what next ? The first thing is to hand the whole thing over to God in serious, sustained prayer. That’s what believers do. Prayer is the first recourse not the last resort. Maybe the scale of the mountain we now have to climb, is exactly what we need as a Church to drive us to our knees in humble, dependent reliance on God. Step two: That may well be to become one of the “Lansdowne 300”, giving more or less than £5000. The amount is not as important as the attitude. For God loves a cheerful giver not a compelled one! In the gospel, it was the widow and her mite who was commended. Why? Because as Jesus said “she gave everything she had”. We are on a journey. It’s longer than we expected. But we trust the Lord to build His house in His way and in His time. After all He is the God who can do immeasurably more than all we ask or even imagine! So as we approach the important Gift Day on Sunday 19 May, let’s do so with faith- filled, prayer- saturated, God- dependent hope.
Page 1 and 2: Building Update4 April 2019
Page 3 and 4: Keith McKay (Trustee/Member of the
Page 5: Regeneration Construction Cost Over

Building Update 4

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