Dear Kingdomcity family,
As we continue together on this faith-filled mandate of establishing new territories for future generations throughout Perth, this page will provide periodic updates on the Perth Legacy Project, to keep you informed and included on our journey.
We celebrated the official opening of the new Mandurah building on 13 December 2019!
From a finance perspective the sale of Mandurah Terrace, as well as Legacy Pledges fulfilled, have provided sufficient capital to fund the initial 40% required for the project.
The balance of funding required to deliver the project has been secured through a third-party loan of $4.5M, that has now been fully drawn.
We are incorporating what we have learned from our Mandurah building project as well as the COVID-19 season, to produce a more effective design for our new Butler building.
We are blessed to have the assistance of architects, Mark Patterson and Ken Loughton (also the founders of Transform Cambodia), to assist us with this project.
Although resetting of the design may prolong the commencement of construction, we believe a revised design will generate construction cost savings. This is also an opportune time for us to continue to build our share of the construction contribution and potentially reduce the amount we need to borrow.
To date, we have invested over $1M in the project which covers 50% of the original land purchase price and consulting fees for engineering, council, etc.
We have received sufficient pledges to fund the Legacy Project, however, only $2.548M of those pledges have actually been received to date. Subject to pending design changes, we estimate that our share to contribute to the Butler project is approximately $5.2M.
We anticipate breaking ground on our Butler land in 2021, subject to Council approvals, mortgage approvals and the builder appointment.
We have completed major renovations during 2019 to facilitate broadcasting and Greenhouse.
With future growth in mind, we have undertaken a needs analysis to consider further required works at Canning Vale. Currently, our architects are drafting options for consideration on which we will provide an update in the future. Our preliminary estimate for these further works is in the range of $2M to $3M.
Our Canning Vale property currently has a mortgage of $1.9M, which along with the cost of further renovations are envisioned to be funded from Legacy Pledges received and Miracle Offering.
We have utilised the lockdown period to reconfigure parts of our kids’ facilities and to construct a studio.
Our main focus for our Wangara property is to pay off our $2.76M mortgage.
SUMMARY OF FINANCES
We will soon conclude the last year of the Legacy Project:
Legacy Pledge funds received to date is $2,547,808.10
Overall, we need to raise approximately $12.3M to be debt-free on all four campuses, based on current projects and debt commitments and subject to change pending the outcome of the design decision for our new Butler building. We also need to secure campuses for our three newest locations in Midland, Western Suburbs and Rockingham.
While we are confident that once these projects are complete, we can service our loans with continued wisdom and good governance, we are believing to eradicate the debt as quickly as possible, as the church continues to grow and remain healthy in all areas.
This update relates only to the Legacy Project and it is important for context to know that the overall the state of our current finances (from both an asset and income point of view) is very healthy and always has been over the last 8 years. Our Board, finance team and those who administer our daily operations continue to do so with diligence, good governance and wisdom.
Sincere thanks to everyone who has commenced sowing into the Legacy Project. If you have pledged sometime in the past and can’t recall the number or would like to pledge to the Legacy Project, then please email us at firstname.lastname@example.org.
In closing we would sincerely appreciate your heartfelt (and ongoing) prayer support to the Legacy Project in the following areas:-
1. Wisdom for all involved in stewarding the building and financing of these projects at every level.
2. God’s increased favour and financial blessing on all those who are giving sacrificially to this project.
3. That God’s people would be overwhelmingly blessed, that these projects will be complete with excellence and we would be debt-free in an unusually quick time.
Thank you for standing together in unity as we continue to bring the reality of God to our world.
Global General Manager
On behalf of
Kingdomcity Perth Eldership