Session 5

The perspective of real estate business

How do economic considerations affect the alternative use of churches? If the commercial property market cannot sustain these buildings, which organizational and financial alternatives to the selling of churches could be developed?

The Churches Conservation Trust (CCT) was formed 50 years ago to save historic churches that no longer had a viable congregation, for the nation. During these 50 years the CCT has gathered a collection 356 beautiful and historic churches across England. This collection continues to grow, by about 2 or 3 every year, against a background of declining state funding. Evolving from a purely conservation based organisation, the CCT has developed community and volunteering expertise, commercial knowledge (through activities such as Champing™ and consultancy work), as well as acting as a property developer  to enable some urban historic churches to be used for a variety of enhanced community  uses. We continue with our high quality conservation work, but there is a constant need to raise more money to manage and maintain this growing collection of churches. The strategy of the CCT is aimed at how we can use our infrastructure to support communities to support their historic places of worship. In rural areas we consider that there will be increasing numbers of highly historic churches which will not have a worshipping congregation. How will these churches be looked after and by whom? How can national organisations help? A case study of the Old Black Lion pub will be discussed. This is our latest idea around how we can support the re use of historic churches through adjacent property, providing a sustainable commercial future as well as preserving public access and improving the local economy.

Back in the 1980s, many churches and monasteries were demolished in the Netherlands. Reliplan, founded in 1991, was one of the first companies to market churches. At that time, this was still a gap in the market. Among the buyers or tenants of church buildings that Reliplan mediates are parishes, civil society organizations, cultural organizations, companies, private individuals, investors, developers and non-profit foundations. The parishes are often surprised at how quickly Reliplan finds a use without having to develop lengthy concepts. It is about recognizing and connecting what the potentials and requirements are. For Reliplan, the challenge also lies in selling the churches at a price in line with the market and not selling them off.

Houses of worship are something special: in many cases, they have been around for a long time, have a "necessary" special use with great symbolic power, are rarely fully utilized, are often listed buildings and are burdened with high maintenance and operating costs. This has not been new for ten years and is still relevant. What is new, however, in the context of climate change, is the possible impending CO2 pricing. As long-lasting existing buildings, churches are inexpensive and valuable CO2 reservoirs. Special uses by the public sector raise similar issues to those in church real estate management. In terms of (existing) construction, sale, purchase or (cost) rent, differences and parallels are drawn with the commercial housing and real estate industry. How can the maintenance backlog be quantified? And what does this mean in the context of climate change? From stocktaking to building portfolio management, usage costs are calculated and simulated (NUKOSI) using examples, comparisons are drawn and outlooks developed.