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Bainbridge Street House Sale
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St. Athanasius Parish: Bainbridge Road Property (9/29/2020) update
I n the August 30th bulletin Fr. Rock announced that we are taking steps to sell the Bainbridge Road house. As he noted, the decision to sell the property was undertaken only after a great deal of thought and deliberation. St. Athanasius Pastoral Council members were consulted and a financial update that solicited parishioner input was mailed in July. We are providing an additional update so that all parishioners will be informed on the process.
As is the case in many parishes, COVID-19 has had a negative impact on our offertory and other revenues. While in the past, we have benefited from supplemental fund-raising efforts such as Bingo and the Annual Christmas Faire, these fund-raising options are not viable while the virus remains unchecked. We believe that if most parishioners increase their weekly giving by a modest sum, we can meet the Parish’s operating budget through the current fiscal year ending in June 2021. However, even if we do meet our operating budget with increased offertory, there is no financial cushion for us to pay for any unplanned maintenance or capital needs related to our parish properties - and expenses such as these are inevitable. The Bainbridge property has been determined to be excess to our long-term needs. The sale of the home provides St. Athanasius Parish with a source of funds for long-term capital needs.
What Steps Have Been Taken So Far:- We have received permission from the Archdiocese to sell the house.
- The property has been appraised and a local realtor has toured the home and offered professional advice regarding current Reading market conditions.
- Fr. Erikson has moved from Bainbridge Road to the office building (former rectory) on St. Athanasius Parish property.
- Some minor, cosmetic improvements have been made to prepare the house for sale.
The house will be put on the market in October. A purchase and sale agreement must be approved by several Archdiocese committees in order for the sale to close. Closing is expected in December.
Sales proceeds will be allocated as follows:- A real estate commission and closing costs of approximately 10% will be paid on the sale.
- In addition, the 18% Archdiocese tithe assessed on Parish income will be assessed on the sale proceeds.
- 50% of the sales proceeds after the payment of the commission and tithe will be held in an Archdiocesan escrow account for St. Athanasius Parish for 5 years. At the end of that time St. Athanasius Parish will have full use of those funds plus interest.
- The remaining 50% of the sales proceeds after the payment of the commission and tithe will be available to the Parish for our capital needs.
Respectfully submitted,
Fr. Steve Rock
St. Athanasius Finance Council – Cindy Canavan, Bob Ferrari, Joe McDonagh and Ellen Terry
