BSS / Beit Horim – Questions and Answers

1. Why does the value of BSS’ excess land need to be realized?
A 2009 engineering study of the Beth Shalom property indicated that significant components of the building’s infrastructure need urgent replacement and or repair.
Over the next 4-years, approx. $1.2 million will be needed to be spent on the items.
The excess land is the only saleable asset owned by BSS
Attempting to secure the necessary dollars through fundraising and dues increases is not considered feasible.

2. Are there other options than selling the excess land?
Yes. 3 options have been identified:
a) Selling the excess land (16,000 sq. ft.) at appraised market value (Currently $2.4 Million)
b) Entering into a partnership with Beit Horim in building the seniors’ residence and, when operational, receiving a percentage of the profits.
c) Selling the total property and rebuilding Beth Shalom at a new location.

3. Why should we stay at our current location?
Over the past 30 years, BSS Boards have reaffirmed the value of staying we are.
Attempting to find and finance a new building site which is reasonably accessible to our congregation would be both difficult and costly.
Obtaining the finances to build a new BSS would be costly.
Securing a new site, building, fitting and furnishing a new building would be of such cost that BSS would probably not be able to obtain a necessary mortgage nor make payments on it.

4. How large and what proportion is the excess land of the total Beth Shalom property?
The excess land is 16,000 sq. ft
It represents 1/3 of the total Beth Shalom land area.

5. What is the value of the excess land?
Beth Shalom has had 2 evaluations made of the total BSS land area and the value of the excess land.
The current assessed value of the total land area is $7.2 Million
The current assessed value of the excess land is $2.4 Million

6. Is the total land area worth more per sq. ft. that the 1/3 excess land sq. ft value?
No. According to both assessors, the per sq. ft value of the land is the same for the total land area and for the 1/3 land area.

7. How large a facility is Beit Horim proposing to build?
Outline plans for the facility will be provided at the meetings

8. What is Beit Horim willing to pay for the BSS excess land?
Beit Horim is willing to pay the assessed value of the excess land, $2.4 Million plus a non-refundable sum of an additional $100,000

9. When will the money be paid by Beit Horim to BSS?
When the Agreement to sell has been approved by the BSS Board and Congregation and signed by the BSS Board President.

10. What will happen to the $2.5 Million if the excess land is sold to Beit Horim?
The BSS Board proposes to place the total sum in a trust account and use the annual interest towards the cost of replacing and repairing critical synagogue infrastructure.
The excess funds may then become a legacy fund supporting the ongoing repair and maintenance of BSS or may be used for the purpose of buying into the Beit Horim project at a later date.

11. What happens if, for any reason, Beit Horim does not build the planned facility?
The Agreement for Sale would stipulate that BSS will buy back the excess lands at the original sale price of $2,400,000.
This buy back will occur if Beit Horim has not commenced construction within 3-years from the date of signing the Agreement For Sale of the BSS Excess land.
By retaining the full $2.4 Million purchase price in a trust account for an indefinite period the BSS would ensure that it could repurchase the previously sold land if and when necessary.

12. When will construction of the planned Beit Horim facility be started?
Construction will take place as soon as the necessary zoning, subdivision approval and financing are in hand but no later than 3 years from the signing of the agreement.

13. If an agreement is entered into with Beit Horim, when will the seniors’ facility be completed and fully operational?
Beit Horim has projected that it could take up to 2-years to get the necessary zoning, licensing, and other regulatory approvals, as well as financing, and then perhaps an additional 1½ to 2 years for the building to be completed.

14. Will the Beit Horim facility include a suite for BSS’s Rabbi? 
Current negotiations indicate that a suite will be included in the new facility and be available for rent by BSS for use by its Rabbi.

15. Will the sale of the excess land provide any other benefit to BSS?
In addition to the non-refundable $100,000 paid by Beit Horim to BSS as part of the purchase price for the excess lands, Beit Horim has also agreed to pay receipted costs up to $200 000 for the much needed repair of the front steps of BSS.

The Beth Horim Project

Beth Shalom Synagogue is proposing to enter into an agreement with Beit Horim for the sale of the vacant Shul owned land on the east side of the Synagogue, (where the Rabbi’s house used to be) and specifically for the construction of “Our Parent’s Home” – a seniors’ residence built by the Beit Horim Society.

Below you will find information about this project.

On November 28th, 2011 there will be a special general meeting for the congregation where more information will be provided, a discussion will be held, and a vote will be held on the project.

If you have any questions or comments on the project, then feel free to leave them here.

Proposed Beth Shalom/ Beit Horim Project

Notice of Motion

As previously notified, Beth Shalom Synagogue is proposing to enter into an agreement with Beit Horim for the sale of the vacant Shul-owned land on the east side of the Synagogue, hereafter called (“the excess land”), and specifically for the construction of “Our Parent’s Home”.  To date, significant research and discussion have taken place as to the why the value of the excess land needs to be realized, how best to realize the value, and concurrently enhance the value and usage of Berth Shalom Synagogue.

At a special Board meeting held on Wednesday, October 26th, the Board voted unanimously (albeit, with one abstention) to sell the excess land to the Beit Horim Society for the sale price of $2,500.000.00.  However, in accordance to the Bylaws of Edmonton Beth Shalom Congregation, specifically Articles 7.17 and 7.18, before any agreement for the disposition of the excess land can be entered into; approval from the Congregation is required.

7.17  Subject to the provisions of Article 7.18 the Board shall exercise all the powers and  have the authority to perform all of the objects of the congregation, and in particular, and without restricting the generality of the foregoing to perform the objects set out in sub-paragraphs (b), (i) and (j) of Paragraph 2 of the Application for Incorporation, namely:

            “(b) To acquire lands, by purchase or otherwise, erect or otherwise provide a building or      buildings for religious, educational, recreational, social and community purposes;”

            “(i)   To sell, manage, lease, mortgage, dispose of or otherwise deal with the property of the            Society;”

            “(j)   To borrow or raise or secure the payment of money in such manner as it thinks fit;”

7.18  In the matter of the sale, mortgage, disposal of or other dealing with the real property of the Congregation, the Board shall have the power to act on behalf of the Congregation, provided that with respect to the proposed purchase, sale or mortgage of real property on behalf of the Congregation or with respect to the proposed winding up or dissolution of the Congregation, such a decision shall be made at an Extraordinary General Meeting.  Notice to the Congregation of an Extraordinary General Meeting called for one of the above purposes shall contain a reproduction of Articles 7.17 and 7.18 of the Bylaws as well as any specific details relating to the business to be conducted, as are available at the time the Notice is sent.

 

Therefore, an Extraordinary general meeting of the congregation of Beth Shalom Synagogue is to be held on Monday, November 28th, 2011 at 7:00pm at the Synagogue in the upstairs sanctuary, where the following motion will be presented for consideration and approval by the congregation:

Motion:

That the Beth Shalom Synagogue sell its excess lands (approx. 16,000 square feet) to the Beit Horim Society for the building of Our Parents’ Home (OP) for the  sale price of $2,500,000.00.

 The Questions and Answers document provided on pages 3-5 has been prepared to guide your reflection on the above Motion prior to the meeting and your participation in discussions at the November 28th meeting.

Additional background information will be provided at the meeting.

Jeff Rubin, President

Tue, 27 June 2017 3 Tammuz 5777