GG,
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Raking in Loan and Rent Monies How much money does the WT Society possibly rake in each month and each year for Kingdom Hall mortgages and Circuit Assembly Hall fees? There is no way to be certain, but I made the following estimates for your interest.
Amazing
There are approximately 7,000 JW congregations in the USA. Assuming that each Hall is shared by an average of two congregations (some have more and many have only one) then we can safely assume 3,500 Kingdom Halls in the USA. While I have no data on how many have outstanding loans with the Society, it has been my experience over 27 years serving in 9 different congregations in 3 states that each and every one has had a loan with the Society. But, for this discussion, I will assume 1,750 Kingdom Halls have loans.
While the Society in the early 1990s moved its interest rate up to 6%, I will conservatively assume that all outstanding loans today are back to the older 3% APR.
Some KH loans are small, maybe less than $100,000 and many are higher, but for this analysis, I will assume an average of $100,000 per Kingdom Hall still owing the Society on a mortgage. Back in the 1980s I knew of several congregations with mortgages of around $200,000. So, just using an average of $100,000 owed, then here is how it would break down:
1,750 Halls with an average of $100,000 Principle value = $175,000,000.00.
Monthly Principle and Interest payment at 3% over a 30 year mortgage on all $175,000,000 together sent in to the Society is:
$737,807.06 or $8,853,684.71 each year. Over the life of 30 years the Society would collect a total of $265,610,541.25!
Keep in mind that the above is a very rough and general estimate. While the actual loans outstanding might be smaller, they could as easily be greater. Also, not included are the outstanding loans on the multimillion dollar Circuit Assembly Halls in many parts of the USA.
James 2:15-17, "If a brother or sister be naked, and destitute of daily food, And one of you say unto them, Depart in peace, be ye warmed and filled; notwithstanding ye give them not those things which are needful to the body; what doth it profit? Even so faith, if it hath not works, is dead, being alone."
What are the works again that the early Christians talked about doing? And with millions of dollars coming in just from Kingdom Hall loans, does it not make us wonder how many poor JWs could be greatly helped? And in Africa a USA Dollar goes much farther, anywhere from 8 to 12 times the value in the USA. So that $8,853,684.71 the Society may be getting each year could equal anywhere from $70 million to $106 million in real buying power in many poor nations. Think of all the JWs that could be lifted out of poverty, and all the Kingdom Halls that could get a roof and maybe even the luxury of cushioned seats or air conditioning?
Someone mentioned on H20 earlier that the recent Circuit Assembly they attended requested over $9,000 to be sent in to the Society for use of the Circuit Assembly Hall. These Assembly Halls are used each weekend for assemblies, so, if each CA send is $9,000, then that means $36,000 per month is sent to the Society.
Each Assembly Hall holds about 1,500 maximum in attendance. These Halls are typically about 20,000 to 25,000 square feet or more. Using 20,000 sqft, this means that the Society is getting about $1.80 per sqft per month or an annual rate of $21.60 per sqft.
Common commercial lease, rates for such properties I managed run between $20 and $24 per square foot per year. So, the Society is doing very well in collecting comparable fees much like the rental market keeping up with common commercial rent rates.
Contributed by
Simply Amazing,