Finance Corner: Rental Income

A significant income line in our budget is for rental income. What’s happening with that in the current fiscal year? The congregation approved the proposed budget at our annual meeting on June 2. The rental income budget is $57,743. But at that meeting we announced late breaking news that the Cleveland Institute of Music decided to pull all their private instruction back to their own facility. This means that the $15,500 that we had budgeted is not going to happen. In addition, in July we found out that the Jewish Secular Society will not be returning to UUCC, a loss of another $3,270 of income.

Our B&G team is working on finding new tenants to replace some of this lost income, but it’s likely that our year-end report will show a shortfall of $18,000 or so. If we sell the Lancashire building we’ll lose the rental income there as well, but overall that would be a good tradeoff.

As you are probably aware, our Shaker building is much larger than our current needs. Even on Sunday mornings there are many spaces not used for UUCC purposes. We have long sought tenants for these unused spaces/times to supplement our other sources of income. As we embark on a building needs assessment this year we will be determining the “right size” to meet our congregation’s needs, so that if the conclusion is to do any major renovations or reconstruction we are not building space that we don’t need.

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