A Conversation with John Muzyka of Church Realty

The American church landscape is shifting rapidly. More churches are closing than opening, and an estimated 4,000 church properties will change hands this year alone. How can congregations navigate this transition well?

I recently interviewed John Muzyka, of Church Realty, to get his seasoned perspective. Church Realty specializes in helping churches buy, sell, and assess their property needs throughout their ministry life cycles.

The Church's Life Cycle

John explains that churches go through natural life cycles, not unlike the stages couples go through. A church plant starts small, like renting space or meeting in a home. As it grows, it may need a modest "starter" facility. Continuing growth may eventually require a larger "dream home" to accommodate expanding ministries.

"A church plant does not buy their dream home, just like a young couple does not buy their dream home right after they get married," John says. "Churches are ministry-minded. They're looking for a place to do ministry."

Signs a Transition is Needed

But what are the signs a church may need to prayerfully consider transitioning to a new facility or making the heart-wrenching decision to close? A few potential red flags:

• Inability to keep up with maintenance and deferred repairs are piling up

• Being severely underutilized for the size of the facility (e.g. 70 people meeting in a 900-seat auditorium)

• The current building is keeping the congregation from fulfilling its mission and vision

"If you're not utilizing [the building] for your intended purpose, you need to have a discussion," John advises. "You need to be a good steward of the facility you have."

The Role of an Objective Real Estate Professional

For many churches, the building represents decades of cherished memories and milestones. This makes it incredibly difficult for church members to make prudent, unbiased decisions about selling or relocating.

This is where an experienced, objective real estate professional can provide invaluable guidance. John and his team's mission is to serve as a supportive expert voice to help churches evaluate their facility needs and options without being swayed by emotional attachments.

"A lot of commercial brokers just don't get it. They want to go find somebody who can find them a buyer in 30 days. That's not how this works," John says. "Churches don't make fast decisions. If I list a church building, it's probably going to take 12-18 months to sell it."

He notes that the ideal church real estate professional is someone who:

• Has expertise serving churches specifically and understanding their decision-making processes

• Is willing to do thorough due diligence work over a lengthy period instead of just chasing quick deals

• Can empathize with the profound life transition a church goes through in this process

Handling Emotional Attachments

While John stresses that "the church is not the building - the church is the people," he recognizes churches want to steward their properties for kingdom purposes if possible.

"Some churches may say, 'We're not going to sell this building to a commercial user. We'd rather it be a church,'" he says. "Okay, then you're probably not going to go buy land and build. You need to adjust your vision and finances based on that decision."

Ideally, the church can work toward an outcome where the sale of their property provides the funds to relocate or launch a new work elsewhere. This allows their legacy to continue through a new congregation.

Examples of Churches Ending Well

John gave a powerful example of a church he worked with that ended extraordinarily well under the pastor's guidance. As the church prepared to sell its building, the pastor guided members to visit other local churches over several weeks to find their next church home.

"He helped those members find a church home," John marveled. "I had never seen that before."

Another church opted to sell its building to a Hispanic congregation, despite having other higher offers. The buyer church then "exploded" with growth after moving in, which allowed the closing congregation to pass the baton in beautiful way.

While not every ending can be so storybook, John says churches that are able to honestly assess their situation, receive outside counsel, make timely decisions, and sacrificially consider their moveout plan have the best chance of ending with grace and perpetuating their legacy.

Not Inevitable, But Normal

Of course, the healthiest outcome is for churches to proactively make changes to revitalize before closing becomes the only option. John notes that while church closures are not inevitable, they are sadly normal in a world of imperfect, human leadership.

"Churches die and close for lots of reasons - moral failure, financial mismanagement, committees losing their original mission over time," he says. "But I don't think it's inevitable if churches stay on mission, navigate change well, and have healthy leadership transitions."

The key is being willing to ask the tough questions, get trusted outside counsel, make necessary adjustments, and keep the church's mission as the guiding force. While the church is not a building, our buildings should serve as tools to advance that mission.