Building Update 081125

On behalf of the Building Committee, I am excited to share an update on Phase 2 of the building project. We anticipate breaking ground sometime in October or November 2025. However, the project has encountered delays due to permitting issues with the City of San Diego, requiring modifications to our driveway and other improvements to the right-of-way, delaying our permit by approximately eight weeks. Four weeks are needed for civil engineering work, and another four weeks for the city's permitting process.

In addition, the church anticipates the need to finance $2 million for the project. This is primarily due to the city requiring retro-fit fire suppression systems in the Sanctuary, Fellowship Hall, and throughout the new office building, adding about $400,000 to the project's overall cost. We received this new information during the plan check process with the city. Increased labor and material costs since the initial capital campaign two years ago have also contributed to the increased cost pushing the budget to $6.1M from the original estimate of $4.5M for the entire Rooted project. Contingencies are also built into the financing plan as well to prepare for any other unforeseen construction expenses. Although the church is pre-approved for a $2M loan, the church may not need to draw the full amount for this project.

The church council has engaged with Thrivent Financial to finance the project. The mortgage will need to be approved by the congregation at a specially held congregational meeting, which we anticipate happening in September or October.

Once the permit is approved, we will put the project out to bid, adding another four weeks for subcontractors to submit their estimates. Following this, the Church Council will consider the construction contract and have bids for the total cost of the project.

Thank you for your continued patience and support. We look forward to embarking on this exciting phase together! If you have any questions regarding the project status, please reach out to me directly.

Pastor Rob Horne