Sale proceeds

< Back to Sale/disposal of church property

Sale proceeds are invested as per the Property Sale Proceeds Policy and available for allocation under the terms of that policy.  Sale proceeds are held by the Property Trust on behalf of congregations for approved purposes. There are two investment options available for sale proceeds funds (three options if the funds are held to purchase a manse at a later date – see Manses below):

Investment Options Summary  Further Description 
 Conservative  Capital guaranteed - target return CPI+1%  This option is capital guaranteed and will target a return 1% higher than CPI (to be determined).
Growth Managed by equity fund Not capital guaranteed - value will rise and fall with market conditions. Minimum suggested investment timeframe of 3-5 years. Asset mix is 100% Australian equities.

 


Manses

In a manse situation – the funds can be earmarked ‘manse’ to purchase a manse at a later date. Interest from the sale proceeds can be accessed by the congregation. See the table below for investment options.


Manse Reinvestment Scheme

The Manse Reinvestment Scheme (MRS) was approved at the 20/6/15 Presbytery and Synod meeting and aims to provide congregations with a new option for utilising proceeds from the sale of manses as well as significant potential benefits for the Mission and Service Fund (M&SF).  This initiative arose from strengthening the cultural norm that the whole Uniting Church SA is "in it together" when it comes to balancing the M&SF. The MRS sits alongside the Property Sale Proceeds Policy (PSPP) and adopts the ‘in it together’ principle based on a leverage approach resulting in a contribution to the M&SF income whilst providing a guaranteed income source for congregations.

When a manse is sold and the sale proceeds are held to purchase a manse in the future as per the PSPP, the MRS is a voluntary option for the investment of the sale proceeds. The congregation can choose to invest the resulting funds as per the following:

Investment Options  Summary  Further Description 
 Conservative  Capital guaranteed –target return CPI + 1%  This option is capital guaranteed and will target a return 1% higher than CPI (to be determined).
Growth   Managed equity fund  Not capital guaranteed - value will rise and fall with market conditions. Minimum suggested investment timeframe of 3-5 years. Asset mix is 100% Australian equities.
Manse Reinvestment Scheme   Guaranteed 4% plus 1% for M&SF Returns guaranteed 4% per annum for congregation and 1% for Mission and Service Fund. Income credited on a quarterly basis.

Further information regarding the MRS –

For further information, please contact Lynne Aird, Property Administrator, on 8236 4210 or property@sa.uca.org.au

 

 

 

 

< Back to Sale/disposal of church property