Citing hard times, Suffolk church declares bankruptcy

SUFFOLK

Horns, cymbals and drums heralded the grand opening of Tabernacle Christian Church on East Washington Street on a sunny Saturday in June 2006.

A t 42,000 square feet, it's one of the largest churches in the region, seating 1,300 people, with a choir loft to accommodate 100 people, a 500-seat fellowship hall, 10 classrooms and a 430-vehicle parking lot.

But now, in a difficult economy for churches and almost everyone else, the cathedral-like church is going through hard times, said the Rev. Carlton Upton on Thursday.

Near the end of last month, Tabernacle filed for Chapter 11 bankruptcy protection. Without the legal step, both the new $4.7 million church and the old church could have been auctioned.

Upton said the church's financial crisis is a sign of the times, brought on by the poor economy and a lack of financial support. Tabernacle has more than 700 members.

The church reported an income of more than $830,000 last year and more than $700,000 the year before that, according to records filed with the bankruptcy petition. This year, so far, Tabernacle has reported just over $260,000 in income.

The Chapter 11 filing calls for Tabernacle repaying its debts over a period of time, and the debts are in excess of $5 million, according to the bankruptcy paperwork.

In assets, the church lists almost $7 million in real estate holdings, in addition to the new church and an older church building at 1401 E. Washington. Also listed is $900,000 in personal property, $970,000 in church pews, $179,000 in carpet and a van valued at $8,000.

Tabernacle was started in 1917 by five members, according to the church's history. When Tabernacle moved into the 2500 E. Washington location two years ago, the old church building was put on the market but has not sold. Upton said the building is being leased, but the lease agreement hasn't worked out as church officials had hoped it would.

He declined to comment more about the finances of the church because of the pending litigation. Other church officials contacted Thursday did not return phone calls or refused to comment.

When Tabernacle opened two years ago, letters of congratulation came from state senators, ministers from across Virginia, even from President Bush and his wife, Laura.

"I applaud all those who worked to make this new building possible," the president said. "Your efforts help spread the message of God's love and boundless mercy to individuals throughout your community."

Tabernacle has done its share of good deeds. The church over the years has supported education, drug rehabilitation, the homeless. It has operated a food closet. Upton said he's uncertain how things will work out, but feels sure the church will endure.

"We're going through hard times right now," he said. "It's summertime, and that's always hard. A lot of churches are going through financial stress. But we'll be all right."

Linda McNatt, (757) 222-5561, linda.mcnatt@pilotonline.com