Question 1

How much will the D2D project cost?

Accepted Answer

Hindu Society of Minnesota estimates the D2D project to cost around six million dollars.

Question 2

What is the fundraising plan?

Accepted Answer

According to projections, approximately $11 million in pledges will be raised, with a conservative estimate of 60% fulfillment, equating to $6.5 million for the facility. A significant portion of these funds will be raised through the offering of naming rights for various facilities, including the assembly hall and classrooms, among others. Strong support for this initiative has already been expressed by many donors.

Question 3

What is the projected operating income?

Accepted Answer

The anticipated operating income for the new facility is based on several factors:

1. Firstly, it is expected that the number of students enrolling in the HATS program will double from 150 to 300 due to the new and advanced facilities. The current facilities were found to be inadequate, leading to many students dropping out for various reasons. 
2. Secondly, the assembly hall within the new facility is projected to be rented out three times a month, at an average rental rate of $2000. As there is currently no other state-of-the-art assembly hall within a 25-mile radius of the temple, the rental demand is expected to be high. This will also allow the Nath Auditorium to be rented out for private and/or temple events on freed up weekends, generating an additional income of $4000 per month. 
3. Finally, miscellaneous rentals are also anticipated, bringing the net incremental annual income from the entire facility to over $225,000. These factors indicate that the projected operating income for the new facility is strong and will contribute positively to the temple's finances.

Question 4

What are the anticipated annual operating expenses of the facility?

Accepted Answer

It is projected to be under $150,000

Question 5

Will the facility be financially self-sustaining?

Accepted Answer

Yes, the facility will be financially self-sustaining, and in fact, it is expected to generate over $80,000 each year to the Hindu Society of Minnesota (HSMN) due to the incremental income from the Education/Heritage Center. The center is expected to attract a significant number of students and visitors, which will help generate revenue through various sources such as rentals and donations. The Education/Heritage Center will provide a focused learning environment that highlights the importance of cultural education alongside religion, and the facilities will create outreach opportunities that promote the community's values. This incremental income, along with the support from donors and the community, will ensure that the facility is financially self-sustaining for the long term.

Question 6

What is the pre-Covid and projected 2022-23 annual income for the facilities, and how will the varying usage levels affect their incomes?

Accepted Answer

This spreadsheet includes projections only for items that are not already covered by existing facilities. Additional revenue from Nath Auditorium was included because it would be freed up with the opening of this new facility. The focus is on Education & Heritage activities, and only categories of businesses that are renting there will be identified, which is not the case with the current temple facilities.

As of the end of 2022, the income raised under the "Education" category was $60k, and the income raised under the "Other" category, which includes auditorium rent, was about $80k. The current facilities' total income is the sum of both categories, which amounts to $140k.

D2D Project FAQ

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