Destitute or desperate? Selling IHOPKC's beleaguered Herrnhut complex
IHOPKC's "tax-exempt" housing opens leasing to "greater KC," contradicting past testimony on exclusive religious use; sources report former worship leader's real estate group has entered purchase deal
The Herrnhut apartment complex, the purported “exclusive religious use” ministry apartments at the International House of Prayer (IHOPKC) has been embroiled in controversy since the dawn of Bicklegate. The apartments have been with the ministry for over 20 years, when Bickle’s Friends of the Bridegroom (FOTB) managed to acquire it from two couples in California in 2002. But it was 2018 when the mega-ministry filed an appeal to the Jackson County, (MO) Tax Commission regarding a 2017 property tax assessment.1 At that time, IHOPKC was insistent it was being wrongly taxed on Herrnhut Apartments since they are part of the nonprofit, tax-exempt entity and meet all the qualifying criteria for being so included:
IHOPKC won this case. The Jackson County Tax Commission appealed the decision to the State Tax Commission—and lost. IHOPKC’s win was upheld, and the ministry has not has not been subject to paying property taxes on Herrnhut.
Longtime readers of this newsletter will recall this his whopper from Eric Oppriecht, the man offered up as tribute for what was effectively false testimony before two government bodies (local and state):
“Further, the church provides financial assistance to those members who no longer follow the central tenets of the church and assist the ex-members with finding and financing new accommodations elsewhere.”- Eric Oppriecht, IHOPKC, misrepresenting help given to ex-IHOPers
These exaggerations and outright malarkey can all be found in the original story, and the linked hearing—and appeal—as IHOPKC’s Eric Oppriecht testified under oath to prevent the mega-ministry from having to pay property taxes, insisting that ministry housing was used exclusively for staff, students, and interns (sans one unit occupied by an elderly couple, whose residence predated the organization’s acquisition). The couple no longer live there; however, they were hardly the only exception; they were just the longest term renters with the lowest rent.
Do read the whole case (embedded in the link above) if you’ve not. Indeed, IHOPKC’s yes-man piles on the syrup so thick, it oozes like a Southern grandma with a thick drawl, amazed by her first taste of maple syrup in Vermont—or perhaps at the International House of Pancakes (IHOP, that is, the real one).
This oozing is in writing and in sworn testimony—and it was effective since helped IHOPKC escape any property taxes on the multi-million dollar properties for years.
Herrnhut caves in—literally and figuratively
-The Literal Crash-
A driver under the influence who crashed into Herrnhut on Sept. 20, may have provided people with an image of IHOPKC, and specifically Herrnhut, and its demise. A witness describes the crash scene below occurring when a “drugged-up drunk driver” ran into the corner of building 3305 Red Bridge Road, hitting one of the Herrnhut Apartment buildings. In fact, it was the first building drivers would see while driving eastbound, and as such, also held the Herrnhut-IHOPKC sign in front of it.
As the driver hit the main gas line connecting some of the buildings, the Kansas City Fire Department initially evacuated all affected buildings as a precaution, in case of explosion. Within a couple hours, residents of adjacent buildings were permitted to return; currently, the impacted building remains uninhabitable. No residents were hurt since the building was vacant, as it had been previously designated for IHOPU students, and was in midst of make-ready status as the staff prepared the apartments as consumer rentals-
-Wait! Wait just a minute, Dénouement! What consumer rentals? What happened to “exclusive use” and “students, staff, and interns”? The conditions of dwellings being tax exempt are not the same as a church or charity being tax-exempt.
“I'm sure [IHOPKC] will get Insurance money.” - A witness told Dr. Dénouement with irony.
The fact remains, few trust IHOPKC leaders anymore, and with good reasons.
Here’s an analogy: Imagine if your nearest major charity had received a grant or donations to offer a cool new experiment of 36 tiny houses.
The tenants may be recovering addicts, victims of domestic abuse, people aging out of foster care, and such
They can stay could live for 6-12 months rent free, as they serve in the charity X number of hours while job hunting or taking classes, and then a smaller number after obtaining full-time work.
Sounds great, huh?
It sounds really great to Dr. Dénouement who does not want to own a house, lives full time in hotels, but would consider someday buying a small house and placing it on someone’s property if she had that sort of someone in her life.
So she goes to this cool place and asks to rent—for a fair price—one of the houses, since at least a dozen seem to always be vacant. And the charity says she can, and then they say she should share that news with her friends because they ended up with more houses than they need at any given time.
The result: the charity rents 12 of 36 homes to a group of us, at just under fair market, but doesn’t have to pay property taxes—which certainly helps them charge us less than fair market value, doesn’t it?
The problem with this scenario is it is deceptive, unethical, illegal, and criminal—which can be different from being “illegal.” Dr. Dénouement’s mom—God rest her soul—would have said:
“[Dr. Dénouement]2, you can’t have your cake and eat it too.”
Then again, she worked with foreign dignitaries, the CIA (Shhhh. Dr. Dénouement was not supposed to know that, but couldn’t help it is the judge let it spill in juvenile court when mini-Dr. Dénouement was a non-Dr. and quite a Delinquent) and members of Congress. Thus, if anyone saw what corruption and greed, likely she did. People who try to have their cake and eat it too, when it’s not their birthday, end up with a barf bag and an arraignment.
Monopoly: Not the game—or what Google does
-The Metaphorical Crash-
According to the current status on both the State of Missouri and the IRS pages, IHOPKC’s tax-exempt status remains unchanged—and remain as a tax-exempt ministry “in good standing” (with church status, providing more privacy and protection).
Even as Bickle and buddies have moved property around, from nonprofits to LLCs, no doubt using some tactic to cover their deceptive booties, they continue playing with the money of Jackson County taxpayers, Missouri taxpayers, and United States taxpayers.
It seems that someone in KCMO, 64137 knows how to work with sleight of (legal?) hand. Perhaps there is something we don’t know; after all, if Dr. Dénouement were all-knowing, she would be God, and unlike these Charismatic minister shysters3, she doesn’t pretend to be. However, within the span of a few days’ time, more than one source, reached out with reports that Herrnhut Apartments either had been sold or were in the last stages of being sold.
Selling seems logical from one standpoint. If I were breaking tax laws, I’d want a fast quick strategy from the most egregious of my offenses—and that’s apartments for people that obviously cannot exist anymore (i.e. students for a school that is closed, which was a public, and infamously so, matter in state and some national news media). Besides that, if too many people were on to my crimes—especially when that “Dénouement pest” won’t stop with these articles (don’t you just hate that, Mikey and friends? Gee darn!)—more people may ask questions.
While there is no public record of a sale yet, “it should be complete by the end of the year,” Dr. Dénouement was told. Others have indicated the same. Before expanding on this, let’s look at the demise of Herrnhut, and the facts and emails we have available.
Since Bicklegate, reports on Herrnhut occupancy rates have continued to prove dismal. The exodus has been slow, yet steady. However, several revealing incidents and revelations hastened these departures; other circumstances may significantly impact remaining tenants with a new buyer.
Brad Tebbutt, who admitted to abusing a teenager when he was her youth pastor (though he, of course, framed it in much gentler words—you know these things are always “inappropriate relationships.” (Gross, just sick, sick thinking, and Dr. Dénouement is, frankly, sick of hearing that sort of excuse for criminal acts). Anyway, for the record, Brad Tebbutt still lives in Herrnhut. This is confirmed, as of publication. (Story below is background.)
Likewise, Dr. Dénouement has reported the complex was allowing people to break their leases without penalty, as well as receive their deposits back. This, at least, was positive, whatever the motive—it also could have prevented a more serious judgement later if legal action were brought against the mega-ministry, since the apartments functioned as an official Christian residence for a ministry with conduct codes which heralded purity. Let that sink in.
Another report indicated that earlier this summer, occupancy was falling to a third or possibly a half of its capacity for the 132-unit complex.
Besides Tebbutt, another well-known IHOPKC leader lives in the complex, and has for many years. A question some are asking now is what happens when Herrnhut goes private? The Tebbutt publicity, the famous IHOPKC (former, of course, but no less famous, or maybe infamous is a better word), have homes which have been secure due to IHOPKC saying they got to stay. Period. (They do pay rent, by the way.)
And of course the story of “Fiona and Callum Lennox” made waves when they “signed an agreement” to rent one of the $1200 a month furnished apartments, without any verification of their existence. After that story broke, the Herrnhut office made a mad dash to check Fiona and Callum’s references, at least, but the fact was, paperwork was signed without it. Due diligence at IHOPKC usually happens after the disaster is revealed, not from genuine remorse and repentance.
Buyers, renters, and tax offices: A lie in three acts
Suddenly, the Herrnhut leasing office—which no longer has a website—is openly revealing some of its open secrets to its tenants. Yes, there is a potential buyer. And get ready because we’re getting intently focused on this property. The sheer pace of emails from Herrnhut’s office has been frenetic, leaving tenants wondering what in the world is transpiring with the vaguely written notes. What “well-regarded property management company…”? A walk-through at 9 a.m.—and basically, “suck it up, buttercup,” even if you happen to work nights and be sound sleep4. The emails in this series began earlier last month:
The next set of emails, though, are quite telling. Here, on Sept. 23, the Very Perky Office (VPO) begins an email—the Monday after the crash, by the way—with the subject “Updated Info Re: Potential Buyer” and then opens her super, happy, bouncy, joyful Monday at 8 a.m. email with “I hope your weekend was everything you needed it to be!” Ummm…? That one included the attachment that said the potential buyer would be there and come in, period, no argument, Friday morning.
I gathered that meant their weekend would not start with everything the tenants needed it to be.
Exactly one week later on Sept. 30, the VPO greets tenants with “Happy Sunny Monday!” You might note the odd verbiage here, as well—besides fluency in Perky-ology. VPO details here and in the attachment that there will be changes to “Herrnhut admissions,” as if it is an exclusive private school in Britain. Further, note how VPO says questions or concerns will be “forwarded to leadership as needed.” What? So VPO is not empowered to respond to any questions or concerns (unsurprising, honestly). Who determines whether concerns should be forwarded to leadership? What does “as needed” mean? Keep in mind, this is IHOPKC, so there are no answers.
Do catch that key portion highlighted, as tax officials need to hone in on it too:
“In order to return to full occupancy, we have made the difficult decision to shift our stance from only allowing IHOPKC staff and community to rent from us to opening up Herrnhut to the larger KC community. In addition to advertising vacancies, we want to encourage you to share your experience living at Herrnhut with friends and family.” - Herrnhut Leasing Office, to tenants Sept. 30
Now, once again, Dr. Dénouement must concede there exists an itsy-bitsy, teenie-weenie possibility that IHOPKC-FCF and/or FOTB notified appropriate tax offices of their inability to comply and separated Herrnhut from the ministry. It’s hard to comprehend that anyone at a ministry—which has proven itself systemically deceptive—would be forthright; however, as much as these leaders appear to worship the Almighty Dollar, seemingly more than The Almighty, it also must be noted that one insider pointed out that earlier in the summer:
“If they decide to rent to the public, they will lose their tax-free status under [IRS laws], and I don't think they want that. Although they have been in breach of that for years.”
-Who’s buying Herrnhut? What does this mean for renters?-
Dr. Dénouement discloses forthrightly (peek-a-boo, IHOPKC, maybe consider this?) that she does not know all of the facts on this side of the story. What follows is vetted information, relayed from people she personally knows, as well as cross-checking public data. Some information will only be confirmed when 1) the people in question choose to confirm or 2) when the sale goes through and records are visible. However, to many innocent victims of the lies and deception of Bicklegate have suffered enough negative surprises. This newsletter seeks to report, offer commentary, but also to pose questions.
As we see above, Herrnhut has offered current residents (at least some) who will sign a one-year lease renewal, an offer to lock in their price with no increase.
Longtime IHOPKC staffers, especially ones who arrived at a young age and know little else, often mean well and even think they are telling the truth about things which are not true. This is not because they are liars; it is because the lies they have been told are so true to them they know nothing else. This also is an ordinary—though exceedingly tragic—hallmark of cult life.
Thus, it’s not a stretch to believe that, as the VPO tells current tenants to share the rental information with friends and family, that she, the VPO may be genuinely clueless about the fact that she is announcing more than a tough decision, but something that would be legally wrong without a separation of the housing from the ministry’s status as a church.
What does seem more likely that these two land parcels containing 132-units (with a few out-of-commission due to the crash), are a burden now that so few live there, and with the obvious reality of IHOPU and internships closing, even a government leader who wasn’t paying close attention could see that 2 + 2 = 5 in the nonprofit world. If the ministry claims Herrnhut as part of its nonprofit, tax-exempt property for 12 months this year, it may be defrauding the local, state, and federal government. And if that is the case, all agencies should investigate this forthwith.
Further, the fact remains that even if the sale is “complete by the end of the year,” as some have said, commercial real estate transactions have a longer escrow period—generally speaking—and in a case like this, several factors may complicate the situation. It’s much more likely that IHOPKC is trying to unload the multimillion dollar property, which some sources estimate is worth 4-5 times its value when it was obtained. But the deal is not closed until the deal is closed. You may wish to call Dr. Dénouement “Captain Obvious,” but every month Herrnhut collects rents from tenants who are not on staff, students, or not interns—some of those categories do not exist now, unless IHOPKC is inventing them to make things fit—this seems it would fall under that continued violation of their nonprofit status tax exemption.
Finally on that note, even when the dotted lines are signed and notarized, if investigations show wrongdoing, IHOPKC may be using every (blood) red cent of its profit on the sale to pay the back taxes that it will not escape just because it sold the complex to someone else.
UPDATE: A follow-up on Herrnhut, FOTB, and Bickle will arrive in a soon-coming edition. All this news is fit to print, but cannot fit here, from over 200 pages of public records (Dr. D’s free time activities).
Past records reveal that Herrnhut may have been a cash cow for the past few years, though records cannot answer some questions which may require subpoenas. Somehow the prayer room, a highly expensive facility on Red Bridge Road, next door to Herrnhut, is open. It is a custom build with multiple special features, and costs a small fortune to keep operating and live broadcasting. Its latest operation is that IHOPKC has, as the young people (now probably don’t) say “low key” started its new church—from within the prayer room on Saturday evenings—obviously with a time of “fellowship and coffee” beforehand. Because you must serve coffee if you’re a “cool, hip church.” IHOPKC Executive Director Joseph Taylor, and wife Heba, are leading the church in the prayer room, apparently alternating preaching (and coffee?). One staffer reported in a newsletter (the missionary fundraising kind, not the Substack reporting and commentary kind), that “the fire on the altar continues” in another location while they have church on Saturdays. I mean, heaven forbid that they just have someone quietly play keys while Heba preaches?
If the sources who have spoken to Dr. Dénouement about the sale of Herrnhut are correct, then the buyer (or one of a group of them), would be familiar with keeping that fire on the altar in every crevice of the prayer room.
Some residents who were present during the walk-through report that Aaron Leatherdale, who is more commonly known for IHOPKC worship leading but qualifies as part of a “well-regarded property management company,” is one of the buyers. Leatherdale, who works with other former IHOPKC familiar names, including Ben and Bob Fraser, is registered with multiple LLCs, but the one that may be the buyer for Herrnhut is his Oak IQ Investments.
NOTE: Dr. Dénouement has sent an email to Mr. Leatherdale asking for confirmation or denial, as well as a series of questions if this is the case, and will report back here, regardless.
As you can see here, Leatherdale is heavily committed to his real estate ventures, and by all accounts, extremely successful at what he and his partners do.
If this Herrnhut deal is his, perhaps a look at their current portfolio here it may give us an idea of potential cosmetic remodels, improvements, changes, et al.
Regardless of who is buying Herrnhut, it does seem that rents are slated to rise by a significant amount, one word is up to 25-30 percent. The time frame and conditions, if this occurs, have not been disclosed. Herrnhut’s prices for staffers have been lower than most rentals, which has caused some to re-sign. However, these apartments are not up-to-date. They are older, yet in the area, one can walk across the street or down the block to modrern apartments with washer/dryers in unit (not in a creepy basement), and nicer amenities, so it’s likely a rent increase will include a significant remodel. The issue is, how can some of those who were barely hanging on financially even afford a year at their old rates?
We don’t know what IHOPKC has done regarding the IRS and declarations regarding its status with Herrnhut, but we do know that IHOPKC has been renting some of those units to people who do not meet the qualifications that Oppriecht testified made the apartments eligible for tax exemption, along with the rest of the ministry. That is a problem; that should be investigated.
-Coincidences do happen-
Dr. Dénouement hopes to report back in a day or two with responses from Leatherdale and/or his representative at Oak IQ, but also from someone at MTR Registrations. This new business registration (which would likely not be from IHOPKC, but more likely connected to a buyer, even if it is related), also appeared recently.
Kelly C. Tobin, the organizer is an attorney with Martinez, Tobin, and Redman, LLC, in North Kansas City, MO. One of the functions of this law office is business registrations, under the name “MTR Registered Services, Inc.” Launched in 2018, by Robin S. Martinez, MTR has three officers and board members listed, and they are the three attorneys listed on the firm name, too.
As you can see in the Articles of Incorporation, Tobin, who filed HERRNHUT HOLDINGS, INC on Sept. 24. As you can also see, it is the only “Herrnhut” which is not affiliated with the apartments owned by IHOPKC, which at minimum leads to a legitimate question—especially as multiple legal profile sites note that Tobin has expertise in areas which include landlord-tenant law, public finance law, and tax-exempt organization law.
-Concluding thoughts-
While this edition ran longer and covered more ground than planned, it still managed to scratch the surface, as the old cliché so boringly says. Dr. Dénouement will report back with any information received in reply from these questions to Leatherdale and Tobin, as well as other inquiries and information. Further, more investigation into the Bickle-FOTB history with this property proves fascinating. For now, though,
If this HERRNHUT HOLDINGS, INC has no association with the apartments and the pending purchase, that is important to know.
If Oak IQ or Leatherdale’s other real estate groups are or are not purchasing Herrnhut (or have altered a decision), that, too, is important to know.
Leatherdale’s name has been cited so many times as fact, and that if somehow this is not true, or was and he reversed course, hopefully, Dr. Dénouement can get a solid answer.
Keep in mind that neither Tobin nor Leatherdale, et al. are the ones breaking laws here. There are not accusations being levied in that regard.
Meanwhile, on 3535 E. Red Bridge Road (IHOPKC’s main address), there are still more stones unturned and more clichés tossed around to cover them up like a game. And, indeed, IHOPKC seems to operate a lot like the men who hang out on the bridges that cross the River Seine in Paris, near the Eiffel Tower. Tourists fall for it all the time, mesmerized as some man seems to magically move the cups faster than they can fathom, the ball flinging around. Where is it? Where did it go? They lose every time.
It’s rigged of course. Sleight of hand by the operator is all that is needed—well, that and people who trust the operator when they shouldn’t.
Taking days to read through your substack, since I have ADHD too apparently. Sometimes I go researching something you wrote, sometimes I go to share and then get sucked into the place where I'm sharing, sometimes I come to make comments like this one and then something else happens. You know how it is.
I absolutely love this paragraph. You know this place so well, and have just the right level of disdain and snarkiness to turn the nonsense into hilarity.
"Exactly one week later on Sept. 30, the VPO greets tenants with “Happy Sunny Monday!” You might note the odd verbiage here, as well—besides fluency in Perky-ology. VPO details here and in the attachment that there will be changes to “Herrnhut admissions,” as if it is an exclusive private school in Britain. Further, note how VPO says questions or concerns will be “forwarded to leadership as needed.” What? So VPO is not empowered to respond to any questions or concerns (unsurprising, honestly). Who determines whether concerns should be forwarded to leadership? What does “as needed” mean? Keep in mind, this is IHOPKC, so there are no answers."
This one was lol, as I'm just reading along: "...as if it is an exclusive private school in Britain"!!! Gah ha ha ha ha ha...
It reminds me of when I was in the HR office. Everyone talks so sweet and nice, Oh look at us, we're the nicest HR office, everybody! But when a young woman comes into tell about her rape and then seeing her rapist on campus, it becomes, "ohhh, let's pray for you and are you getting services, electricity, food bank, etc? Oh ok well God bless you. Bye." LIke, you don't do anything about it? Was that fake? But they were very nice about it.