Temple Israel Subdivision Approved, Clears Way For Walnut Street Sale

LONG BEACH, NY. — The Long Beach Planning Board unanimously approved a subdivision application from Temple Israel at its meeting Thursday night that clears the way for the temple to sell its school building at 75 East Walnut St.

Temple officials said the subdivision and subsequent sale would put the temple on more sustainable financial footing after operating costs rose precipitously in recent years.

Presenting on behalf of the temple was Long Beach attorney Kenneth Apple. Temple Israel owns three buildings on the block bounded by Park Avenue, Walnut Street and Riverside Drive, Apple said: A social hall on Park Avenue with a dance floor, commercial kitchen and stage; a 500-seat sanctuary on Riverside Drive that is used for religious services; and the three-story property on Walnut Street.

`The basement of the Riverside Drive sanctuary, Apple said, has been in disrepair since Hurricane Sandy in 2012. Apple also noted that the Walnut Street building is in poor repair, with potential structural issues that the temple is, “definitely not in a position to correct, financially.”

Rabbi Elliott Federman and temple co-president Neal Peysner told the planning board Thursday that the congregation faces mounting insurance costs and declining membership, which necessitated the decision to subdivide and look for a sale.

“Over the last two years, Temple Israel’s financial position has been precarious,” Federman told the board. “In order to make ends meet, depending on the balance in Temple Israel’s bank account, I’ve had to have been very selective in which payments could be made to vendors. In addition, insurance needed to be drastically downsized, to the extent that the fire insurance policies on the properties needed to be canceled.”

While insurance policies have been canceled, Peysner noted that the cost the temple faces remains astronomical.

“There’s no amount of new, dues-paying members that could ever cover the $50,000 annual increase in our insurance costs since 2022. Our current insurance expense is hovering around six-figures,” Peysner said. “The last thing we want is to close up our operation, sell to a developer and have the entire complex bulldozed like some other synagogues in Long Beach. Closing the temple or selling temple property was never considered a viable option, and was always considered a last resort.”

After discussions in March, Apple said, the last resort became a reality. Apple said the temple initially planned to sell the social hall, adding that the Park Avenue property would, “probably” be easier to sell due to the commercial space it includes, but said temple officials felt it would be more useful to the congregation than the Walnut street property going forward.

While the temple’s plan is to sell the now-subdivided property, there is no buyer in place at the moment.

“We don’t have a buyer in place,” Apple said. “This is merely to market that property, so that we can sell it. We don't have a contract, we don’t know what’s going to go there...All we’re looking to do is be able to subdivide that property based on this hardship, just to market it for resale to save the temple financially.”

Currently, all three temple properties are tax exempt. If sold to a private buyer and not a religious organization, the property would go back on the tax rolls.

“Which, again, is another benefit to the city…This goes from zero to something,” Apple said.

For the temple’s representatives, though, the subdivision was about more than just tax yield and finances. The subdivision, they said, would clear the way for the preservation of a community space.

“The void which Temple Israel presently fills is in jeopardy,” Federman said. “The sale of the Walnut Street property will set in motion plans not only to expand our membership, allowing Temple Israel to continue to serve the Long Bach Jewish community.”

“If we’re unable to accomplish the subdivision, there’s a good chance the City of Long Beach will lose this hundred-year-old institution,” Peysner added. “And, in my opinion, it’s going to be a devastating loss for Temple Israel, and for the city of Long Beach, and for the entire Jewish community.”