The Pastors Who Are Actually Just Worshipping Money

Joel Osteen’s Lakewood ChurchShow more

“30,000 people endure punishing traffic on the narrow roads leading to Lakewood Church every weekend to hear Pastor Joel Osteen deliver upbeat messages of hope. A youthful-looking 42-year-old with a ready smile, he reassures the thousands who show up at each of his five weekend services that "God has a great future in store for you." ... Osteen's best-seller, Your Best Life Now, has sold 2.5 million copies since its publication last fall.... In his book, Osteen talks about how his wife, Victoria, a striking blonde who dresses fashionably, wanted to buy a fancy house some years ago, before the money rolled in. He thought it wasn't possible. "But Victoria had more faith," he wrote. "She convinced me we could live in an elegant home...and several years later, it did come to pass." ... Osteen's flourishing Lakewood enterprise brought in $55 million in contributions last year, four times the 1999 amount, church officials say”. (Earthly Empires, Businessweek.com)

Early in 2001, when the city of Houston decided to build a new sports/entertainment complex the powers that be placed the Compaq Center (home to the Houston Rockets) on the market. It is extremely unlikely that they dreamed it would be leased by Lakewood church, much less that the church would make a one-time, lump-sum payment of $12 million to the city for the first 30-year lease period (with an option to renew). Which, as it turns out, is only the beginning. After all one has to make the transition from basketball to god, from run of the mill entertainment complex to a place “unlike any other place in the nation”.. a $70 million project.

So what kind of place is this one of a kind worship center going to be. According to INJOY Stewardship Services, whom Joel Osteen hired as consultants.. “The new complex, which is to be called Lakewood Church Central, will transform the Compaq Center from a sports venue to a 21st century worship center. The main floor, which is now flat (to accommodate basketball and hockey), will be sloped to allow for direct viewing of the platform. Below the main floor, the current locker rooms and administrative offices will become the new Children's Ministry Center-an 85,000-square foot area now being designed by former Disney artists. The exterior of the building will be enhanced with architectural elements that carry the interior design features to the outside. As part of that renovation, new columns will be added to the south and west ends of the building.

The Lakewood Church Central arena will seat over 16,000 people yet achieve a sense of intimacy through state-of-the-art sound, lighting and video. The stage area will allow for the Pastor's mobility while providing complete 360-degree visibility to ensure that every seat has a direct view of the pulpit. The stage will be surrounded by three high-definition screens which provide live image support for every service. The new choir loft embraces the worship platform in two curving arcs, with seating for over 250 members.

The Lobby and Food Court, with its dynamic lighting and decorative features, will create a warm atmosphere in which the congregation can gather before and after each service. This new facility will include a bookstore, numerous resource centers, meeting rooms, and information centers conveniently located throughout the lobby area.

Describing his vision for the church's new home, Osteen explains: "We intend to share this great resource and make Lakewood Church Central a gathering point for the entire city of Houston. The ice rink and basketball facilities will remain open for families and city leagues. There will be concerts, sporting events, family conferences, conventions, business workshops, personal growth seminars and much more -and all of these opportunities will bring in people from all walks of life. We're going to touch untold thousands of lives in this place." After it opens in July, he predicts weekend attendance will rocket to 100,000. Says Osteen: "Other churches have not kept up, and they lose people by not changing with the times." (Emphasis Ours)

The East Building, a yet-to-be-built four-story complex, will house the International Broadcast and Production Center, the Youth Complex, the main Lakewood Bookstore and the new Grand Entrance. The new broadcast facility will produce Lakewood's weekly television program, the nation's top-rated devotional program as determined by Nielsen Media Research. The Grand Entrance and Lobby will be a spectacular multi-story foyer accessed through towering glass doors. Cascading water features will surround the main stairway and three new escalators leading up to the Worship Center Lobby. An array of new elevators, conveniently located throughout the facility, will aid access to both the Worship Center and the East Building”.

Incidentally Injoy’s founder John Maxwell was once pastor of a small church in Hillham, Indiana. Studying the “correlation between leadership effectiveness and effective ministry” John founded one business which ultimately led to ‘INJOY Stewardship Services’. He resigned his pastorate in 1995 to devote full attention to ISS, seeing “greater potential in the thousands of lives that could be reached through INJOY…”, He speaks frequently for several high-profile organizations such as Promise Keepers, Focus on the Family, Sam's Club, Chick-fil-A, Mary Kay, and various Fortune 500 companies.

“On June 20, 2005, Osteen sat for an interview with Larry King on CNN’s The Larry King Show. King introduced Osteen as “evangelism’s hottest rising star, pastor for the biggest congregation in the United States.” And what does he preach? Osteen said he doesn’t get into controve

Joyce Meyer... Ministry Headquarters

The ministry's headquarters is a three-story jewel of red brick and emerald-color glass that, from the outside, has the look and feel of a luxury resort hotel. Built two years ago for $20 million, the building and grounds are postcard perfect, from manicured flower beds and walkways to a five-story lighted cross.

The driveway to the office complex is lined on both sides with the flags of dozens of nations reached by the ministry. A large bronze sculpture of the Earth sits atop an open Bible near the parking lot. Just outside the main entrance, a sculpture of an American eagle landing on a tree branch stands near a man-made waterfall. A message in gold letters greets employees and visitors over the front entryway: "Look what the Lord Has Done."

The building is decorated with religious paintings and sculptures, and quality furniture. Much of it, Meyer says, she selected herself.

A Jefferson County assessor's list offers a glimpse into the value of many of the items: a $19,000 pair of Dresden vases, six French crystal vases bought for $18,500, an $8,000 Dresden porcelain depicting the Nativity, two $5,800 curio cabinets, a $5,700 porcelain of the Crucifixion, a pair of German porcelain vases bought for $5,200.

The decor includes a $30,000 malachite round table, a $23,000 marble-topped antique commode, a $14,000 custom office bookcase, a $7,000 Stations of the Cross in Dresden porcelain, a $6,300 eagle sculpture on a pedestal, another eagle made of silver bought for $5,000, and numerous paintings purchased for $1,000 to $4,000 each.

Inside Meyer's private office suite sit a conference table and 18 chairs bought for $49,000. The woodwork in the offices of Meyer and her husband cost the ministry $44,000.

In all, assessor's records of the ministry's personal property show that nearly $5.7 million worth of furniture, artwork, glassware, and the latest equipment and machinery fill the 158,000-square-foot building.

As of this summer, the ministry also owned a fleet of vehicles with an estimated value of $440,000. The Jefferson County assessor has been trying to get the complex and its contents added to the tax rolls but has failed.

Stylish sports cars and a plane

Meyer drives the ministry's 2002 Lexus SC sports car with a retractable top, valued at $53,000. Her son Dan, 25, drives the ministry's 2001 Lexus sedan, with a value of $46,000. Meyer's husband drives his Mercedes-Benz S55 AMG sedan. "My husband just likes cars," Meyer said.

The Meyers keep the ministry's Canadair CL-600 Challenger jet, which Joyce Meyer says is worth $10 million, at Spirit of St. Louis Airport in Chesterfield. The ministry employs two full-time pilots to fly the Meyers to conferences around the world.

Meyer calls the plane a "lifesaver" for her and her family. "It enabled us, at our age, to travel literally all over the world and preach the gospel" with better security than that offered on commercial flights, she said.

Security is important to Meyer, who says she has received death threats. She has a division of the ministry dedicated to her safety. Her officers wear pistols; they guard the headquarters' front gate, keeping out anyone but employees and invited guests. The ministry bought a $145,000 house where the security chief lives rent-free to keep him close to the ministry's headquarters.

The family compound

The ministry has also bought homes for other key employees.

Since 1999, the ministry has spent at least $4 million on five homes for Meyer and her four children near Interstate 270 and Gravois Road, St. Louis County records show.

Meyer's house, the largest of the five, is a 10,000-square-foot Cape Cod style estate home with a guest house and a garage that can be independently heated and cooled and can hold up to eight cars. The three-acre property has a large fountain, a gazebo, a private putting green, a pool and a poolhouse where the ministry recently added a $10,000 bathroom.

The ministry pays for utilities, maintenance and landscaping costs at all five homes. It also pays for renovations. The Meyers ordered major rehab work at the ministry's expense right after the ministry bought three of the homes. For example, the ministry bought one home, leveled it and then built a new home on the site to the specifications of Meyer's daughter Sandra and her husband, county records show.

Even the property taxes, $15, 629 this year, are paid by the ministry.

Meyer called the homes a "good investment" for the ministry and said the ministry bears the cost of upkeep and maintenance because the family is too busy to take care of such tasks. "It's just too hard to keep up with something like that when you travel as much as we do," Meyer said.

She said that federal tax law allows ministries to buy parsonages for their employees, so the arrangement does not violate any prohibitions against personal benefit. Meyer also said the decision to cluster the families together was a way to build a buffer to better ensure privacy and security.

"We put good people all around us," she said. "Obviously, if I was trying to hide anything or thought I was doing anything wrong, I wouldn't live on the corner of Gravois and 270."

The irrevocable trust

Meyer says she expects the best, from where she lives to how she looks. Much of her clothing is custom-tailored at an upscale West County dress shop. At her conferences, she usually wears flashy jewelry. She sports an impressive diamond ring that she said she got from one of her followers. Meyer has a private hairdresser. And, a few years ago, Meyer told her employees she was getting a face-lift.

Not everything is paid directly by the ministry.

Last year, the Meyers bought a $500,000 atrium ranch lakefront home in Porto Cima, a private-quarters club at Lake of the Ozarks. A few weeks later, they bought two watercrafts similar to Jet Skis and a $105,000 Crownline boat painted red, white and blue that they named the Patriot.

In 2000, the Meyers also bought her parents a $130,000 home just a few minutes from where the Meyers live.

The Meyers have put the Mercedes, the lake house, the boat and her parents' home into an irrevocable trust, an arrangement that tax experts say would help protect them from any financial problems at the minisry.

Meyer says she should not have to defend how she spends the ministry's money. "We teach and preach and believe biblically that God wants to bless people who serve Him," Meyer said. "So there's no need for us to apologize for being blessed."

Meyer's "trusted" board

For the most part, Meyer can spend the ministry's money any way she sees fit because her board of directors is handpicked. It consists of Meyer, her husband and all four of her children — all paid workers — as well as six of Meyer's closest friends. (Ministry officials said that daughter Laura Holtzmann has now resigned; state records still list her on the board.) "Our family is a huge help to us," Meyer said. "We couldn't do this if we didn't have somebody we trusted."

Board members Roxane and Paul Schermann are such close friends that for more than a decade they lived in the Meyers' home. The ministry employed both of them as high-level managers and in 2001 bought them a $334,000 home. Roxane Schermann no longer works at the ministry; her husband continues as a paid division manager. The Schermanns bought the house at the same price from the ministry in January. Delanie Trusty, the ministry's certified public accountant, also serves as the ministry board's secretary.

The board decides how the ministry's money is spent. The salaries of Meyer and her family are set by those board members who are not family members and are not employed by the ministry, Meyer's lawyer said. The arrangement meets IRS regulations, the lawyer said.

"We certainly wouldn't have enemies and people we don't know" on the board, Meyer said. "That wouldn't make any sense. Anybody who has a board is going to have people in favor of you."

Meyer and her ministry refuse to tell how much the ministry pays Meyer, her husband, her children and her children's spouses. "I don't make any more than I'm worth," Meyer said. "We're definitely within IRS guidelines."

Such an overlap between top administrators and board members concerns the IRS because "the opportunity to manipulate and control the organization is easier to accomplish," said Bruce Philipson of St. Paul, Minn., the IRS group manager of tax-exempt organizations for this region. (Carolyn Tuft and Bill Smith St. Louis Post-Dispatch 11/15/2003)