What would you do... when something like this opens up next door...

Well, you have to ask yourself, assuming a % of them may just hang around out the front on phones or whatever, or even if they do not, if you were a renter or a buyer, would it bother you ? if it would put you off due to the high visibility, signs, parking issues, loitering, then it will not go unnoticed by others.

If it is residential zoning, how is it approved ?

 

I think you ought to call council and get an understanding of the details of what the new status is.

In specific I would ask what the maximum legal capacity is, at any given time, on the property. Without knowing more about the kind of religion the organisation actually is, I do know that some religious-based premises can be more 'noisy' than others (i.e. perhaps regular festivals or holy days that play music or gather larger groups of people, or prayer/gospel/singing that happens quite frequently that might make noise?).

If it is going to make considerable noise this could be a problem for tenants. They might not renew their 6 month initial leases as a result and you'd be stuck with that 'revolving door' problem of high tenant turnover.

In this instance you might want to crunch the numbers on a scenario of selling, or as others said, a scenario of changing the usage of the property to commercial (if viable/applicable for you).

 

Look, most tenants wont like living next to a counselling provider for druggies, alcs and the unemployed.

There is going to be a lot more crims in the area with unpredictable behaviour. It's not ideal for families.

Having said that, you could give it a shot as a resdential tenancy but at the first sign of problems I'd be onto the local council, police and member of Parliament to get them shut down (with a petition in hand).

 

They own the building but do not have council approval to set this up ... They are yet to apply. It is commercially zoned. They seem confident they will get it as they have a similar centre in another suburb.
Is it too soon to make a decision to sell, or get out early before approval is given?
Put it this way, there was a similar centre in Coolaroo, though not associated directly with this one that resulted in a Jake Bilardi being recruited ... You know the story....though they tell us this one will focus on spiritual counselling and activities for troubled youth.
I'm looking for concrete evidence, studies as to what effect these places have on property values so I can make a rational decision assuming worse case scenario that the council allows it.