I still don’t see the controversy. Government tells churches where they can and can’t build all the time. What’s the problem with telling the Muslims where they can and can’t build a mosque?
In NYC the Landmarks Commission can declare a church a landmark and prevent any change, modifiction or sale of the structure. The pastor of the parish I taught in back in the 70s in Brooklyn received a letter informing him the church was in line for landmark status. Being a lawyer, he responded that any attempt to do so would be tied up in court until the Second Coming. He understood that the value of the property may be more important to the mission of the Catholic Church than the building, as its sale would bring substantial monies.The Commission backed down, but they’ve declared more visible churches landmarks. Episcopal St. Bartholomews on 5th ave, and prevented the sale of parts of its property to developers. So you’re spot on. Local govts tell religions what they can do with their land all the time.