Want to bet that money and property ownership have something to do with this?

Of course it has all to do with money and positions of certain individuals. Here is my probably last update, since this makes situation very clear and my source is directly within organization.

Recently (several years ago, the source did not know the precise date) there was an overhaul of statutes of Diamondway foundation which makes it so that under no circumstances can traditional Buddhist teachers of Karma Kagyu lineage take over the organization, which will even after passing of Ole Nydahl continue under exclusive management and oversight of board selected only from DW members. The source told me that it was made clear that the positions of board members and travelling teachers would be at stake should and traidtional teacher (lama, khenpo, rinpoche) take over the organization. The source also remarked that traveling teachers are very poorly educated in Buddhist teaching and so their role would become obsolete. Of course this is nothing new to me, but I was surprised that even a person within organization admits to this.

This situation means, that Diamondway is clearly no longer a Tibetan Buddhist orgnanization and paradoxically no longer a Vajrayana organization (Diamondway being their flawed translation of Vajrayana), since Vajrayana depends upon guru and Diamondway is in situation, where there is no guru qualified, or merely a nominal one (as was Ole Nydahl).

As such, people who are interested in Vajrayana will eventually leave Diamondway and without charismatic guru the organisation will not be able to grow or even preserve their numbers.

Of course, there are innumerable factors that have created the current situation. One of the things that has led to some of what Je Lhundrup has described above is the decades Ole spent denigrating almost every other teacher in the lineage. The few who he never sneered about, subtly or otherwise, were Karmapa, Jigmela, Lopon Tsechu, Tenga, and maybe Topgala. Most other teachers, even very senior ones such as Shamarpa and Gendun, caught shade in one way or another. Add to this his long habit of deriding western monastics and others who completed the three year retreat. He created an insular and combative group that viewed other Kagyu buddhists in Europe with suspicion, and isolated his students from participating in a wide and rich community of other practitioners who support Thaye Dorje.

Over time his centers will diminish. It's possible that some of the major ones will appear to grow, but that might be the result of smaller ones getting even smaller and closing, causing people to attend bigger ones further away. The summer gatherings at the EC may also stay big for a few years but will eventually start to shrink.