"This action has been taken following ongoing discussions in relation to leadership issues and breaches of trust, plus a recent revelation of moral failures," Hillsong said in a statement.
Lentz, 41, took to Instagram Thursday to address his termination.
"I was unfaithful in my marriage, the most important relationship in my life and held accountable for that. This failure is on me, and me alone and I take full responsibility for my actions," he said.
"I now begin a journey of rebuilding trust with my wife, Laura and my children and taking real time to work on and heal my own life and seek out the help that I need"
The contemporary megachurch was founded in 1983 in the western suburbs of Australia, and popularized by its catchy, pop music. A song by one of its bands was No. 1 on the Billboard Hot Christian Songs for a year.
The church was brought to New York City in part by Lentz in 2010, who was the lead pastor of thr location and held weekly services in Manhattan's Hammerstein Ballroom and the Welmont.
Bieber and his wife, Haley, are among several celebrities associated with Hillsong.
"We thank Pastors Carl and Laura for the way they have served faithfully and sacrificially since the start of Hillsong NYC and for contributing so significantly to the countless lives that have been transformed for Jesus Christ through this ministry," the church's statement reads.
"They have a heart for people and we are confident that after a time of rest and restoration, God will use Carl in another way outside of Hillsong church. In terminating his tenure, we in no way want to diminish the good work he did here."
Click here to follow Daily Voice Mahwah-Ramsey and receive free news updates.