Capistrano Two Homeowners Association

What Capistrano Two Homeowners Association's governing documents say

Capistrano Two is a planned single-family residential community in Phoenix, AZ with a homeowners association. You own your individual lot; the association maintains the shared common areas, facilities, and landscaping, funded by assessments on all owners.

• What you own & maintain: You own your individual lot and the structure on it. The association maintains the common areas, rights-of-way landscaping, and perimeter walls, and carries insurance on those shared elements.
• Governance & voting: Two membership classes exist initially: Class A (all owners, one vote per lot) and Class B (the developer, three votes per lot). Class B memberships convert to Class A after the builder sells substantially all lots or after five years, whichever is first. The board is then elected by Class A members only.
• Assessments — initial cap and increases: Through December 31 of the year after the first completed home is sold, the maximum annual assessment is $420 per lot ($35/month). After that date, assessments can increase each year by whichever is greater: 10% or the Consumer Price Index percentage. Greater increases require a two-thirds vote of both membership classes. The board can raise assessments above the cap without a vote if the increase is solely for insurance premiums, property taxes on common areas, or utility charges.
• New buyer capital contribution: When you purchase a completed home from the builder, you must pay a one-time capital contribution equal to two months of the lot's share of common expenses. This is in addition to your regular assessment.
• Assessment payment, interest & liens: Assessments are annual and payable on dates set by the board (can be split into monthly installments). Unpaid assessments accrue interest at 18% annually (or lower rate the board selects, capped at the legal maximum), plus late charges and attorney's fees. Unpaid assessments become a lien on your lot, subordinate to a first mortgage except for assessments that accrue after the mortgage holder takes possession.
• Common area usage & easements: All owners have non-exclusive rights to use common areas for access and enjoyment of their lot, including family members and tenants. The association has blanket easements for all utilities (water, sewer, gas, electric, cable, phone, security systems) and emergency vehicle access across common areas. Utility companies can install and maintain equipment on common areas.
• Insurance coverage: The association maintains multi-peril insurance on common areas (fire, windstorm, water damage, vandalism, etc.) at 100% replacement cost; public liability insurance of at least $1,000,000 per occurrence; fidelity bonding against theft or fraud; and boiler insurance if applicable. Owners must independently insure their own homes' contents, personal property, and liability beyond what the association covers.
• What this document doesn't cover: This excerpt does not detail specific architectural review requirements, pet policies, rental/lease restrictions, or the full list of rules and regulations governing the community — those would be in the association's bylaws and rules.

Plain-language summary generated from the governing documents on file for this community. It may be incomplete and is not legal advice — read the full documents below or consult the official recorded versions.