Book 6745 Page 684 BK: RB 6745 PG: 684-724 RECORDED: 12/06/2024 03:33:54 PM BY: ANGELA ENGLISH DEPUTY 2024030388 NEW HANOVER COUNTY, MORGHAN GETTY COLLINS REGISTER OF DEEDS NC FEE $130.00 EXTX $0.00 ELECTRONICALLY RECORDED DECLARATION OF COVENANTS AND RESTRICTIONS FOR 223 AND 225 GREENVILLE AVENUE TOWNHOMES Prepared by and return to: Law Office of Ned M. Barnes 1009 N. Lake Park Blvd., Suite C-2 Carolina Beach, NC 28428 1 Submitted electronically by "Ned M. Barnes, Attorney" in compliance with North Carolina statutes governing recordable documents and the terms of the submitter agreement with the New Hanover County Register of Deeds.
Book 6745 Page 685 THIS DECLARATION OF COVENANTS AND RESTRICTIONS FOR 223 AND 225 GREENVILLE AVENUE TOWNHOMES ("Declaration") is made this 6th day of December, 2024 by CENTER CITY DEVELOPMENT, INC., a North Carolina corporation (“Declarant”) for the purposes hereinafter stated.
Article 1 Creation of Planned Community WHEREAS, Declarant is the owner of certain real property located in the Town of Carolina Beach, New Hanover County, North Carolina, which is more particularly described in that deed recorded in Book 6627, Page 354, New Hanover County Registry, as Lot 10, Block 54, Carolina Beach, as shown on Map Book 24, at Page 2, and further depicted on Map Book 73, at Page 23, in the aforesaid Registry, known as 223 AND 225 GREENVILLE AVENUE TOWNHOMES, as shown on a plat recorded in the Office of the Register of Deeds of New Hanover County, North Carolina, in Map Book 75, at Page 223, to which reference is hereby made for a more particular description (the "Property"); and WHEREAS, Declarant desires to subject the Property to this Declaration under a general
p Book 75, at Page 223, to which reference is hereby made for a more particular description (the "Property"); and WHEREAS, Declarant desires to subject the Property to this Declaration under a general scheme of development for the mutual benefit of the Lot Owners, and to form an association of owners to provide for, among other things, the preservation of the property values and the desirability and attractiveness of the Property.
NOW, THEREFORE, Declarant hereby declares that the Property described above shall be held, sold, used and conveyed subject to selected provisions of the North Carolina Planned Community Act set forth in N.C. Gen. Stat. §§ 47F-1-101 et seq. (the "Act") which are incorporated herein by reference where indicated, and to the following easements, restrictions, and covenants of this Declaration, all of which shall run with the real property subjected to this Declaration. The Declaration, including all restrictions and affirmative obligations set forth herein, shall be binding and shall inure to the benefit of all parties having any right, title or interest in the Property or any part thereof, their heirs, successors and assigns.
Article 2 Section 1.
Description of the Planned Community Name.
The name of the Planned Community is 223 AND 225 GREENVILLE AVENUE TOWNHOMES sometimes referred to as "Planned community."
Section 2. Location. The Planned Community is located in Carolina Beach, New Hanover County, North Carolina. The Planned Community or Property is that real property submitted to and governed by selected provisions of the North Carolina Planned Community Act, and the following easements, restrictions, and covenants of this Declaration, as shown on a plat entitled "Townhouse Plat of 223 and 225 Greenville Avenue Townhomes (Lot 10, Block 54,
d Community Act, and the following easements, restrictions, and covenants of this Declaration, as shown on a plat entitled "Townhouse Plat of 223 and 225 Greenville Avenue Townhomes (Lot 10, Block 54, Carolina Beach)" prepared by Bateman Civil Survey Company, dated October 14, 2024, and recorded in Map Book 75, Page 223, New Hanover County Register of Deeds.
2 Book 6745 Page 686 Article 3 Definitions In addition to other terms defined throughout the Declaration, the following capitalized terms shall have the following meanings: Section 1.
"Articles" shall mean the Articles of Incorporation of the Association as filed with the Secretary of State, North Carolina as the same may be from time to time amended.
Section 2. "Assessments" shall mean any and all sums levied by the Association against any Lot and its Owner as Common Expenses or other charges to include, but not limited to, Common Expense liabilities, special Assessments, specific Assessments, fines, collection costs, late fees, interest, service, collection or administrative fees and reasonable attorney's fees as set forth in the Declaration and Bylaws.
Section 3.
"Association" shall mean 223 and 225 Greenville Avenue Townhomes HOA, Inc., a North Carolina nonprofit corporation, and its successors.
Section 4.
"Board" or "Board of Directors" shall mean the Board of Directors of 223 and 225 Greenville Avenue Townhomes HOA, Inc., which is the governing body on behalf of and for the Association. Director or Directors means a member or members of the Board.
Section 5. "Bylaws" shall mean the Bylaws of 223 and 225 Greenville Avenue Townhomes HOA, Inc., which are attached hereto and incorporated herein as Exhibit "A."
Section 6.
"Common Elements" shall mean any and all real estate within the Planned
223 and 225 Greenville Avenue Townhomes HOA, Inc., which are attached hereto and incorporated herein as Exhibit "A."
Section 6.
"Common Elements" shall mean any and all real estate within the Planned Community owned or leased by the Association, other than a Lot. The term Common Elements is to be construed as being synonymous with the term common areas.
Section 7.
"Common Expenses" shall mean expenditures made by or financial liabilities incurred for the operation of or connected in any way with the administration of the Planned Community. Which shall include: a. Expenses of administration, maintenance, repair, replacement or Capital Improvement of the Common Elements; b.
Expenses defined, referred to, or declared to be Common Expenses by the Documents or by the Planned Community Act; C.
Expenses agreed upon as Common Expenses by the Association; d.
Such reasonable reserves as may be established or allocated by the Association, whether held in trust or by the Association, for repair, replacement or addition to the Common Elements or any other real or personal property acquired or held by the Association; 3 Book 6745 Page 687 e.
f.
Expenses levied against or which may be allocated to any particular Lot and Lot Owner for fines, late charges, interests, costs of collection, and attorney's fees; and Expenses associated with any shared water meters, sewer systems and/or irrigation systems serving the Planned Community.
Section 8. "Common Expense Liability" shall mean the liability for Common Expenses allocated to each Lot as permitted by the Planned Community Act, the Declaration, Bylaws, or otherwise permitted by law.
Section 9.
“Declarant” shall mean Center City Development, Inc., a North Carolina corporation, its successors, and assigns.
anned Community Act, the Declaration, Bylaws, or otherwise permitted by law.
Section 9.
“Declarant” shall mean Center City Development, Inc., a North Carolina corporation, its successors, and assigns.
Section 10. "Declaration" shall mean this Declaration of Covenants and Restrictions for 223 and 225 Greenville Avenue Townhomes.
Section 11. "Documents" means the Declaration, Plats and/or Deeds recorded and filed for real property comprising the Planned Community, the Articles of Incorporation of 223 and 225 Greenville Avenue Townhomes HOA, Inc., the Bylaws, and the Rules and Regulations as they may be amended from time to time.
Section 12. "Limited Common Elements" shall mean a portion of the Common Elements allocated by the Declaration for the exclusive use of one or more, but fewer than all of the Lots, including, but not limited to those areas so designated, if any, on any Plats filed or which may be filed in connection with this Planned Community.
Section 13. "Lot" or "Townhome Lot" shall mean the physical portion of the Planned Community designated for separate ownership or occupancy by a Lot owner. This term shall refer to the land, if any, which is part of the Lot as well as any improvements thereon including but not limited to the Townhome or Townhome Unit.
Section 14. "Lot Owner" or "Owner" shall mean a person or legal entity who owns a Lot but does not include a person having an interest in a Lot solely as security for an obligation.
Section 15. "Mortgage" shall mean any mortgage, deed of trust, deed to secure debt or other transfer, or conveyance for the purpose of securing the performance of an obligation.
Section 16. "Notice and Opportunity to be Heard" shall mean the right of a Lot
trust, deed to secure debt or other transfer, or conveyance for the purpose of securing the performance of an obligation.
Section 16. "Notice and Opportunity to be Heard" shall mean the right of a Lot Owner to receive notice of an action proposed to be taken by or on behalf of the Association and the right for an opportunity to be heard thereon.
Section 17. "Officer" shall mean those individuals who are elected by the Board to serve as officers of the Association to include President, Secretary, Treasurer and such other support and offices as the Board may determine necessary.
4 Book 6745 Page 688 Section 18. "Person" shall mean a natural person, corporation, limited liability company, business, trust, estate trust, partnership, association, joint venture, government, governmental subdivision, or agency or other legal or commercial agency.
Section 19.
Townhomes.
Section 20.
"Planned Community" shall mean 223 and 225 Greenville Avenue "Reasonable Attorney's Fees” shall mean attorney's fees reasonably incurred without regard to any limitations on attorney's fees which otherwise may be allowed by law.
Section 21. "Real Estate" shall mean any leasehold or other estate or interest in, over, or under land, including structures, fixtures, and other improvements and interests which by custom, usage, or law pass with a conveyance of land though not described in the contract of sale or instrument of conveyance. Real Estate includes parcels with or without upper or lower boundaries, and spaces that may be filled with air or water.
Section 22. "Resident" shall mean and include Owners, their immediate family members, tenants, and lessees.
Section 23.
"Townhome" or "Townhome Unit” shall mean any Lot, together with any
ir or water.
Section 22. "Resident" shall mean and include Owners, their immediate family members, tenants, and lessees.
Section 23.
"Townhome" or "Townhome Unit” shall mean any Lot, together with any attached or semi-attached residential Townhome situated thereon and all improvements and appurtenances thereto, including but not limited to all front and rear decks, handrails, steps and roofs attached to such Townhome. The terms "Townhome" and "Townhome Unit" shall be synonymous with the terms "Townhouse" and "Townhouse Unit."
Article 4 Declarant Control The Declarant shall have, and there is hereby reserved to the Declarant, the following rights, powers and privileges which shall be in addition to any other rights, powers and privileges reserved to the Declarant herein.
Section 1. Declarant Control Period. The Special Declarant rights and powers set forth in this Article 4 shall be exercised by the Declarant during the Declarant Control Period which shall terminate no later than the earlier of the following dates: a.
Three (3) years from the recording of this Declaration.
b.
The Declarant's conveyance of all Lots within the Planned Community.
C.
Declarant may terminate the Declarant Control Period any time prior to the above date in its own discretion.
5 Book 6745 Page 689 Section 2.
Development Rights of Declarant. For the duration of the Declarant's rights and obligations, Declarant shall have the right to conduct development, construction, marketing, and customer service operations within the Property in a customary and reasonable fashion.
Section 3. Easements Reserved by Declarant. Declarant reserves easements for the installation and maintenance of driveways, walkways, parking areas, water lines, telephone and
and reasonable fashion.
Section 3. Easements Reserved by Declarant. Declarant reserves easements for the installation and maintenance of driveways, walkways, parking areas, water lines, telephone and electric power lines, cable television lines, sanitary sewer and storm drainage facilities, pumping and lift stations, drainage ditches or other drainage outlets, propane tanks and lines and for other utility installations over the Property and the Common Elements. Each owner, by his acceptance of a deed to a Lot, and the Association by its acceptance of a deed to the Common Elements, acknowledge such reservations and the rights of Declarant to transfer such easements to the Association or to such utility companies as Declarant may chose. The easements reserved by the Declarant include the right to cut any trees, bushes or shrubbery, make any gradings of the soil, or take any similar action reasonably necessary to provide economical utility installation and to maintain the overall appearance of the Development. Certain easements reserved by the Declarant and the Association are shown on the plats. Within any such easements, no structure, planting or other material shall be placed or permitted to remain which may interfere with the installation of sewerage disposal facilities and utilities, or which may change the direction of flow or drainage channels in the easements. In addition, the Declarant and the Association shall have the continuing right (but not the obligation) and easement to maintain sewer and water lines located on the Lot, including the right to go into Townhomes and disturb the structure and floors thereof in order to maintain those lines located within or under said dwelling. Provided, however, all sewer and water
ot, including the right to go into Townhomes and disturb the structure and floors thereof in order to maintain those lines located within or under said dwelling. Provided, however, all sewer and water lines located on the Lot and serving only one Townhome shall be maintained, repaired and replaced by the Lot Owner.
Section 4. Declarant's Right of Entry. The Declarant reserves unto itself, its successors and assigns the right to go on, over and under the ground to erect, maintain and use electric and telephone poles, wires, cables, conduits, sewers, water mains, propane tanks and lines and other suitable equipment for the conveyance and use of electricity, telephone equipment, gas, sewer, water or other public conveniences or utilities in the Common Elements. These reservations and rights expressly include the right to cut any trees, bushes or shrubbery, make any gradings of the soil, or take any other similar action reasonably necessary to provide economical and safe utility installation and to maintain standards of health, safety and appearance. The Declarant further reserves the right to locate wells, pumping stations and tanks within the Common Elements.
Such rights may be exercised by any licensee of the Declarant, but this reservation shall not be considered an obligation of the Declarant to provide or maintain any such utility or service.
Section 5.
Declarant Right to Appoint Board of Directors. Notwithstanding anything in the Declaration or Bylaws to the contrary, the Declarant reserves the right to appoint the members of the Board of Directors of the Association.
Section 6.
Amendment of Declaration by the Declarant. During the Declarant Control Period, the Declarant reserves the right to amend the Declaration in its sole discretion,
rectors of the Association.
Section 6.
Amendment of Declaration by the Declarant. During the Declarant Control Period, the Declarant reserves the right to amend the Declaration in its sole discretion, without the consent of the owners.
6 Book 6745 Page 690 Section 7. Transfer of Declarant Rights. During the Declarant Control Period the Declarant may transfer its rights to any other person or entity in accordance with the Planned Community Act.
Section 8.
Right to Alter. During the Declarant Control Period the Declarant reserves the right to change, alter or designate the location of Lot, roads, utilities, drainage facilities, easements and to change, alter or redesign the Townhomes.
Section 1.
Article 5 Lots Lot Descriptions. The Lots are designated on the map recorded in Map Book 75, Page 223, New Hanover County Register of Deeds. Any additional Lots added pursuant to the Declarant Rights referred to hereinabove in Article 4 will be designated on a map recorded in the New Hanover County Register of Deeds.
Section 2. Common Expense Liability. The Declarant has determined that the initial Common Expense Liability of each Lot shall be fifty percent (50%) for each Lot. In the event additional Lots are added pursuant to the Declarant Rights in Article 4, such Common Expense Liability will be adjusted accordingly as further described by amendment of this Declaration or recording of a Supplemental Declaration. Each Lot shall have one (1) vote on every matter for which a vote of the membership of the Association is required by the Documents.
Section 1.
Article 6 Common Elements Common Elements. Common Elements include all parts of the Planned Community located outside the boundaries of the respective Lots and include any real estate, both
Section 1.
Article 6 Common Elements Common Elements. Common Elements include all parts of the Planned Community located outside the boundaries of the respective Lots and include any real estate, both improved and unimproved, within the Planned Community owned or leased by the Association.
By way of illustration but not limitation, Common Elements include real property often called common areas, facilities and amenities.
Section 2.
Conveyance or Encumbrance. The Common Elements shall be neither encumbered nor conveyed except as provided in the Planned Community Act, this Declaration, and the Bylaws.
Section 3.
Use of Common Elements. Each Lot Owner shall have the right to use the Common Elements in accordance with the purposes for which they are intended without hindering the exercise of or encroaching upon the rights of other Lot Owners. The Board shall, if any question arises, determine the purpose for which a part of the Common Elements is intended for use. The Board shall have the right to promulgate Rules and Regulations limiting the use of some or all of the Common Elements to Lot Owners and their guests and to promulgate Rules and Regulations to provide for the exclusive use of a part of the Common Elements by a Lot Owner and his or her guests for special occasions, which exclusive use may be conditioned upon, among Book 6745 Page 691 other things, payment of a fee. Any Lot Owner may delegate, in accordance with the provisions of this Declaration and the Bylaws and reasonable Rules and Regulations of the Board, the right to use the Common Elements to immediate family members living on the Lot, to a limited number of guests, or to tenants who reside on the Lot. Limited Common Elements are reserved for the
rd, the right to use the Common Elements to immediate family members living on the Lot, to a limited number of guests, or to tenants who reside on the Lot. Limited Common Elements are reserved for the exclusive use of the Townhome to which they are appurtenant.
Section 4.
Association's Acceptance of Common Elements. No later than thirty (30) days after the sale of the last Townhome or expiration of the Declarant Control Period, Declarant shall deed to the Association the Common and Limited Common Elements free and clear of any mortgages, deeds of trust or ad valorem taxes and transfer any and all governmental permits, which the Association shall accept.
Article 7 Limited Common Elements The Limited Common Elements shall consist of those areas labeled "LCE #1" and "LCE #2" on the map recorded in Map Book 75, Page 223, New Hanover County Register of Deeds or those added in additional phases pursuant to the Declarant Rights in Article 4. LCE #1 shall be designated for the exclusive use of Lot 1-#223, and LCE #2, and that portion of the paved driveway shown upon said map as "10" LCE-2-ACCESS" shall be designated for the exclusive use of Lot 2-#225.
Section 1.
Article 8 Use Restrictions Residential Use. Each of the Lots in the Planned Community shall be, and the same hereby are, restricted exclusively to single-family residential use. No Lot or any portion of the property shall be used for or as a "Residential Institution" except to the extent such are expressly protected and permitted by law. For purposes of this Declaration, a "Residential Institution" shall mean and refer to a nursing home, child care center, boarding house, assisted or dependent living facility, adult care center, adult care home, family child care home, group home,
l Institution" shall mean and refer to a nursing home, child care center, boarding house, assisted or dependent living facility, adult care center, adult care home, family child care home, group home, residential day care, house of detention, reform school, asylum, or institution of a kindred character.
Section 2.
Owners' Acknowledgement.
All Owners are subject to the Use Restrictions described herein and are given notice that: (a) their ability to use their privately owned property is limited thereby; and (b) the Board may adopt, delete, modify, create exceptions to, or amend the Rules and Regulations, as further defined herein.
Section 3.
Restrictions in General, Occupants Bound. All Lot Owners, guests, invitees, and occupants of Lots shall comply with the Declaration, Bylaws, and Rules and Regulations. The acceptance of a deed or the exercise of any incident of Ownership or the entering into of a lease or the entering into occupancy of a Lot constitutes agreement (a) that the provisions of the Declaration, Bylaws, Rules and Regulations and use restrictions are accepted by, ratified by, and are binding on all Lot Owners, tenants, occupants, and the guests and invitees of the Lot 8 Book 6745 Page 692 Owners and occupants; and (b) that the use and enjoyment and marketability of his or her property can be affected by the provisions herein and that the Use Restrictions and Rules and Regulations may change from time to time. The Lot Owner shall be responsible for ensuring that the occupants, the guests, invitees, and licensees of the Lot Owner and occupant strictly comply with all provisions of the Declaration, Bylaws, Rules and Regulations and use restrictions. Fines may be levied against Lot Owners or Occupants. If a fine is first levied against an occupant and is not
ith all provisions of the Declaration, Bylaws, Rules and Regulations and use restrictions. Fines may be levied against Lot Owners or Occupants. If a fine is first levied against an occupant and is not timely paid, the fine may then be levied against the Lot Owner.
Section 4.
Business Activities. No business or business activity shall be carried on, in or upon any Lot at any time except, however, private offices may be maintained in Townhomes so long as such use is incidental to the primary residential use of the Lot and does not require the coming and going of customers or clients of such business, and is approved in writing by the Board of Directors. However, the Board may, but shall not be obligated to, permit a Lot to be used for business purposes so long as such business, in the sole discretion of the Board, is consistent with the foregoing and does not otherwise violate the provisions of the Declaration or Bylaws, does not create a disturbance and does not unduly increase traffic flow or parking congestion. The property shall not be used in any way or for any purpose which may endanger the health of or unreasonably disturb the Owner of any Lot or any resident thereof. The Board of Directors shall, in its sole discretion, determine what constitutes business activity, health hazard, or unreasonable disturbance. No Owner shall make any use of a Lot or store or keep anything on a Lot which will increase the insurance rates for the Association or for other Lot Owners.
Section 5.
Subdivision. Neither Townhome Unit may be divided or subdivided into a smaller unit nor any portion thereof sold or otherwise transferred without the express written consent of Board of Directors.
Section 6. Motor Vehicles. No motor vehicles (other than private passenger vehicles),
t nor any portion thereof sold or otherwise transferred without the express written consent of Board of Directors.
Section 6. Motor Vehicles. No motor vehicles (other than private passenger vehicles), boats, boat trailers, jet skis, golf carts, mobile homes, trailers, campers, busses, recreational vehicles, or any similar items shall be stored in or upon the Common Elements, or Limited Common Elements, unless placed upon a portion of the Common Elements, or Limited Common Elements, which is designated for such purpose, or which may be agreed to by written consent of the Board of Directors. All motor vehicles within the Planned Community shall be operational and bear current registration and inspection. The Board may by Rules and Regulations limit the number of private passenger vehicles that any Owner may park in the Planned Community and may designate parking and/or storage places for the Owner and their guests.
Section 7. Prohibitions on Use of Common Elements. Except when specifically approved in writing by the Board of Directors, the Common Elements, including Limited Common Elements, shall not be used for temporary or permanent storage of supplies, personal property, trash, or refuse of any kind, except in common trash receptacles, nor shall they be used in any way for the drying or airing of clothing, rugs, or other fabrics. Entrances, sidewalks, yards, driveways, parking areas and stairways shall not be obstructed in any way. In general, no activities shall be carried on nor condition maintained by any Lot Owner either on his/her Lot or upon the Common Elements, if such activities should despoil, or tend to despoil, the appearance of the Planned Community. It is expressly acknowledged and agreed by all parties concerned that this section is 9 Book 6745 Page 693
such activities should despoil, or tend to despoil, the appearance of the Planned Community. It is expressly acknowledged and agreed by all parties concerned that this section is 9 Book 6745 Page 693 for the mutual benefit of all Owners in the Planned Community and is necessary for the protection of Lot Owners and is enforceable by the Board of directors.
In addition to the foregoing restrictions, the Lot Owners acknowledge that parking vehicles of any kind, or erecting structures of any kind, within the access easement designated as "10" LCE2-ACCESS" as shown on Map Book 75, Page 223, shall be prohibited without the express written consent of both Lot Owners.
Section 8.
Animals. No animal shall be kept or maintained on the Planned Community, except household pets ordinarily kept in homes. The rules and regulations may regulate, permit, or prohibit the kind and number of domestic household pets. Such pets may not be kept or bred for any commercial purpose and shall have such care and restraint as is necessary to prevent them from becoming obnoxious or offensive on account of noise, odor, aggression, unsanitary conditions, or other nuisance. All pets shall be properly registered, vaccinated and display at all times proof of same as required by law. All dogs allowed upon the Common Elements must wear a collar with a tag identifying the Owner. All pets kept on the Planned Community must be owned by the Lot Owner, his/her tenant, guest or invitee. No pets are permitted to run loose upon the Common Elements, and any Lot Owner who causes or permits any animal to be brought or kept upon the Planned Community shall indemnify and hold the Association harmless for and from any loss, damage, or liability which it sustains as a result of the presence of such animal on
brought or kept upon the Planned Community shall indemnify and hold the Association harmless for and from any loss, damage, or liability which it sustains as a result of the presence of such animal on the Planned Community, regardless of whether the Association or the Board of Directors has given its permission therefor. Whenever a dog is allowed outside the Lot, the dog must be on a leash and any animal droppings which occur during such time as the dog is outside the Lot must be immediately collected by the Owner and disposed of as required by law.
Section 9.
Access to Lot. The Association or its agent shall have access to each Lot from time to time during reasonable working hours, as may be necessary for the maintenance, repair, or replacement responsibilities in Article 17. The Association or its agent shall also have access to each Lot at all times without notice as may be necessary to make emergency repairs to prevent damage to Common Elements, to another Lot, or to the Lot itself.
Section 10.
Nuisances. No unlawful, noxious or offensive trade or activity shall be conducted or permitted upon any Lot, or in the Common Area, nor shall anything be done thereon which may be or may become an annoyance or nuisance to any other Owner, or which may endanger the health or safety of any other Owner, or increase vehicular and/or foot traffic as determined in the sole discretion of the Board of Directors. Noxious, destructive or offensive activity shall not be carried on within any portion of the Property. No Owner or Occupant of a Lot may use or allow the use of the Lot at any time, in any way or for any purpose that may endanger the health, unreasonably annoy or disturb or cause embarrassment, or discomfort to other Owners
f a Lot may use or allow the use of the Lot at any time, in any way or for any purpose that may endanger the health, unreasonably annoy or disturb or cause embarrassment, or discomfort to other Owners or occupants, or in such a way as to constitute, in the sole opinion of the Board of Directors, a nuisance. In addition, no Owner or Occupant of a Lot may use or allow the use of a Lot in any manner that creates disturbing noises, vibrations, odors, vapors, or smoke, including without limitation, the use of sound systems or lights that will in the sole discretion of the Board of Directors interfere with the rights, comfort or convenience of the other Owners or Occupants. The Board of Directors, in its sole discretion, shall have the power and authority to decide what acts or actions constitute a nuisance. All parts of the Planned Community shall be kept in a clean and 10 Book 6745 Page 694 sanitary condition. No rubbish, refuse, or garbage shall be allowed to accumulate and no fire hazard shall be allowed to exist. Any Lot Owner (or their family, tenants, guests or agents) who shall dump or place any trash or debris upon any portion of the Planned Community shall be liable to the Association for the actual cost of removal thereof and the same shall be added to and become a part of the Assessment next coming due to which the Lot Owner is subject; or alternatively, the Association may impose a fine against the Lot Owner for violation of this section.
Section 11.
Antenna. Unless otherwise required by law, no exterior satellite dish in excess of one meter (39.37") in diameter, may be placed on the exterior of any Unit or in the Common Elements without the prior written approval of the Board of Directors, which may be
tellite dish in excess of one meter (39.37") in diameter, may be placed on the exterior of any Unit or in the Common Elements without the prior written approval of the Board of Directors, which may be withheld in its sole discretion. The local of any exterior antenna, or satellite dish more than one meter (39.37") in diameter, shall be subject to the reasonable prior approval of the Board of Directors. Except as set forth herein, there shall be no antenna placed on the exterior of any Unit or in the Common Elements, for AM/FM radio, citizen band (CB) radio, HAM radio, nor any other exterior fixture or appliance for electronic devices or for transmission or receipt of communication signals on or to a Unit, without the written consent of the Board of Directors.
Section 12. Lawful Use. No immoral, improper, or unlawful use shall be made of the Planned Community nor any part thereof. All valid laws, zoning ordinances, and regulations of governmental bodies having jurisdiction thereof shall be observed.
Section 13. Restriction on Transfer of Common Elements. The Association shall not seek to abandon, partition, subdivide, encumber, sell or transfer any portion of the Common Elements, without the written approval of the Board of Directors. The granting of easements for public utilities or other public purposes consistent with the intended use of the Common Elements shall not be deemed a transfer within the meaning of this paragraph.
Section 14. Prohibition of Time-Sharing. Time-sharing and time shares as defined in the North Carolina Time Share Act (N.C. Gen. Stat, § 93A-39 et. seq.) of any Lot in the Planned Community is prohibited.
Section 15. Additional Restricted Activities. The following activities shall also be
orth Carolina Time Share Act (N.C. Gen. Stat, § 93A-39 et. seq.) of any Lot in the Planned Community is prohibited.
Section 15. Additional Restricted Activities. The following activities shall also be prohibited within the Property unless expressly authorized by, and then subject to such conditions as may be imposed by, the Board of Directors: (a) Any activity which tends to cause an unclean, unhealthy or unsafe condition to exist outside of enclosed structures on the Lot; (b) Any activity which emits foul or obnoxious odors, fumes, dust, smoke, or pollution outside the Townhome Unit or which creates noise, unreasonable risk of fire or explosion, or other conditions which are a nuisance; (c) Outside burning of trash, leaves, debris or other materials; (d) Any activity which would constitute a public or private nuisance; 11 Book 6745 Page 695 (e) Use or discharge of any radio, loudspeaker, horn, whistle, bell, or other sound devise so as to be audible to occupants of other Dwelling Units, except alarm devices used exclusively for security purposes; (f) (g) Use and discharge of firecrackers and other fireworks; On-site storage of gasoline, heating, or other fuels on Lots, except that a reasonable amount of propane gas and other fuel may be stored on each Townhome Unit for emergency purposes and operation of gas cooking grills, lawn mowers and similar tools or equipment. However, this provision shall not apply to any underground fuel tank.
(h) Any activities which materially disturb or destroy the vegetation, wildlife, wetlands, or air quality within the Property or which use excessive amounts of water or which result in unreasonable levels of sound or light pollution; (i) Placing or permitting to remain garbage or trash on any Lot except in
ithin the Property or which use excessive amounts of water or which result in unreasonable levels of sound or light pollution; (i) Placing or permitting to remain garbage or trash on any Lot except in covered containers. Except during construction activities upon the Lot, any such containers shall be kept inside garages, underneath carports, or stored outside of sight, except when they are being made available for collection and then only for the shortest time reasonably necessary to effect such collection.
Article 9 Insurance Section 1.
Association Insurance. Unless insurance is obtained pursuant to Section 1, Subsection (c) of this Article, The Association shall maintain, to the extent reasonably available: (a) Property and casualty insurance on the Common Elements, Limited Common Elements and the Townhome Units constructed on the Lots (with exception of the interiors of the Townhome Units, which shall be insured by the Lot Owners pursuant to Article 9, Section 3 hereof), insuring against all risks of direct physical loss commonly insured against including fire and extended coverage perils in an amount equal to one hundred percent (100%) of the replacement cost of the insured property at the time insurance is purchased and at each renewal date, exclusive of land, excavations, foundations, and other items normally excluded from property policies; and (b) Liability insurance on the Common Elements, insuring the Association and its Members for damage or injury caused by the negligence of the Association or any of its Members, employees, agents or contractors while acting on its behalf. If generally available at reasonable cost such coverage (including primary and any umbrella coverage) shall have a limit of at least
mbers, employees, agents or contractors while acting on its behalf. If generally available at reasonable cost such coverage (including primary and any umbrella coverage) shall have a limit of at least One Million Dollars ($1,000,000.00) per occurrence with respect to bodily injury, personal injury, and property damage; provided, if additional coverage and higher limits are available at reasonable cost which a reasonably prudent person would obtain, the Association shall obtain such additional coverage or limits.
(c) Notwithstanding the foregoing, if the Association shall determine that it would be more economically feasible in lieu of the Association maintaining a master policy for the entire 12 Book 6745 Page 696 Planned Community, for the Owners to purchase insurance policies covering each Lot individually, then upon the unanimous consent of the Owners (which votes may be cast in person, by proxy, or by written ballot) who are eligible to vote at a meeting duly called for such purpose, the insurance coverage for the entire Planned Community may be turned over to the Owners to purchase individual policies under such terms and conditions as the Board of Directors may prescribe. If the responsibility for maintaining the insurance coverage on the Planned Community is turned over to the individual Owners under the provisions of this paragraph, then the Association shall be named as an additional insured on each policy, each Lot shall be insured for its full replacement value and the provisions of this Section shall be modified accordingly. If an Owner fails to comply with the insurance requirements set forth above, the Association shall have the right to purchase insurance on the Lot, and shall assess the non-complying Owner for all costs
an Owner fails to comply with the insurance requirements set forth above, the Association shall have the right to purchase insurance on the Lot, and shall assess the non-complying Owner for all costs associated therewith in accordance with Article 12 herein.
(d) Such additional insurance as the Board of Directors, in the exercise of its business judgment determines advisable including without limitation, directors' and officers' liability insurance, fidelity insurance, and workers' compensation insurance.
(e) If the insurance described in subsection (a) and (b) of this section is not reasonably available, the Association promptly shall cause notice of that fact to be hand-delivered or sent prepaid by United States mail to all Lot Owners.
(f) provide that: Insurance policies carried pursuant to subsection (a) and (b) of this section shall 1. Each Lot Owner is an insured person under the policy to the extent of the Lot Owner's insurable interest; 2. The insurer waives its right to subrogation under the policy against any Lot Owner or member of the Lot Owner's household.
3. No act or omission by any Lot Owner, unless acting within the scope of the Owner's authority on behalf of the Association, will preclude recovery under the policy; and 4. If, at the time of a loss under the policy, there is other insurance in the name of a Lot Owner covering the same risk covered by the policy, the Association's policy provides primary insurance, except as provided under Article 17, Section 5.
Section 2. Association as Trustee. Except to the extent that property insurance is obtained pursuant to Section 1, Subsection (c) of this Article, all such insurance coverage shall be written in the name of the Association as trustee for itself, each of the Owners, and the mortgagees
btained pursuant to Section 1, Subsection (c) of this Article, all such insurance coverage shall be written in the name of the Association as trustee for itself, each of the Owners, and the mortgagees of Owners, if any. The proceeds from property and casualty insurance claims shall be payable to the Association as trustee for all Lot Owners and mortgagees of Owners. It shall be the duty of the Board of Directors at least annually to conduct an insurance review to determine that the policies in force are adequate to meet the risks of the Association. Such a responsibility may be performed and shall be deemed reasonably performed by the Board requesting the Association's insurance agent to verify insurance policies in existence to meet the needs of the Association. All insurance shall run to the benefit of the Association, the respective Lot Owners, and their respective 13 Book 6745 Page 697 mortgagees as their interests may appear. Policies may contain reasonable deductibles, the payment of which shall be controlled by Article 17, Section 5.
Section 3.
Insurance by the Owners. Unless insurance is obtained pursuant to Section 1, Subsection (c) of this Article, the Owners are required to maintain property insurance to adequately insure the replacement cost of the drywall, wallcovering, flooring and contents of each Townhome Unit, fixtures and appliances in each Townhouse Unit, and any upgrades or betterments made to each Townhouse Unit or Lot after original construction.
Article 10 Damage, Repair and Reconstruction Section 1. Duty to Repair. In the event that all or any part of the Common Elements of the Planned Community or any Townhouse shall be damaged or destroyed, such Townhouse
e, Repair and Reconstruction Section 1. Duty to Repair. In the event that all or any part of the Common Elements of the Planned Community or any Townhouse shall be damaged or destroyed, such Townhouse and Common Elements shall be repaired or replaced and proceeds of insurance shall be used and applied in accordance with the provisions of Section 47F-3-113 of the Planned Community Act.
Section 2.
Repair and Reconstruction. The Board of Directors or its duly authorized agents shall arrange for and supervise the prompt repair and restoration of the damage in accordance with the original plats and plans or reconstruction compatible with such plats and plans.
The procedure for repair and construction shall be as follows: (a) Cost Estimates. Immediately after a fire or other casualty causing damage to the Common elements, the Association shall obtain reliable and detailed estimates of the cost of repairing and restoring any structures to a condition as good as that existing before such casualty.
Such costs may also include professional fees and premiums for such bonds as the Board of Directors determines to be necessary.
(b) Source and Allocation of Proceeds. If the proceeds of insurance are not sufficient to defray the said estimated costs of reconstruction and repair, as determined by the Board of Directors, or if at any time during the reconstruction and repair or upon completion of reconstruction and repair the funds for the payment of the costs thereof are insufficient, assessments shall be made against all of the Lot Owners. If after repair and reconstruction is completed there is a surplus of funds, such funds shall be common funds of the Association to be used as decided by the Board of Directors.
all of the Lot Owners. If after repair and reconstruction is completed there is a surplus of funds, such funds shall be common funds of the Association to be used as decided by the Board of Directors.
(c) Plans and Specifications. Any such reconstruction or repair shall be substantially in accordance with the Plans and specifications under which the structure(s) of the Planned Community was originally constructed.
(d) Construction Fund. The net proceeds of the insurance collected on account of a casualty and the funds collected by the Associations from Assessments against Lot Owners on account of such casualty shall constitute a construction fund which shall be disbursed in payment of the cost of reconstruction and repair in the manner set forth in this Section.
14 Book 6745 Page 698 (e) Method of Disbursement. The construction fund shall be paid by the Association in appropriate progress payments to such contractor(s), supplier(s), and personnel performing the work or supplying the materials or services for the repair and reconstruction of the buildings as are designated by the Board of Directors.
Section 1.
Article 11 Easements and Additional Rights Owners' Easement of Enjoyment. Every Owner shall have a right and easement of enjoyment in, to and over the Common Elements (but not the Limited Common Elements), and the easement granted herein shall be appurtenant to and shall pass with the title to every Lot, subject to the following provisions: (a) the right of the Association to suspend the voting rights of an Owner for any period during which any Assessment against that Owner's Lot remains unpaid for a period of (30) days or more or for any infraction of the Declaration, Bylaws or Rules and Regulations; (b) (c)
for any period during which any Assessment against that Owner's Lot remains unpaid for a period of (30) days or more or for any infraction of the Declaration, Bylaws or Rules and Regulations; (b) (c) the right of the Association to limit the number of guests of Owners; and the right of the Association to borrow money for the purpose of maintaining, improving, or repairing the Common Elements and facilities.
Section 2.
Easements of Association. There shall exist the following easements from each Lot Owner to the Association for the benefit of the Association and each other Lot Owner (as the case may be): (a) Easements through the Common Elements for ingress and egress for all persons making use of such Common Elements in accordance with the terms of the Documents; (b) Easements through the Lots, and Common Elements for maintenance, repair, and replacement of the Common Elements including control of pests. Use of these easements, however, for access to the Lots shall be limited to reasonable hours, except that access may be had at any time in case of emergency; and (c) Easements through the Lots and through the Common Elements and all facilities for the furnishing of utility services, which facilities shall include, but not be limited to, conduits, drainage, plumbing, and wiring.
Section 3. Utility Easements. There is hereby created a blanket easement upon, across, over and under all of the Planned Community for ingress, egress, installation, replacing, repairing, and maintaining all utilities, including, but not limited to, water, sewers, storm drainage, gas, telephones, and electricity and a master television antenna system. An easement is further granted to all police, fire protection, ambulance, and all similar persons to enter upon the Common
age, gas, telephones, and electricity and a master television antenna system. An easement is further granted to all police, fire protection, ambulance, and all similar persons to enter upon the Common Elements in the performance of their duties. Further, an easement is hereby granted to the Association, its respective officers, agents and employees, and to any management company 15