59 202.00 STATE OF NORTH CAROLINA NEW HANOVER COUNTY Book 6319 Page 1455 BK: RB 6319 PG: 1455-1514 RECORDED: 06-09-2020 01:42:49 PM BY: KELLIE GILES DEPUTY 2020021039 NEW HANOVER COUNTY, NC TAMMY THEUSCH BEASLEY REGISTER OF DEEDS DECLARATION OF CONDOMINIUM FOR CB BUSINESS PARK CONDOMINIUM NC FEE $202.00 THIS DECLARATION and the exhibits which are attached hereto and made a part hereto by this reference are made and executed this 9th day of June 2020, by RGL DEVELOPMENT, LLC, a North Carolina Limited Liability Company, hereinafter called the “Declarant”, for itself, its successors, grantees and assigns, pursuant to the provisions of the North Carolina Condominium Act (N.C.G.S. Chapter 47C) (the “Act”).
WITNESSETH: WHEREAS, the Declarant is the owner in fee simple of a certain tract of real property (the "Property") situated in NEW HANOVER County, North Carolina, more particularly described on Exhibit "A" attached hereto and made a part hereof, together with all improvements now or hereafter constructed or located thereon, and all rights, privileges, easements and appurtenances belonging to or in any way pertaining to said real property; and Act.
follows: WHEREAS, the Declarant desires to submit the property described on Exhibit “A”" to the NOW, THEREFORE, the Declarant, as the owner of the property, hereby declares as ARTICLE I DEFINITIONS Book 6319 Page 1456 When used herein the following terms shall have the following meanings: 1.1 Act. The North Carolina Condominium Act (N.C.G.S. Chapter 47C).
1.2 Affiliate of a Declarant. Any person who controls, is controlled by or is under common control with the Declarant. A person "controls" the Declarant if the person (i) is a member or manager of the Declarant, (ii) directly or indirectly or acting in concert with one or
or is under common control with the Declarant. A person "controls" the Declarant if the person (i) is a member or manager of the Declarant, (ii) directly or indirectly or acting in concert with one or more other persons, or through one or more subsidiaries, owns, controls, holds with power to vote, or holds proxies representing, more than twenty percent (20%) of the voting interests in the Declarant. A person "is controlled by” the Declarant if the Declarant (i) is a general partner, officer, director, or employer of the person; (ii) directly or indirectly or acting in concert with one or more other persons, or through one or more subsidiaries, owns, controls, holds with power to vote, or holds proxies representing more than twenty percent (20%) of the voting interests in the persons; (iii) controls in any manner the election of a majority of the directors of the person; or (iv) has contributed more than twenty percent (20%) of the capital of the person. Control does not exist if the powers described in this paragraph are held solely as security for an obligation and are not exercised.
1.3 Allocated interests. The undivided interests in the common elements, the common expense liability and votes in the association allocated to each unit.
1.4 Association or Unit Owners' Association. As used herein it shall mean and refer to CB BUSINESS PARK CONDOMINIUM UNIT OWNERS ASSOCIATION, INC., a North Carolina Nonprofit Corporation, which was organized under N.C.G.S. Section 47C-3-101.
1.5 Common Elements. All portions of the Condominium not encompassed and included within the Condominium Units. Limited Common Elements are Common Elements.
1.6 Common Expenses. Expenditures made by or financial liabilities of the Association, together with any allocations to reserves.
in the Condominium Units. Limited Common Elements are Common Elements.
1.6 Common Expenses. Expenditures made by or financial liabilities of the Association, together with any allocations to reserves.
1.7 Common Expense Liability. The liability for common expenses allocated to each Unit pursuant to N.C.G.S. Section 47C-2-107.
1.8 1.9 Condominium. The Condominium created by this Declaration.
Declarant. Any person or group of persons acting in concert who (i) as part of a common promotional plan offers to dispose of his or its interest in a unit not previously disposed of or (ii) reserves or succeeds to any special declarant right. As used herein, the term “Declarant” shall mean and refer to RGL DEVELOPMENT, LLC, its successors and assigns, as the owners of the property. The rights of a person or entity as Declarant under this Declaration of Condominium and By-Laws of the Association shall be subject to all limitations and consents as shall be hereinafter set out in this Declaration.
1.10 Declaration. The Declaration of Condominium CB BUSINESS PARK CONDOMINMIUM, and any and all amendments hereto.
Book 6319 Page 1457 1.11 Development Rights. Any right or combination of rights reserved by the Declarant in this Declaration to create Units, Common Elements or Limited Common Elements within the condominium; to subdivide Units or convert Units into Common Elements; or to add or withdraw real estate from the Condominium.
1.12 Dispose or Disposition.
A voluntary transfer to a purchaser of any legal or equitable interest in a Unit, but not a transfer or a release of a security interest.
1.13 Executive Board. The body, regardless of name, designated in the Declaration to act on behalf of the Association. It shall be designated herein as the “Board of Directors” or "Board".
y interest.
1.13 Executive Board. The body, regardless of name, designated in the Declaration to act on behalf of the Association. It shall be designated herein as the “Board of Directors” or "Board".
1.14 Identifying Number.
Condominium.
A symbol or address that identifies only one Unit in the 1.15 Institutional Lender. Banks, savings and loan associations, mortgage companies, mortgage insurers, mortgage guarantors, insurance companies, other firms or entities customarily affording loans secured by first liens on condominium Units, and eligible insurers and governmental guarantors.
1.16 Lessees. The party entitled to present possession of a leased Unit whether a lessee, sublessee or assignee.
1.17 Limited Common Elements. A portion of the common elements allocated by this Declaration or by operation of N.C.G.S. Section 47C-2-102(2) or (4) for the exclusive use of one or more but fewer than all of the units. As used herein, the term “Limited Common Elements" shall also mean and refer to the following: Limited Common Elements as may be shown on the Plats and Plans recorded in Condominium Plat Book 19, Pages 162-166 NEW HANOVER County Registry, or as shown on Exhibit "B" to this Declaration or otherwise by the Declarant.
1.18 Occupant. Any person or persons in possession of a Unit including unit owners, lessees, guests and invitees of such person or person guests and invitees of such lessees.
1.19 Person. 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 entity.
1.20 Property. The real estate described on Exhibit "A" hereto attached, together with
association, joint venture, government, governmental subdivision or agency, or other legal or commercial entity.
1.20 Property. The real estate described on Exhibit "A" hereto attached, together with all improvements now or hereafter constructed or locate thereon, and all rights, privileges, easements and appurtenances belonging to or in any way pertaining to said real estate.
1.21 Purchaser. Any person, other than the Declarant or a person in the business of selling real estate for his own account, who by means of a voluntary transfer acquires a legal or Book 6319 Page 1458 equitable interest in a Unit other than (i) a leasehold interest (including renewal options) of less than five years, or (iii) as security for an obligation.
1.22 Security for an Obligation. The vendor's interest in a contract for deed, mortgagee's interest in a mortgage, trustee's interest in a deed of trust, purchaser's interest under a Sheriff's certificate of sale during the period of redemption or the holder's interest in a lien.
1.23 Security Holder. Any person owning a Security for an obligation in a Unit.
1.24 Special Declarant Rights. Rights reserved herein and in the By-Laws for the benefit of the Declarant to complete improvements indicated on Plats and Plans filed with the Declaration (N.C.G.S. Section 47C-2-109); to exercise any development right (N.C.G.S. Section 47C-2-110); to maintain sales offices, management offices, signs advertising the Condominium, and models (N.C.G.S. Section 47C-2-115); to use easements through the common elements for the purpose of making improvements within the Condominium or within real estate which may be added to the Condominium (N.C.G.S. Section 47C-2-116); to make the Condominium part of a
ommon elements for the purpose of making improvements within the Condominium or within real estate which may be added to the Condominium (N.C.G.S. Section 47C-2-116); to make the Condominium part of a ·larger Condominium (N.C.G.S. 47C-2-121); or to appoint or remove any officer of the Association or any executive board member during any period of declarant control (N.C.G.S.
Section 47C-3-103 (d)).
1.25 Unit. A physical portion of the Condominium designed for separate ownership of occupancy, together with its percentage of undivided interest in the Common Elements as set forth in Exhibit “C”. Each Unit is designated and delineated in the Plats and Plans. All Units shall be used for commercial business purposes as herein defined.
1.26 Unit Boundaries. The boundaries of each Unit, both as to vertical and horizontal planes, as shown on the plats and plans, are the undecorated surfaces of the perimeter walls, unfinished and unscreened surfaces of the screened walls of the porches, exterior doors and exterior windows facing the interior of the Unit, the undecorated surface of the ceiling facing the interior of the Unit, and the topmost surfaces of the subflooring. The Unit shall accordingly include the decoration on all such interior and topmost surfaces, including, without limitation, all of the paneling, tiles, wallpaper, paint, finished flooring, screening on the porches, and any other materials constituting any part of the decorated surfaces thereof, and also includes all spaces, interior partitions and all fixtures and improvements within the Unit boundaries as defined in the first sentence of this Paragraph 1.26. The delineation between items which are part of the Unit and items which are part of the Common Elements shall be as set out in N.C.G.S. Section 47C-2-102.
n the first sentence of this Paragraph 1.26. The delineation between items which are part of the Unit and items which are part of the Common Elements shall be as set out in N.C.G.S. Section 47C-2-102.
1.27 Unit Owner. The Declarant or other person who owns a Unit in fee simple, but does not include a person having an interest in a Unit solely as security for an obligation.
1.28 Use. All Units shall be used for commercial business purposes consistent with applicable zoning and land use regulations.
Book 6319 Page 1459 ARTICLE II SUBMISSION OF PROPERTY TO THE ACT 2.1 Submission. Declarant hereby submits the Property to the Act.
2.2 Name. The Property shall hereafter be known as CB BUISINESS PARK CONDOMINIUM.
2.3 Division of Property into Separately Owned Units. Declarant, pursuant to the Act, and to establish a plan of Condominium ownership for the Condominium, does hereby divide the Property into Twenty Four (24) ‘units as shown on the Plats and Plans and does hereby designate all Units for separate ownership.
2.4 Limited Common Elements. The Limited Common Elements serving or designed to serve each Unit are hereby allocated solely and exclusively to each such Unit as described in Section 1.17.
Book 2.5 Plats and Plans. The plat of the Condominium is recorded in Condominium Plat at Pages NEW HANOVER County Registry. The plat complies with N.C.G.S. Section 47C-2-109.
, 2.6 Encumbrances. The liens, defects and encumbrances on the Property to which the rights of Unit Owners and Occupants are hereby made subject are set out on Exhibit "D" attached hereto.
2.7 Condominium Ordinance. The Condominium is not subject to any zoning, subdivision, building code, or other real estate use law, ordinance or regulation (ii) imposing
on Exhibit "D" attached hereto.
2.7 Condominium Ordinance. The Condominium is not subject to any zoning, subdivision, building code, or other real estate use law, ordinance or regulation (ii) imposing conditions or requirements upon a Condominium that are not imposed upon substantially similar developments under a different form of ownership. This statement is made pursuant to N.C.G.S.
Section 47C-1-106 for the purpose of providing marketable title to the Units in the Condominium.
ARTICLE III THE MANAGEMENT OF THE CONDOMINIUM 3.1 Organization of Unit Owners' Association. A unit owners' association known as CB BUSINESS PARK CONDOMINIUM UNIT OWNERS ASSOCIATION, INC., A North Carolina Nonprofit Corporation, has been organized to manage the Condominium. The Association is hereby granted the authority to enforce the provisions of this Declaration, to levy and collect assessments as hereinafter provided, and to adopt, promulgate and enforce such rules and regulations governing the use of the Units and the Common Elements as the Board of Directors of the Association deems in the best interests of the Association.
Book 6319 Page 1460 3.2 Powers of Unit Owners Association. The Association shall have the powers set forth in N.C.G.S. Section 47C-3-102, subject to the restrictions set forth in N.C.G:S. Section 47C-3-102(b).
3.3 Board of Directors and Officers. Except as provided in the By-Laws, the members of the Board of Directors and the Officers shall be governed by the terms and conditions set forth in N.C.G.S. Section 47C-3-103.
3.4 Management Agreements. Any management agreement between the Declarant or the Association and a professional manager or any other agreement providing for services of the
N.C.G.S. Section 47C-3-103.
3.4 Management Agreements. Any management agreement between the Declarant or the Association and a professional manager or any other agreement providing for services of the developer, sponsor, or Declarant shall not exceed a term of three (3) years and shall be subject to renewal by the consent of both parties and shall be consistent with Section 17.12 of this Declaration.
ARTICLE IV EASEMENTS 4.1 Encroachments. If, by reason of the construction, reconstruction, rehabilitation or alteration of the improvements comprising a part of the Property, any part of the Common Elements now or hereafter encroaches upon any part of any Unit, or any part of any Unit now or hereafter encroaches upon any part of the Common Elements, or upon any part of another Unit, an easement for the continued existence and maintenance of each such encroachment is hereby declared and granted and shall continue for so long as each encroachment exists, subject to the terms of N.C.G.S. Section 47C-2-114. However, in no event shall an easement for such encroachment be created if the encroachment is detrimental to or interferes with the reasonable use and enjoyment of the Common Elements or Unit so encroached upon.
4.2 Easements Through Walls.
Easements are hereby declared and granted to the Association and to such persons as are authorized by the Association to install, lay, maintain, repair and replace any chutes, flues, ducts, vents, pipes, wires, conduits and other utility installations and structural components running through the walls of the Units, whether or not such walls lie in whole or in part within the boundaries of any Unit.
4.3 Easements in Common Elements.
The Common Elements shall be, and the
nts running through the walls of the Units, whether or not such walls lie in whole or in part within the boundaries of any Unit.
4.3 Easements in Common Elements.
The Common Elements shall be, and the same are hereby, declared to be subject to a perpetual non-exclusive easement in favor of all Unit Owners for use by them and their immediate families, guests and invitees for all proper and normal purposes and for the furnishing of services and facilities for which the same are reasonably intended for the enjoyment of said Unit Owners. Notwithstanding the above, the Association or the Declarant shall have the exclusive right to establish the rules and regulations pursuant to which the Unit Owners may be entitled to use the Common Elements, including the right to make permanent and temporary assignments of unassigned parking spaces and to establish regulations concerning the use thereof. The Declarant and the Association shall have the right to grant permits, licenses and easements over the Common Elements, for utilities, roads and other purposes necessary for the proper operation of the Property.
Book 6319 Page 1461 4.4 Easements to Repair, Maintain, Restore and Reconstruct. Wherever in, and whenever by, this Declaration, the By-Laws of the Association, or of the Act, a Unit Owner, the Association, the Board, or any other person is authorized to enter upon a Unit or the Common Elements to repair, maintain, restore or reconstruct all or any part of a Unit or the Common Elements, such easements as are necessary for such entry and such repair, maintenance, restoration or reconstruction are hereby declared and granted.
4.5 Declarant's Easement. Pursuant to N.C.G.S. Section 47C-2-116, Declarant hereby
necessary for such entry and such repair, maintenance, restoration or reconstruction are hereby declared and granted.
4.5 Declarant's Easement. Pursuant to N.C.G.S. Section 47C-2-116, Declarant hereby reserves such easements through the Common Elements as may be reasonably necessary to discharge its obligations, exercise Special Declarant Rights and complete the development and construction of the Condominium. The easements shall exist as long as reasonably necessary for such purposes.
4.6 Utility Easements. Easements are reserved throughout the Condominium property, units, and common elements, as may be required for the installation, maintenance, repair, and replacement of all sewer, water, electrical power and telephone lines, water meters, water distribution machinery, pipes, mains, conduits, poles, transformers, and any and all other equipment or machinery necessary or incidental to the proper functioning of any utility services in order to adequately serve the Units. This Declaration is subject to easements of record.
4.7 Easements for Emergency Vehicles. All lawful agencies of the City of Wilmington, New Hanover County, the State of North Carolina, and the United States Government shall have a perpetual nonexclusive easement to enter upon all roadways and driveways for purposes of maintaining the safety, health, welfare, police and fire protection of the citizens of the City of Carolina Beach, New Hanover County, the State of North Carolina, including the occupants of the Condominium.
4.8 Easements to Run With Land. All easements and rights described in this Article are appurtenant easements running with the land and, except as otherwise expressly provided in this Article, shall be perpetually in full force and effect and shall inure to the benefit of
his Article are appurtenant easements running with the land and, except as otherwise expressly provided in this Article, shall be perpetually in full force and effect and shall inure to the benefit of and be binding upon the Declarant, the Association, Unit Owners, Occupants, Security Holders and any other persons having any interest in the Condominium or any part thereof. The Condominium and every part thereof shall be conveyed and encumbered subject to and together with all of the easements and rights described in this Article, whether or not specifically mentioned in any such conveyance or encumbrance.
ARTICLE V EMERGENCY RIGHT OF ENTRY 5.1 In case of any emergency originating in or threatening any Condominium Unit, regardless of whether the Owner is then present, the Board of Directors of the Association, or any person authorized by it, or the Managing Agent, shall have the right to immediately enter the Unit to remedy or abate the cause of the emergency.
Book 6319 Page 1462 ARTICLE VI RESTRICTIONS 6.1 Compliance Requirements. Each Unit Owner and Occupant shall comply with all the applicable provisions of the Act, this Declaration, the By-Laws, and the rules and regulations promulgated by the Board or the Association, as amended. Failure to comply shall be grounds for an action by the Association, an aggrieved Unit owner or any person adversely affected for recovery of damages, injunction or other relief.
6.2 Use Restrictions.
(a) Commercial Business Purposes. The Units shall be occupied and used by Unit Owners and Occupants for commercial business purposes, including permitted uses allowable under applicable zoning and land use ordinances.
(b) Signs.
(1) By Unit Owners. No "For Sale" or "For Rent” signs or other window
s for commercial business purposes, including permitted uses allowable under applicable zoning and land use ordinances.
(b) Signs.
(1) By Unit Owners. No "For Sale" or "For Rent” signs or other window displays or advertising shall be maintained or permitted by any Unit Owner or Occupant on any part of the Condominium without the prior written consent of the Board.
(2) By Declarant. Declarant may maintain signs on the Common Elements advertising the Condominium until all Units have been conveyed to owners other than Declarant. Declarant shall remove all signs not later than thirty (30) days after all of the Units have been conveyed to owners other than Declarant and shall repair all damage done by removal of such signs. All such signs must comply with all applicable federal, state and local laws and ordinances.
(c) Obstruction of Ways.
(1) Common sidewalks, driveways, entrances or passageways shall not be obstructed or used by any Unit Owner for any purpose other thaningress to and egress from the Units.
(2) Unit Owners, members, their guests, residents, tenants and/or lessees shall not obstruct sidewalks, driveways, entrances or passageways.
(d) Personal Property in Common Elements. Except as to the areas termed Limited Common Elements, no article of personal property shall be placed on or in any of the Common Elements except for those articles of personal property which are the common property of all of the Unit Owners.
Book 6319 Page 1463 (e) Parking of Vehicles. No vehicle belonging to or being under the control of a Unit Owner or a member of a guest, tenant, lessee or employee of a Unit Owner shall be parked in such manner as to impede or prevent ready access to any entrance to or exit from a building. Vehicles shall only be
r a member of a guest, tenant, lessee or employee of a Unit Owner shall be parked in such manner as to impede or prevent ready access to any entrance to or exit from a building. Vehicles shall only be parked in marked, assigned parking spaces, one vehicle per space, and not on any grassed or landscaped areas. Declarant has assigned two numbered parking spaces to each Unit, which parking spaces are numbered with the same number as the Unit except that the parking spaces are identified with the letter "LCA” signifying identification of a parking space as limited common area for the use of the named unit. Once the parking space has been assigned to a Unit and the Unit is sold by the Declarant, the parking space shall remain with the Unit in perpetuity and cannot be severed from the assigned Unit by the Unit Owner.
The Declarant reserves the right to unilaterally amend this Declaration and to re-assign unsold parking spaces so long as Declarant owns at least one Unit.
The intent hereunder is the allow the Declarant to reassign parking spaces in the event Units are subdivided and/or combined with another.
(f) Disturbances. Unit Owners and Occupants shall exercise reasonable care to avoid making or permitting to be made loud, disturbing or objectionable noises in such manner as may disturb or tend to disturb Unit Owners, tenants or Occupants of other Units.
(g) No Liability for Storage of Articles.
The association assumes no liability for, nor shall it be liable for, any loss or damage to articles stored in the Common Elements or other storage areas.
(h) Plants. No Unit Owner shall remove plants of any description from the Property without the prior written consent of the Board of Directors.
(i) No Subdivision of Units. Except for the subdivision of Units by Declarant
wner shall remove plants of any description from the Property without the prior written consent of the Board of Directors.
(i) No Subdivision of Units. Except for the subdivision of Units by Declarant pursuant to N.C.G.S. Section 47C-2-110, no Unit may be subdivided into a smaller unit or added to or incorporated into any other Unit except with the unanimous written approval of all members of the Association. Any such permitted subdivision of Units shall be pursuant to N.C.G.S. Section 47C-2-113.
(j) Allocation of Common Elements, Interests, Votes and Common Expense Liabilities. The allocation of Common Elements, Interests, Votes and Common Expenses liabilities shall be pursuant to N.C.G.S Section 47C-3-107 and as set forth on Exhibit “C” attached hereto and incorporated herein by reference. Each unit in the Condominium shall have appurtenant thereto an Allocated Interest in the Common Elements and Common Expense Liability equal to the share of every other Unit, except for minor deviations due to rounding off of percentages. Each Unit will have one vote in the Association. Nothing herein contained shall be construed as limiting or Book 6319 Page 1464 preventing ownership of any Condominium Unit and its appurtenant undivided interest in the Common Elements by more than one person or entity as tenants in common, joint tenants or as tenants by the entireties. The Allocated Interests are subject to reallocation as provided in Section 18 below.
(k) Conveyance or Encumbrance of Common Elements. Any conveyance or encumbrance of the Common Elements shall be pursuant to N.C.G.S. Section 47C-3-112.
(1) No Immoral Purposes. No immoral, improper, offensive or unlawful use shall be made of any Unit or of the Common Elements, or any part thereof;
ents shall be pursuant to N.C.G.S. Section 47C-3-112.
(1) No Immoral Purposes. No immoral, improper, offensive or unlawful use shall be made of any Unit or of the Common Elements, or any part thereof; and all laws, ordinances and regulations of all governmental authorities having jurisdiction of the Condominium shall be observed.
(m) Units Owned by Corporations. A Corporate member other than the Declarant shall restrict use of its Units to its principal officers or directors or their guests, or to lessees. Such corporate member shall annually sign and deliver to the Association a written statement naming the parties entitled to use its Units, together with a written covenant of the user agreeing to comply with the provisions of this Declaration, the By-Laws and the Rules and Regulations and acknowledging that the right of use shall exist only so long as the corporation remains a member of the Association. Upon demand by the Association for any reason, the corporate member shall promptly remove the user within ten (10) days of receipt of notice, failing which the Association, as agent of the Unit Owner, may take whatever actions it deems appropriate to remove the user. All costs incident to such action, including court costs and attorney's fees, shall be assessed against the Unit and Unit Owner involved, and shall become a lien against such Unit, to the same extent allowed under Article VII of this Declaration.
(n) Alternations/Structural Modifications. Except as hereinafter provided, without the prior written consent of Declarant or the Association, no Unit Owner shall permit any alteration or structural modification to their Unit.
Such consent may be withheld if the Declarant or a majority of the Board of
consent of Declarant or the Association, no Unit Owner shall permit any alteration or structural modification to their Unit.
Such consent may be withheld if the Declarant or a majority of the Board of Directors determines, in their sole and absolute discretion, that the modification or alteration would in any manner adversely affect the Condominium or any Unit Owner. Except as hereinafter provided, no Unit Owner shall cause any modifications or alterations to be made to the exterior of the Condominium, including painting or other decoration, or the installation of electrical wiring, television or radio antennae, machines or air conditioning units, which may protrude through the walls or roof of the Condominium, or in any manner change the appearance of any portion of the building not within the walls of each Condominium Unit. No construction, alteration, or installation may be commenced until the Declarant or the Association approves of the plans and specifications, and the Declarant or the Association shall have Book 6319 Page 1465 6.3 the absolute and unqualified right to reject any proposed construction, installation, or alteration which fails to qualify under the specifications contained herein.
(o) Sales Offices. Other provisions of this Declaration or the By-Laws notwithstanding, Declarant may maintain offices for the sale or units in the Condominium and models, all pursuant to N.C.G.S Section 47C-2-115.
Declarant shall have the right to (1) re-locate, discontinue and reestablish within the Condominium any such offices or models until all Units have been conveyed to Unit Owners other than a Declarant; and (2) change the use of such offices or models, provided that they shall be used only for sales purposes
h offices or models until all Units have been conveyed to Unit Owners other than a Declarant; and (2) change the use of such offices or models, provided that they shall be used only for sales purposes or models. The total number of such offices or models maintained at any time by a Declarant shall not exceed two, and the size of any such relocated or reestablished offices or models shall not exceed the size of the largest Unit in the Condominium.
(p) Management Office. Other provisions of this Declaration or the By-Laws notwithstanding, the Declarant may maintain an office in the Condominium for management of the Condominium pursuant to N.C.G.S.
Section 47C-2-115.
(q) No Smoking in Common Areas, Limited Common Areas and Units.
There shall be no smoking allowed in the Common Areas, Limited Common Areas and Units of the Condominium, no exceptions.
Hazardous or Unlawful Use of Waste. Nothing shall be done to or kept in any Unit or on or about the Common Elements or Limited Common Elements that will increase any rate of, or result in the cancellation of, insurance maintained with respect to the Condominium, or that would be in violation of any law, or that will result in the commitment of waste (damage, abuse or destruction) to or in any Unit or the Common Elements or Limited Common Elements.
6.4 Alterations to Units. A Unit may be altered pursuant to the provisions of N.C.G.S. Section 47C-2-111 and pursuant to this Declaration. The boundaries between adjoining Units may be relocated pursuant to N.C.G.S. Section 47C-2-112.
6.5 Alterations to Common Elements. No Unit Owner or Occupant, except Delcarant during the Declarant Control Period, shall alter or construct anything upon or remove
ant to N.C.G.S. Section 47C-2-112.
6.5 Alterations to Common Elements. No Unit Owner or Occupant, except Delcarant during the Declarant Control Period, shall alter or construct anything upon or remove anything from the Common Elements or paint, decorate, landscape or adorn any portion of the common Elements without the prior written consent of the Board.
6.6 Rules and Regulations. In addition to these covenants, Rules and Regulations not in conflict herewith and supplementary hereto may be promulgated and amended from time to time by the Board or the Association, as more fully provided in the By-Laws.
6.7 Covenants to Run with Land.
Each Unit Owner and Occupant shall be Book 6319 Page 1466 subject to all restrictions, conditions and covenants of this declaration, all of which shall be deemed to be covenants running with the land binding every person having any interest in the Property and inuring to the benefit of all such persons.
6.8 No trailers or other personal articles shall be allowed to stand in any of the Common Elements.
6.9 Each Unit Owner shall keep their Unit in a good state of preservation and cleanliness and shall not sweep or throw or permit to be swept or thrown therefrom, or from the doors or windows thereof, any dirt of other substance.
6.10 No shades, window treatments, awnings, window guards, ventilators, fans, or air conditioning devices shall be used in or about the units except as shall have been approved by the Board.
6.11 All garbage and refuse from the Units shall be deposited with care in garbage containers provided in the Common Areas.
6.12 the Property.
No bird or animal shall be kept or harbored in any Unit or Common Elements of 6.13 All radio, television or other electrical equipment of any kind or nature installed or
mmon Areas.
6.12 the Property.
No bird or animal shall be kept or harbored in any Unit or Common Elements of 6.13 All radio, television or other electrical equipment of any kind or nature installed or used in each Unit shall fully comply with all rules, regulations, requirements, or recommendations of the Board of Fire Underwriters and the public authorities having jurisdiction, and the Unit owner alone shall be liable for any damage or injury caused by any radio, television, or other electrical equipment in such Unit.
6.14 The agents of the Board and any contractor or workman authorized by the Board may enter any room or unit in the building at any reasonable hour of the day after notification (except in case of emergency) for the purpose of inspecting such Unit for the presence of any vermin, insects, or other pests and for the purpose of taking such measures as may be necessary to control or exterminate any such vermin, insects or other pests.
6.15 All damage to the Units caused by the moving or carrying of any article therein shall be paid by the Unit Owner responsible for the presence of such article.
6.16 The Unit Owners shall not be allowed to put their business names on any entry of the Units except in the proper places provided for such purpose and in accordance with applicable rules adopted by the Association and in conformance with applicable municipal ordiances.
6.17 Any damage to the buildings, recreational facilities, or other Common Elements or equipment caused by the Unit Owners, their children, or their guests shall be repaired at the expense of the Unit owner.
6.18 No motor vehicles without a current inspection certificate, or any other type of junked or non-operable motor vehicle shall be permitted on the Common Elements or Limited Book 6319 Page 1467
ner.
6.18 No motor vehicles without a current inspection certificate, or any other type of junked or non-operable motor vehicle shall be permitted on the Common Elements or Limited Book 6319 Page 1467 Common Elements. Any drips or spills from any vehicles must be immediately cleaned up by the owner of the vehicle. If such owner shall fail to remove such drips or spills, the costs of removal and repair of the area of the parking area or driveway affected by the drip or spill shall be charged to the responsible Unit Owner and collected by the Association in the same manner as a regular or special assessment.
6.19 These use restrictions may be amended to or repealed at any time by the Association in accordance with the Act, this Declaration, and the By-Laws.
ARTICLE VII ASSESSMENTS 7.1 Budget The Board of Directors of the Association shall (a) Adoption by Board.
establish, in advance, an Annual Budget for each fiscal year, which shall correspond to the calendar year, except that in the initial year of operation the fiscal year shall commence with the closing of the sale of the first Unit or with the decision by the Board to make Common Expense assessments, whichever is later. The budget shall project all expenses for the forthcoming year required for the proper operation, management and maintenance of the Condominium, including a reasonable allowance for contingencies and reserves. It shall take into account projected anticipated income, which is to be applied in reduction of the amount required to be collected as an assessment each year. The Board of Directors shall keep items relating to operations and maintenance separate from items relating to capital improvements, included as Common Expenses shall be
ed as an assessment each year. The Board of Directors shall keep items relating to operations and maintenance separate from items relating to capital improvements, included as Common Expenses shall be the cost of maintaining leaseholds, memberships and other possessory or use interests in lands or facilities to provide enjoyment, recreation or other use or benefit to Unit Owners, all as may be now or hereafter acquired by lease or agreement in form and content, and containing provisions satisfactory to the Board of Directors.
(b) Copy to Unit Owners. Upon adoption of the budget by the Board of Directors, a copy of it shall be delivered to each Unit Owner, and the assessment for that year shall be established based upon it. However, the failure of the Board, or delay by it, in preparing the Budget, or its failure to deliver a copy of the Budget to each Unit Owner, shall not affect the liability of any Unit Owner to pay assessments whenever the same shall be determined and levied by the Board.
(c) Fund and Reserves. The Board of Directors shall designate in the Budget sums to be collected from assessments and maintained as a reserve to cover repairs, replacements and other general operating expenses, maintenance items and working capital. WHEN TITLE IS CONVEYED TO A UNIT OWNER FROM THE DECLARANT, THE UNIT OWNER SHALL CONTRIBUTE TO THE ASSOCIATION, AS A NONREFUNDABLE WORKING CAPITAL Book 6319 Page 1468 7.2 ASSESSMENT IN AN AMOUNT EQUAL TO TWO MONTHS COMMON AREA FEES. Such funds shall be used solely for initial operating and capital Expenses of the Association, such as pre-paid insurance, supplies, maintenance of the Common Elements, furnishings and equipment and similar matters.
Upon selection of the regular management agent, the interim management agent
n, such as pre-paid insurance, supplies, maintenance of the Common Elements, furnishings and equipment and similar matters.
Upon selection of the regular management agent, the interim management agent shall pay all unused funds to the account of the Association and provide an accounting of all revenues and expenditures. Amounts paid into the working capital fund are not to be considered as advance payment of regular assessments.
All monies collected by the Association shall be treated as the separate property of the Association and may be applied by the Association to the payment of any expense of operating and managing the Condominium, or to the proper undertaking of all acts and duties imposed upon it by virtue of this Declaration, and the By-Laws. Monies so paid to the Association by any Unit Owner may be commingled with monies paid to it by the other Unit Owners.
Assessments for Common Expenses.
(a) Until the Association makes a Common Expense assessment, the Declarant shall pay all of the Common Expenses. After any assessment has been made by the Association, assessments thereafter must be made at least annually, and such assessment shall be payable in annual, quarterly, monthly or such other installments and at such times as may be determined by the Board of Directors, but at least annually. Unit Owners shall be subject to assessment by the Board of Directors upon acquiring title to their Unit. The Declarant shall not be liable for assessments for unsold Units contemplated by this Declaration until such time as said Unit is (i) completed and a certificate of occupancy is issued therefore; and (ii) occupied or used for model, sales or other purposes by the Declarant. No Unit owner may exempt himself from liability for any assessment
ed and a certificate of occupancy is issued therefore; and (ii) occupied or used for model, sales or other purposes by the Declarant. No Unit owner may exempt himself from liability for any assessment levied against him and his Unit by waiver of the use or enjoyment of any of the Common Elements, or by abandonment of the Unit, or in any other way.
(b) Except for assessments under subsections (c), (d), and (e), all Common Expenses must be assessed against all the Units in accordance with the allocations set forth in Exhibit "C" of the Declaration pursuant to N.C.G.S. Section 47C-2-107(a).
Any past due Common Expense assessment or installment shall bear interest at the maximum legal rate then in effect, not to exceed the rate of eighteen percent (18%) per annum.
(c) Assessments shall be allocated as follows: (1) any Common Expense associated with maintenance, repair or replacement of a Limited Common Element must be assessed equally against the Units to which that Limited Common Element is assigned.
(2) any Common Expense or portion thereof benefiting fewer than all of the Units must be assessed exclusively against the Units benefited, in such shares as the Association shall deem equitable.
Book 6319 Page 1469 (d) Assessments to pay a judgment against the Association pursuant to N.C.G.S.
Section 47C-3-117(a) may be made only against the Units in the Condominium at the time the judgment was entered, in proportion to their common expense liabilities.
(e) If any Common Expense is caused by the misconduct of any Unit Owner, the Association may assess that expense exclusively against his Unit.
(f) If Common Expense Liabilities are reallocated, Common Expense assessments and any installment thereof not yet due shall be recalculated in accordance with the
expense exclusively against his Unit.
(f) If Common Expense Liabilities are reallocated, Common Expense assessments and any installment thereof not yet due shall be recalculated in accordance with the reallocated Common Expense liabilities.
7.3 Board's Authority to Levy Additional Assessments. Should the Board of Directors at any time determine, in its sole discretion, that the assessments levied are or may prove to be insufficient to pay the costs of operation and management of the Condominium, or in the event of emergencies, the Board of Directors shall have the authority to levy such additional assessments as it may deem necessary.
7.4 Assessment Roll and Certificate. All assessments shall be set forth upon a roll of the Units, which shall be available in the office of the Association for inspection at all reasonable times by members, security holders and their duly authorized representatives. The roll shall include, for each Unit, the name and address of each member, all assessments levied and the amount of all assessments unpaid. The Association, upon written request, shall furnish to a Unit Owner, or his authorized agent, a recordable certificate setting forth the amount of unpaid assessments currently levied against his Unit. The certificate shall be furnished within seven (7) business days after receipt of the re-quest and shall be binding upon the Association and all Unit Owners. The Board may charge a reasonable fee for issuance of such certificate.
7.5 Payment of Assessment. All monies owed to the Association shall be payable at its main office. Any assessment or installment thereof due to the Association shall be in default if not paid within thirty (30) days of the due date for payment. However, the failure of
be payable at its main office. Any assessment or installment thereof due to the Association shall be in default if not paid within thirty (30) days of the due date for payment. However, the failure of the Board, or its delay, in levying assessments shall not constitute a waiver or release of the members' obligation to pay assessments when the same shall be determined and levied by the Board. Also, any deficiencies or inadequacies in the procedure followed by the Board in levying an assessment shall not in any way affect its validity or the obligation of members to pay such assessment.
7.6 Lien for Assessment.
(a) Any assessment levied against a Unit remaining unpaid for a period of thirty (30) days or longer shall constitute a lien on that Unit when filed of record in the Office of the Clerk of Superior Court of New Hanover County in the manner provided therefore by Article 8 of Chapter 44 of The North Carolina General Statues. The Association's lien may be foreclosed in like manner as a mortgage on real estate under power of sale under Article 2A of Chapter 45 of the North Carolina General Statutes. Fees, charges, late