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DE 200 2009030523 DECLARATION OF CONDOMINIUM FOR REGISTRATION REGISTER OF DEEDS JENNIFER H. MACNEISH NEW HANOVER COUNTY, NC 2009 AUG 25 01:38:49 PM BK:5433 PG:2545-2608 FEE: $200.00 INSTRUMENT #2009030523 FAIRWINDS HARBOR A CONDOMINIUM PHASE ONE Prepared by: Daniel D. Mahn Attorney at Law 19 North Fifth Avenue Wilmington, NC 28401 Returned To Daniel D. Mahn ARTICLE NO.

ARTICLE HEADING PAGE NO.

ARTICLE I DEFINITIONS 1 ARTICLE II SUBMISSION OF PROPERTY TO THE ACT 4 ARTICLE III MANAGEMENT OF THE CONDOMINIUM 5 ARTICLE IV EASEMENTS 10 6 ARTICLE V EMERGENCY RIGHT OF ENTRY 7 ARTICLE VI RESTRICTIONS 7 ARTICLE VII ASSESSMENTS 14 ARTICLE VIII MAINTENANCE 19 ARTICLE IX CASUALTY DAMAGE 20 ARTICLE X ARTICLE XI INSURANCE CONDEMNATION 22 25 ARTICLE XII SPECIAL DECLARANT RIGHTS 25 ARTICLE XIII DECLARANT CONTROL PERIOD 25 ARTICLE XIV AMENDMENT ARTICLE XV GARAGES ARTICLE XVI ARTICLE XVII 26 27 TERMINATION 27 DEFAULT 28 ARTICLE XVIII GENERAL PROVISIONS 29 ARTICLE XIX RIGHTS OF INSTITUTIONAL LENDERS 22 32 STATE OF NORTH CAROLINA COUNTY OF NEW HANOVER DECLARATION OF CONDOMINIUM FAIRWINDS HARBOR, A CONDOMINIUM PHASE 1 THIS DECLARATION and the exhibits which are attached hereto and made a part hereof by this reference are made and executed this 20thday of August, 2009, by FAIRWINDS HARBOR, 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”).

WITNESS ETH: 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

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“Act”).

WITNESS ETH: 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 WHEREAS, the Declarant desires to submit all of the property described on Exhibit “A” to the Act.

follows: NOW, THEREFORE, the Declarant, as the owner of the property, hereby declares as ARTICLE I DEFINITIONS 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 general partner, officer, director or employer or 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, (iii) controls in any manner the election of a majority of the directors of 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, 1 holds with power to vote, or holds proxies representing more than twenty percent (20%) of the

r acting in concert with one or more other persons, or through one or more subsidiaries, owns, controls, 1 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 FAIRWINDS HARBOR 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.

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 Condominium. The condominium created by this Declaration.

1.9 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 FAIRWINDS HARBOR, LLC, its successors and assigns, as the owner

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ly disposed of or (ii) reserves or succeeds to any special declarant right. As used herein, the term "Declarant" shall mean and refer to FAIRWINDS HARBOR, LLC, its successors and assigns, as the owner 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 for FAIRWINDS HARBOR, Phase 1, and any and all amendments hereto.

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 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 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".

2 1.14 Identifying Number. A symbol or address that identifies only one Unit in the Condominium.

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 residences, the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, 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.

eral Home Loan Mortgage Corporation, 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 such as porches. As used herein, the term “Limited Common Elements” or “Limited Common Areas" 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 18 Pages 103-110, 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, the family members, lessees, guests and invitees of such person or person and family members of such guests and invitees of such lessees.

1.19 Person. A natural person, corporation, business trust, estate, trust, partnership, association, joint venture, government, governmental subdivision or agency, or other legal or commercial entity.

1.20 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 equitable interest in a Unit other than (i) a leasehold interest (including renewal options) of less than five years, or (ii) as security for an obligation.

1.21 Residential purposes. Use for dwelling or recreational purposes, or both.

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

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urposes, or both.

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 the 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 3 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 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 or 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. Residential Units shall be used for residential purposes as herein defined. Porches and driveways shall be Limited Common Elements and shall be used solely by the owner of the Condominium Unit associated with such Limited Common Elements and their guests and invitees. Garages shall be

nd driveways shall be Limited Common Elements and shall be used solely by the owner of the Condominium Unit associated with such Limited Common Elements and their guests and invitees. Garages shall be Limited Common Elements and shall be used for the parking of the Condominium Unit owners' vehicles and those of their guests and invitees.

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 sub-flooring. The Unit shall accordingly include the decoration on all such interior and topmost surfaces, including, without limitation, all 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 other 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.

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.

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 FAIRWINDS HARBOR, Phase 1.

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obligation.

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 FAIRWINDS HARBOR, Phase 1.

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 four (4) units as shown on the Plats and Plans and does hereby designate all such Units for separate ownership.

2.4 Limited Common Elements. The Limited Common Elements or Limited Common Areas serving or designed to serve each Unit are hereby allocated solely and exclusively to each such Unit as described in section 1.17.

2.5 Plats and Plans. The plat of the Condominium is recorded in Condominium Plat Book 18 at Pages 103-110 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 Units 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 conditions or requirements upon a condominium which 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 FAIRWINDS HARBOR OWNERS ASSOCIATION, INC., a North Carolina Nonprofit

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m.

ARTICLE III THE MANAGEMENT OF THE CONDOMINIUM 3.1 Organization of Unit Owners' Association. A unit owners' association known as FAIRWINDS HARBOR 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. The By-Laws of the Association hereto attached in Exhibit “E”.

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 developer, sponsor, builder or Declarant shall not exceed a term of three (3) years and shall be 5 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

ehabilitation 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 Units 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 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

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bove, 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.

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 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 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 and be binding upon Declarant, the Association, Unit Owners, Occupants, Security Holders

essly provided in this Article, shall be perpetually in full force and effect and shall inure to the benefit of and be binding upon 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 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 other 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. To facilitate such entry, each Unit Owner, if required by the Association, shall deposit a key to his Unit with the Association.

ARTICLE VI RESTRICTIONS 6.1 Compliance Requirements. Each Unit Owner and Occupant shall comply with all 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) Residential Purposes only. The Units shall be occupied and used by Unit Owners and Occupants for residential purposes only, including parking for private owners' vehicles within the Garages as hereinafter set forth.

(b) Signs.

(1) By Unit Owners. No "For Sale or "For Rent" signs or other window

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residential purposes only, including parking for private owners' vehicles within the Garages as hereinafter set forth.

(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 for sale 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, roadways, entrances or passageways shall not be obstructed or used by any Unit Owner for any purpose other than ingress to and egress from the Units.

(2) Unit Owners, members of their families, their guests, residents, tenants and/or lessees shall not use sidewalks, roadways, entrances or passageways as play areas.

(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.

(e) Parking of Vehicles. No vehicle belonging to or being under the control of a Unit Owner or a member of the family or 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.

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t Owner or a member of the family or 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.

(f) Disturbances. Unit Owners and Occupants shall exercise reasonable care to avoid making or permitting to be made loud, disturbing or objectionable noises and in using, playing, or permitting to be used or played musical instruments, radios, CD players, television sets, amplifiers and any other instruments or devices 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. Any Unit Owner wishing to plant flowers, trees, or shrubs in any common area or limited common area must obtain written permission from the Association.

8 The Association shall have the right to remove any plant that it deems a nuisance or hazardous to any structure or person in its sole discretion.

(i) No Subdivision of Units. Except for subdivisions of Units by Declarant pursuant to N.C.G.S. Section 47C-2-110, no Unit may be subdivided into a smaller dwelling 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

on 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-3107 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 Residential Unit will have one vote in the Association. Nothing herein contained shall be construed as limiting or 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 entirety, but there shall only be one vote for the unit. The Allocated Interests are subject to reallocation as provided in Section 14.7 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; 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

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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 9 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) Structural Modifications and other Modifications. Without the prior written consent of the Association, no Unit Owner shall permit any structural modification or alteration to his Unit. 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 alter the appearance of the exterior portion of any building without the written permission of the Association being first obtained. No Unit Owner, except the Declarant during the Declarant Control Period, shall cause any

of the exterior portion of any building without the written permission of the Association being first obtained. No Unit Owner, except the Declarant during the Declarant Control Period, shall cause any object to be fixed to, constructed on, or removed from the common areas and facilities (including the location of fences and the planting or growing of flowers, trees, shrubs, or any other vegetation) or in any manner change the appearance of the common areas and facilities or limited common areas and facilities without the written consent of the Association being first obtained.

(o) Fences. Fences may be constructed around the Limited Common Area located between the Condominium Unit and the Garage associated with that Unit. Such fences must be constructed along the lines of the Limited Common Area as depicted on the recorded Condominium Plat and, prior to construction, must be approved by the Association in regard to color, height, design, quality of construction and construction materials, gating, and any other criteria deemed relevant by the Board of Directors of the Association or a committee appointed by the Board for such approvals. In the event that such fences are constructed by the Declarant or by the Unit owner, the Unit owner shall be responsible for landscaping and landscape maintenance within the fenced area. In the event that the Unit owner should fail to landscape or reasonably maintain the landscaping within the fenced area, the Association shall have the right and obligation to perform such landscaping or landscaping maintenance and the costs attributable to such work shall be individually assessed and levied against that Unit owner and collected in the same manner as an assessment levied pursuant to Article VII, Section 7.2,

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and the costs attributable to such work shall be individually assessed and levied against that Unit owner and collected in the same manner as an assessment levied pursuant to Article VII, Section 7.2, Subsection (f) of this Declaration.

(p) Approval Procedures. For the review of any proposed modifications, plantings, landscaping, fencing, or other changes or additions requested pursuant to this Article VI, the Unit owner must first submit a written proposal to the Association or to an Architectural Control Committee established by the Association for the review of such proposals. The Association or Committee may request additional documentation, plans, drawings, specifications, or other information from the Unit Owner as deemed necessary for the proper consideration of such proposal. The 10 Association, through the Board of Directors or Architectural Committee, shall have the obligation to answer in writing any written request by a Unit owner for approval of a proposed modification, planting, fencing, or other change or addition within thirty days after all requested documentation has been submitted to the Board or to the Committee. Failure to provide such written answer within such time shall constitute consent by the Association to the proposed modification, planting, landscaping, fencing, or other change or addition. The Association, Architectural Committee, and Board of Directors shall not be liable to any contractor, subcontractor, or materialman or to any person sustaining personal injury or property damage, for any claim arising from or in connection with such modification, planting, landscaping, fencing, or other approved change or addition.

(q) Abatement/Removal of Violations. The Association or its duly authorized

arising from or in connection with such modification, planting, landscaping, fencing, or other approved change or addition.

(q) Abatement/Removal of Violations. The Association or its duly authorized agent may enter upon any of the common areas or limited common areas to abate or remove, using such measures as may be reasonably necessary, any structure, planting, thing, or condition which violates this Declaration, any Supplemental Declaration, the Bylaws, the Design Guidelines, or the Rules and Regulations, or which the Association reasonably deems to be a nuisance or a hazard to any structure or person. All costs incurred, including reasonable attorney's fees, shall be assessed against the violator as an assessment levied pursuant to Article VII, Section 7.2, Subsection (f) of this Declaration.

(r) General. No improvements, exterior alteration of existing improvements (including painting), placement or posting of any object or thing on the exterior of any Unit, other structure, Common Elements, or Limited Common Elements (e.g. signs, antennae, clotheslines, playground equipment, temporarily or permanently installed basketball goals, pools, propane tanks, lighting, temporary structures, sculptures, yard decorations, and artificial vegetation), planting or removal of landscaping, or installation or removal of any irrigation system or equipment, shall take place except in compliance with this Article, this Declaration, including the Use Restrictions, the Design Guidelines, the Rules and Regulations, and with the written approval of the Association or the Architectural Committee as provided herein.

(s) Sales Offices. Other provisions of this Declaration or the By-Laws notwithstanding, Declarant may maintain offices for the sale or units in the

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n or the Architectural Committee as provided herein.

(s) 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. Unit Number shall be used initially as a model and/or sales office.

Declarant shall have the right to (1) relocate, discontinue and reestablish within the Condominium any such offices or models until all Units have been conveyed to Unit Owners other than the 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 the Declarant shall not exceed the number set out above, and 11 the size of any such relocated or reestablished office or model shall not exceed the size of the largest Unit in the Condominium.

(t) 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-2115.

6.3 Hazardous or Unlawful Use or 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

mited 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 Declarant 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 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 boats, trailers, bicycles scooters, baby carriages, or similar vehicles or toys or other personal articles shall be allowed to stand in any of the Common Elements.

6.9 Each Unit Owner shall keep such Owner's 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 or other substance.

6.10 Suitable window and door treatments must be installed by each Unit Owner in all windows and glass doors of his Unit and must be maintained in such windows and doors at all

irt or other substance.

6.10 Suitable window and door treatments must be installed by each Unit Owner in all windows and glass doors of his Unit and must be maintained in such windows and doors at all times. All drapes, curtains, or other similar materials hung in windows and doors in any manner so as to be visible from the outside of any building erected upon any lot shall be of a white or neutral background unless approved in writing by the Board of Directors of the Association.

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