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HomeMy WebLinkAboutItem #05 Approval of Joinder and Consent to Amended and Restated Master Declaration - Wesmere Cove I FOLEY AGENDA ITEM COVER SHEET Meeting Date: January 15, 2008 Item # 5 Contact Name: Contact Number: Paul E. Rosenthal, City Attorney 407 -423-7656 Reviewed By: Department Director: City Manager: Mk~ Subject: Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove Background Summary: Lake Butler Professional Center, LLC, Wesmere Development, LLC, and Morrison Homes, Inc. (collectively, the "Applicant") have requested that the City consent to an Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove (the "Restated Declaration"). The main purposes of the Restated Declaration are to: (1) combine into one document the prior recorded Declaration for the Wesmere Property and several subsequent amendments thereto, (2) clarify the financial obligations of the owners of the "Multifamily Parcel" and the "Commercial Parcel" related to common area expenses, and (3) simplify the membership and voting structure of master property owners association. In addition, the Restated Declaration utilizes platted lot and tract legal descriptions for the subject property in lieu of the metes and bounds legal descriptions that were previously used. The Restated Declaration contains all of the standard provisions that the City required in connection with the City's approval of the Villages of Wesmere Plat. Issue: Should the Mayor and City Commissioners consent to the Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove? Recommendation: Staff respectfully recommends that the Mayor and City Commissioners consent to the Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove and authorize the Mayor and City Clerk to execute a Joinder and Consent to the Restated Declaration, as requested by the Applicant. Attachment: Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove. Financial Impact: N/A Type of Item: D Public Hearing D Ordinance First Reading D Ordinance Second Reading D Resolution [gI Commission Approval D Discussion & Direction For Clerk's DeDt Use: D Consent Agenda D Public Hearing D Regular Agenda D Original Document/Contract Attached for Execution by City Clerk [gI Original Document/Contract Held by Department for Execution Reviewed by City Attorney Reviewed by Finance Dept. o N/A IZI N/A : FOLEY FOLEY & LARDNER LLP ATTORNEYS AT LAW MEMORANDUM STAFF REPORT TO: The Honorable Mayor and City Commissioners of the City of Ocoee FROM: Nicholas N. Palmer, Assistant City Attorney THROUGH: Paul E. Rosenthal, City Attorney DATE: January 8, 2008 RE: Joinder and Consent to Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove ISSUE: Should the Mayor and City Commissioners consent to the Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove? DISCUSSION: Lake Butler Professional Center, LLC, Wesmere Development, LLC, and Morrison Homes, Inc. (collectively, the "Applicant") have requested that the City consent to an Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove (the "Restated Declaration"). The main purposes of the Restated Declaration are to: (I) combine into one document the prior recorded Declaration for the Wesmere Property and several subsequent amendments thereto, (2) clarify the financial obligations of the owners of the "Multifamily Parcel" and the "Commercial Parcel" related to common area expenses, and (3) simplify the membership and voting structure of master property owners association. In addition, the Restated Declaration utilizes platted lot and tract legal descriptions for the subject property in lieu of the metes and bounds legal descriptions that were previously used. The Restated Declaration contains all of the standard provisions that the City required in connection with the City's approval of the Villages ofWesmere Plat. STAFF RECOMMENDATION: Staff respectfully recommends that the Mayor and City Commissioners consent to the Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove and authorize the Mayor and City Clerk to execute a Joinder and Consent to the Restated Declaration, as requested by the Applicant. ATTACHMENTS: Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove. ORLA_635976.1 Return to: (enclose self-addressed stamped envelope) Jill Miller, Esq. Ruden, McClosky, Smith, Schuster & Russell, P.A. 200 East Broward Boulevard 15th Floor Fort Lauderdale, FL 33301 This Instrument Prepared by: Jill Miller, Esq. Ruden, McClosky, Smith, Schuster & Russell, P.A. 200 East Broward Boulevard 15th Floor Fort Lauderdale, FL 33301 SPACE ABOVE THIS LINE FOR PROCESSING DATA SPACE ABOVE THIS LINE FOR PROCESSING DATA AMENDED AND RESTATED MASTER DECLARATION OF COVENANTS AND RESTRICTIONS FOR WESMERE COVE THIS AMENDED AND RESTATED MASTER DECLARATION OF COVENANTS AND RESTRICTIONS FOR WESMERE COVE ("Master Declaration") is made this day of , 200_ by and is made to the Declaration of Covenants, and Restrictions for Wesmere Cove as recorded on October 21,2004, in Official Records Book 07669, Page 0083, as amended by that First Amendment to Declaration of Covenants and Restrictions for Wesmere Cove recorded on June 7, 2005, in Official Records Book 08004, Page 4801, and as amended by the Second Amendment to Declaration of Covenants and Restrictions for Wesmere Cove recorded in Official Records Book 9422, Page 3754, all of the Public Records of Orange County, Florida, (collectively the "Original Declaration"), by LAKE BUTLER PROFESSIONAL CENTER, LLC, a Florida limited liability company ("Master Declarant") whose address is 17160 Royal Palm Blvd., Suite 2, Weston, Florida 33326 as the successor to Original Declarant (as hereinafter defined) pursuant to that certain Assignment of Declarant's Rights recorded in Official Records Book 9372, Page 2056 of the Public Records of Orange County, Florida and joined in by WESMERE DEVELOPMENT, LLC, a Florida limited liability company ("Wesmere") whose address is 61 West Colonial Drive, Orlando, Florida 32801 and joined in by MORRISON HOMES, INC., a Delaware corporation ("Morrison") whose address is 151 Southhall Lane, Suite 200, Maitland, Florida 32751. WHEREAS, SOUTHEASTERN DEVELOPMENT LANDS WESMERE MUL TIF AMIL Y, L.L.c., a Florida limited liability company ("Multifamily"), SOUTHEASTERN DEVELOPMENT LANDS WESMERE COMMERCIAL, L.L.C., a Florida limited liability company ("Commercial") and WESMERE COVE PARTNERS, L TD, a Florida FTL:2335962:6 1 limited partnership ("Partners") (Multifamily, Commercial and Partners are hereinafter referred to collectively as the "Original Declarant") made and executed the Original Declaration; and WHEREAS, Multifamily conveyed to Wesmere certain property encumbered by the Original Declaration by Special Warranty Deed recorded in Official Records Book 8004, Page 4824, of the Public Records of Orange County, Florida; and WHEREAS, Commercial conveyed to Master Declarant certain property encumbered by the Original Declaration by four deeds recorded in Official Records Book 9372, Page 2024, Official Records Book 9372, Page 2029, Official Records Book 9372, Page 2034, and Official Records Book 9372, Page 2039, all of the Public Records of Orange County, Florida; and WHEREAS, pursuant to Article IX, Section (1) of the Original Declaration, Master Declarant, with the joinder and consent of Wesmere, Morrison and the School Board of Orange County, Florida (hereinafter defined as the "School Parcel Owner") desires to amend and restate the Original Declaration in its entirety and upon the recording of this Master Declaration in the Public Records of Orange County, Florida, the Original Declaration and all Exhibits thereto shall be superseded by this Master Declaration and Exhibits hereto, and the Original Declaration and Exhibits thereto shall have no further force or effect, in order to comply with conditions imposed . by the City of Ocoee and to clarify certain obligations of the Master Association (as hereinafter defined). NOW THEREFORE, in consideration of the premises and covenants herein contained, the Original Declaration is hereby amended, restated, replaced and superseded in its entirety, and this Master Declaration is substituted in its place, such that all the property legally described on Exhibits "A," "B," "c" and "D" to this Master Declaration (collectively, the "Property") shall hereafter be owned, held, used, transferred, sold, conveyed, demised and occupied subject to the covenants, restrictions, easements, reservations, regulations, burdens and liens hereinafter set forth, all of which shall run with the Property and any part thereof and which shall be binding upon all parties having any right, title or interest in the Property or any part thereof, their heirs, successors, assigns and lessees. ARTICLE I DEFINITIONS The terms used in this Master Declaration shall be defined as set forth herein unless expressly provided otherwise. Section 1. "AREAS OF COMMON RESPONSIBILITY" shall mean those areas, if any, which by contract, agreement or as set forth in this Master Declaration are or hereafter become the maintenance responsibility in whole or in part, of the Master Association. In addition, any public rights-of-way abutting the Property may (at the election of the Board (as defined below)) be deemed to be part of the Areas of Common Responsibility. Section 1. "ARTICLES" shall mean the Amended and Restated Articles of Incorporation of the Master Association filed in the Office of the Secretary of State of the State of Florida, a true FTL:2335962:6 2 copy of which is attached hereto as Exhibit "E," and incorporated herein by this reference, as such Articles may be amended from time to time. Section 2. "ASSESSMENT" shall mean assessments for which all Owners are obligated to pay to the Master Association and include "Regular Assessments" and "Special Assessments" (as such terms are defined in Article VI hereof), and any and all other assessments which are levied by the Master Association in accordance with the Master Documents. Section 3. "BOARD" shall mean the governing body of the Master Association. Section 4. "BYLAWS" shall mean the Amended and Restated Bylaws of the Master Association, which have been or will be adopted by the Board, a copy of which are attached hereto as Exhibit "F" and incorporated herein by this reference, as such Bylaws may be amended from time to time. Section 5. "CITY" shall mean the City of Ocoee, Florida. Section 6. "COMMERCIAL PARCEL" shall mean and refer to the real property owned by the "Commercial Parcel Owner" which is described on attached Exhibit "A," incorporated herein by reference. Section 7. "COMMERCIAL PARCEL OWNER" shall mean and refer to the owner or owners, collectively, of all or a portion of the Commercial Parcel. In the event there is one or more declarations of condominium recorded with respect to the Commercial Parcel, the condominium association(s) formed to operate and administer the condominium(s) created thereon shall be deemed the Commercial Parcel Owner for the purposes set forth in this Master Declaration. Section 8. "COMMON EXPENSES" shall mean the expenses for which Owners are liable to the Master Association as described in this Master Declaration and include, but are not limited to, the costs of maintaining the Master Association Property and the "Surface Water and Stormwater Management System" and the costs and expenses incurred by the Master Association in administering, managing, operating, maintaining, financing, or repairing, reconstructing, replacing or improving, the Master Association Property or any portion thereof or the Surface Water and Stormwater Management System or any portion thereof and all costs and expenses incurred by the Master Association in carrying out its powers and duties hereunder or under any other Master Documents. Section 9. "COUNTY" shall mean Orange County, Florida. Section 10. "DIRECTOR" shall mean a member of the Board. Section 11. "DISTRICT" shall mean the St. John's River Water Management District. Section 12. "IMPROVEMENT" shall mean all structures or artificially created conditions and appurtenances thereto of every type and kind located within the Property, including, but not limited to, walkways, berms, sprinkler pipes, landscaping, hedges, plantings and signs. FTL:2335962:6 3 Section 13. "INSTITUTIONAL MORTGAGE" shall mean a mortgage held by an Institutional Mortgagee on any portion of the Property. Section 14. "INSTITUTIONAL MORTGAGEE" or "INSTITUTIONAL LENDER" shall mean any lending institution holding a first mortgage lien or mortgage backed security on any portion of the Property or having a first lien on a Parcel or any portion thereof, including but not limited to a lot or condominium unit, and including any of the following institutions: an insurance company or subsidiary thereof, a federal or state savings and loan association, a federal or state building and loan association, the Federal National Mortgage Association, the Federal Home Loan Mortgage Corporation, a federal or state banking association, a real estate investment trust, any mortgage banking company authorized to do business in the State of Florida, the Master Declarant or Wesmere (with respect to any purchase money mortgage held by either of them) or any and all investing or lending institutions ("Lender") which have loaned money to Master Declarant or Wesmere in order to enable Master Declarant or Wesmere to acquire, or construct improvements upon, any portion of the Property and which holds a first mortgage upon such portion of the Property as security for such loan. Section 15. "INTEREST" shall mean the maximum nonusurious interest rate allowed by law on the subject debt or obligation, and if no such rate is designated by law, then eighteen percent (18%) per annum. Section 16. "LEGAL FEES" shall mean (i) all fees for attorney and paralegal services incurred in connection with negotiations, mediation, arbitration, litigation or preparation for same, whether or not such an action is actually begun, through and including all trial and appellate levels and post-judgment or collection proceedings; and (ii) all costs incurred with respect to the matters set forth in (i) above. Section 17. "LISTED MORTGAGEE" means the holder, insurer, or guarantor of a first mortgage encumbering any portion of the Property of which the Master Association has been notified pursuant to Article X. Section 16 hereof. Section 18. "MASTER ASSOCIATION" shall mean WESMERE COVE PROPERTY OWNERS ASSOCIATION, INC., a not-for-profit Florida corporation, its successors and assigns, existing pursuant to the Articles of Incorporation, filed in the Office of the Secretary of State of the State of Florida on October 4, 2004, as amended and restated by that certain Amended and Restated Articles of Incorporation filed in the Office of the Secretary of State of the State of Florida on December _, 200_ and by any amendments thereto, and which association is responsible for the maintenance, preservation and control of the Master Association Property and the Surface Water Stormwater Management System as provided in this Master Declaration and having among its members all owners of fee simple title to a Parcel or any portion thereof, including but not limited to Owners of a lot or condominium unit, and such Owners shall be deemed Members of the Master Association notwithstanding that a condominium association or homeowners' association is deemed to be the Owner of a Parcel pursuant to this Master Declaration. Section 19. "MASTER ASSOCIATION PROPERTY" shall mean Tracts "0," "Q," "R" and "T" of the Plat, including any areas within a Parcel, if any, which are to be maintained by the Master Association in accordance with Article II hereof, except those areas dedicated to the public by the Plat or other dedication, as set forth in this Master Declaration or on the Plat or FTL:2335962:6 4 other dedication, for the common use and enjoyment of the Owners within the Property, together with landscaping and any other Improvements thereon, including, without limitation, all of the following if and to the extent located thereon: all structures, open spaces, sidewalks, irrigation facilities, but specifically excluding any public utility installations thereon and any other property of the Master Declarant not intended to be made Master Association Property. The Master Association Property is legally described on Exhibit "D" attached hereto and made a part hereof. Section 20. "MASTER DECLARANT" shall mean Lake Butler Professional Center, LLC, a Florida limited liability company, as the successor to Original Declarant, its affiliated entities and any successor or assign thereof to which Lake Butler Professional Center, LLC specifically assigns all or part of the rights of the Master Declarant hereunder by an express written assignment, whether recorded in the Public Records of the County or not. The written assignment may give notice as to which rights of the Master Declarant are to be exercised and as to which portion of the Property. In any event, any subsequent master declarant shall not be liable for any default or obligations incurred by any prior master declarant, except as may be expressly assumed by the subsequent master declarant. An Owner shall not, solely by the purchase of a Parcel or a portion thereof, be deemed a successor or assign of the Master Declarant under the Master Documents unless such Owner is specifically so designated as a successor or assign of such rights in the instrument of conveyance or any other instrument executed by the Master Declarant. Section 21. "MASTER DECLARATION" shall mean this instrument as it may be amended from time to time, together with any Amendment(s) hereto, which may be recorded amongst the Public Records. Section 22. "MASTER DOCUMENTS" means this Master Declaration, the Articles and Bylaws of the Master Association, the Plat and all of the instruments and documents referred to therein and executed in connection therewith, and any amendments to any of the documents thereto. Section 23. "MEMBERS" shall mean all of the Owners who are members of the Master Association as hereinafter provided (including, without limitation, Master Declarant). Members shall not have the right to vote in the Master Association; however, Members shall have representation on the Board as set forth in this Master Declaration and in the Articles. Section 24. "MUL TIF AMIL Y PARCEL" shall mean and refer to the real property owned by the Multifamily Parcel Owner which is described on attached Exhibit "B," incorporated herein by reference. Section 25. "MULTIFAMIL Y PARCEL OWNER" shall mean and refer to the owner or owners, collectively, of the Multifamily Parcel. In the event there is one or more Sub- Associations formed to administer and operate the Multifamily Parcel, the Sub-Associations, collectively, if more than one, shall be deemed the Owner of the portion of the Multifamily Parcel that it is to administer pursuant to a recorded declaration of covenants and restrictions, for the purposes set forth in this Master Declaration, upon the recording of a declaration of covenants and restrictions encumbering the Multifamily Parcel or portion thereof. Section 26. "OWNER" shall mean the record owner, whether one or more persons or entities, of the fee simple title to any Parcel or portion thereof within the Property, and includes the Master Declarant for as long as the Master Declarant owns fee simple title to a Parcel or a portion FTL:2335962:6 5 thereof, but excluding therefrom those having such interest as security for the performance of an obligation. In the event the Multifamily Parcel or the Commercial Parcel, as applicable, is owned by more than one (1) person or entity, the Owners of the Multifamily Parcel or the Commercial Parcel, as applicable, shall among themselves appoint the director or directors, as applicable, to the Board (as set forth in Article IV ofthis Master Declaration) unless any Sub-Association shall have such right as set forth in any declaration of covenants and restrictions governing the Multifamily Parcel or the Commercial Parcel, as applicable. Section 27. "PARCEL" shall mean one (1) of three (3) portions of the Property referred to as the Commercial Parcel, the Multifamily Parcel and the School Parcel. Section 28. "PLAT" shall mean the Villages of Wesmere Plat as recorded in Plat Book 70, at Page 9 of the Public Records of the County. Section 29. "PROPERTY" shall mean the real property submitted to this Master Declaration; which is legally described on Exhibits "A," "B," "C" and "D" attached hereto and made a part hereof. Section 30. "SCHOOL PARCEL" shall mean and refer to the real property owned by the School Parcel Owner which is described on attached Exhibit "C," incorporated herein by reference. Section 31. "SCHOOL PARCEL OWNER" shall mean and refer to the School Board of Orange County, Florida. Section 32. "SUB-ASSOCIATION" shall mean any association created or to be created to administer a Parcel or a portion of a Parcel and common areas or common elements lying within such Parcel or portion of such Parcel pursuant to a declaration of condominium or declaration of covenants and restrictions affecting such Parcel or portion of such Parcel, other than the Master Association. Section 33. "SURFACE WATER AND STORMWATER MANAGEMENT SYSTEM" shall mean all structures, including culverts, pond(s), swales and rock trenches within the Property, required to drain, collect and convey rainfall runoff from the Property to the water management system off the Property. ARTICLE II DESCRIPTION OF THE PROPERTY Section 1. GENERAL PLAN OF DEVELOPMENT. The Property encompasses, or will encompass, the Parcels and Master Association Property, as more particularly defined by this Master Declaration. The Property declared hereunder is legally described in Exhibits "A," "B," "C" and "D" attached hereto. This Master Declaration shall not encumber or govern any property depicted on the Plat which has been dedicated to the City or County by the Plat, or which property is subsequently conveyed to the City or County. Section 2. MASTER ASSOCIATION PROPERTY. The Master Association Property shall consist of the property designated as Master Association Property in this Master Declaration as legally described on Exhibit "D" attached hereto and made a part hereof. The Master Association FTL:2335962:6 6 Property shall be used for all proper purposes by the Master Association and the Owners/lessees and their guests and invitees in accordance with the Master Documents. Master Association Property may not be altered, modified, removed or replaced by Owners/lessees or their guests or invitees. Any portion of a Parcel which is owned by an Owner but which shall be maintained by the Master Association in accordance with this Article II shall be referred to herein as Master Association Property with regard to maintenance only. The portions of the Property described in this Section 2 shall constitute Master Association Property and shall be used solely in accordance with the covenants impressed upon the Master Association Property including, without limitation, the following: A. Surface Water and Stormwater Management System. The Master Association shall be responsible for all costs associated with the cleaning, maintenance, repair and replacement of any portion of the Surface Water and Stormwater Management System designated as Tract "0" on the Plat and located on the Master Association Property necessary to maintain the system in its original condition and use. Notwithstanding anything to the contrary in the Permit or herein contained, any portion of the Surface Water and Stormwater Management System that is located on a Parcel shall be maintained, repaired and replaced by the Owner of the Parcel. If the Owner of the Parcel do not perform such maintenance, repairs or replacement, the Master Association shall have the right to perform same and charge the cost thereof to the Owner of the Parcel. Such charge shall be a special charge against the Parcel and the Master Association shall have lien rights as to the special charge in accordance with this Master Declaration. As of the date of the recording of the Plat, the use of Tract "Q" and its ownership were unsettled and to facilitate the recording of the Plat, Commercial and Partners delivered deeds to the lands comprising Tract "Q" of the Plat to the Master Association. As a result of the foregoing and notwithstanding anything in this Master Declaration or the Articles and Bylaws to the contrary, the Master Association and the Board shall cause the Master Association, for a consideration ofTen Dollars ($10.00), to convey by quit claim deed, Tract "Q" of the Plat to such person(s) or entity(ies) (the "Designee") that is jointly designated in writing to the Master Association (the "Designation") by (1) Commercial and Partners or by (2) Master Declarant and Wesmere. The conveyance shall be made within five (5) days following the Designation, time being of the essence. In no event shall Master Declarant and Wesmere have the obligation to make the Designation unless Commercial and Partners have requested in writing Master Declarant and Wesmere to make such Designation. In the event that the joint Designation by Commercial and Partners to the Master Association or the request by Commercial and Partners to Master Declarant and Wesmere to make the Designation is not made by July 31, 2008, there shall be no further obligation on the Master Association, Master Declarant or Wesmere to cause such conveyance to be made; provided however, the Board will thereafter make such conveyance for the consideration of Ten Dollars ($10.00) to the Designee upon the Designation of Master Declarant and Wesmere. B. Landscaped Areas. The "Landscaped Areas" are designated as Tracts "R" and "T' on the Plat and are those portions of the Property to be used, kept and maintained as such by the Master Association, to the extent not used, kept and maintained by the Townhome Association as provided below, in accordance with the provisions of this Master Declaration. The Landscaped Areas shall be administered and maintained by the Master Association, to the extent not used, kept and maintained by the Townhome Association as provided below, in accordance with the requirements of the appropriate governmental agencies. FTL:2335962:6 7 Notwithstanding anything in this Declaration or the Articles or Bylaws of the Master Association to the contrary, the Board upon a unanimous vote at a duly called meeting of the Board or upon the unanimous written consent of the Board shall have the right to cause the Master Association to convey Tracts "R" and "T" to Wesmere Townhome Association, Inc., a Florida corporation not-for-profit ("Townhome Association"), a Sub-Association, for a consideration of Ten Dollars ($10.00). The conveyance by the Master Association to the Townhome Association shall be made by quit claim deed. Regardless of whether Tracts "R" and "T" are conveyed to the Townhome Association, all costs and expenses to maintain Tracts Rand T shall be the obligation ofthe Townhome Association. C. Open Space. The "Open Space" is designated as Tract "Q" on the Plat and is that portion of the Property to be used, kept and maintained as such by the Master Association, in accordance with the provisions of this Master Declaration and the Plat. The Open Space shall be administered and maintained by the Master Association in accordance with the requirements of the appropriate governmental agencies. Section 3. COSTS. Except as set forth in Section 2 above, all costs associated with operating, maintaining, repairing and replacing the Master Association Property shall be the obligation of the Master Association. Section 4. PRIVATE USE. For the term of this Master Declaration, except as provided in this Master Declaration, the Master Association Property is not for the use and enjoyment of the public, but is expressly reserved for the private use and enjoyment of the Master Declarant, the Master Association, and the Owners, and their guests, invitees and lessees, but only in accordance with this Master Declaration. A. Except to the extent herein provided, the Master Association Property shall be for the sole and exclusive use of the Owners and occupants of the Property and their guests, invitees and lessees. B. Except as otherwise set forth herein, the administration, management, operation and maintenance of the Master Association Property shall be the responsibility of the Master Association, as provided herein and in the Master Documents. C. The right to use the Master Association Property shall be subject to the rules and regulations established by the Master Association, as amended from time to time. ARTICLE III OWNERS' PROPERTY RIGHTS Section 1. OWNERS' EASEMENTS OF ENJOYMENT. Every Owner and guest, lessee, agent or invitee of an Owner shall have a permanent and perpetual, nonexclusive easement for ingress and egress over, enjoyment in, and use of Master Association Property, in common with all other Owners, their guests, lessees, agents and invitees, which easement shall be appurtenant to, and shall pass with title to each Owner's Parcel or a portion thereof. This right shall be subject to the following conditions and limitations: FTL:2335962:6 8 A. The right and duty of the Master Association to levy Assessments against each Parcel for the purpose of maintaining, repairing and replacing the Master Association Property and the and Stormwater Water Management System and facilities on each, in compliance with the provisions of this Master Declaration and the restrictions on portions of the Property from time to time recorded by the Master Declarant. B. The right of the Master Association to establish uniform rules and regulations pertaining to the use of the Master Association Property. C. The right of the Master Association in accordance with its Articles, Bylaws, and this Master Declaration, to borrow money for the purpose of improving the Master Association Property and facilities thereon, and, in aid thereof, to mortgage, pledge, or hypothecate any or all of its real or personal property as security for money borrowed or debts incurred, provided that the rights of such mortgagee shall be subordinated to the use rights of the Owners. D. The right of the Master Association to dedicate, release, alienate, or transfer all or any part of the Master Association Property to any public agency, authority, or utility for such purposes and subject to such conditions as may be agreed to by the Master Association. Except as provided otherwise in this Master Declaration, no such dedication, release, alienation, or transfer shall be effective unless all the Directors agree to such dedication, release, alienation or transfer. E The right of the Master Association to grant and amend easements, rights-of-way or strips of land, where necessary, for utilities and other services over the Master Association Property to serve the Master Association Property. F. The right of the Master Association, by action of the Board, to reconstruct, replace, or refinish any Improvement or portion thereof upon the Master Association Property or the Surface Water and Stormwater Management System in accordance with the original design, finish, or standard of construction of such Improvement. G The right of the Master Association to replace destroyed trees or other vegetation and plant trees, shrubs, and ground cover upon any portion of the Master Association Property . H. The right, however not the duty, of the Master Association by action of the Board to seek the vacation of publicly dedicated streets, if any, adjacent to any portion of the Property . I The easements provided elsewhere in this Master Declaration and/or designated on the Plat, including, but not limited to, those set forth in this Article III. J. The right of the Master Association to provide for the maintenance, repair and replacement of the Surface Water and Stormwater Management System and the Master Association Property as set forth in this Master Declaration. FTL:2335962:6 9 Section 2. RECOGNITION OF EXISTING EASEMENTS. Each Owner, by acceptance of a deed or other instrument of conveyance, recognizes and consents to the easements reserved and/or granted with respect to the Property under this Master Declaration. Section 3. ACCESS EASEMENT. The Master Declarant hereby reserves perpetual, nonexclusive easements of ingress and egress over and across any portion of the Property which are necessary or convenient for enabling the Master Declarant to carry on the work referred to in this Master Declaration, which easements shall be for the use of the Master Declarant, the Master Declarant's employees, contractors and agents, the Master Declarant's successors and assigns, Owners, and the respective lessees, employees, agents, invitees, and licensees of the Master Declarant and Owners; provided, however, such easements shall also run and be deemed reserved to the City, the County and the District for such purposes as needed by the City, the County and the District pursuant to this Master Declaration or governmental permits and approvals. Section 4. GRANT AND RESERVATION OF EASEMENTS. The Master Declarant hereby reserves and grants the following perpetual, nonexclusive easements over and across the Property as covenants running with the Property for the benefit of the Owners and the Master Association as hereinafter specified for the following purposes; provided none of such easements shall be located under any buildings or permanent improvements constructed or planned for a Parcel: A. Utility and Services Easements. All of the Property shall be subject to an easement or easements to provide for: (i) installation, service, repair and maintenance of the equipment required to provide utility services to the Master Association Property and the Parcels, including, but not limited to, power, lights, water, sewer, irrigation and drainage (which equipment shall be kept underground to the extent same is possible and practical), and (ii) governmental services, including, but not limited to, police, fire, health, sanitation and other public service personnel, including reasonable rights of access for persons and equipment necessary for such purposes for the benefit of the appropriate utility companies, agencies, franchises or governmental agencies. B. Easement to Enter Upon Parcels. An easement or easements for ingress and egress in favor of the Master Association, including the Board or the designee of the Board, to enter upon the Parcels for the purposes of fulfilling its duties and responsibilities of ownership, maintenance and/or repair in accordance with the Master Documents, including, by way of example, the making of such repairs, maintenance or reconstruction as are necessary for the Master Association Property and the Surface Water and Stormwater Management System. C. Easement Over Master Association Property. An easement of enjoyment in favor of all Owners, their guests, invitees and lessees in and to the Master Association Property which shall be appurtenant to and shall pass with title to every Parcel or portion thereof, subject to the following: (1) the right of the Master Association to grant permits, licenses and easements over the Master Association Property for utilities and other purposes reasonably necessary or useful for the proper maintenance or operation of the Property; and (2) all provisions set forth in the Master Documents. FTL:2335962:6 10 D. Drainage and Irrigation Easement. An easement for drainage, flowage and storage of water and irrigation purposes over, under and upon the Property in favor of the Master Association and each of the Owners, including, but not limited to, reasonable rights of access for persons and equipment to construct, install, maintain, alter, inspect, remove, relocate and repair the water drainage system, flowage pipes and irrigation pipes. E. Surface Water and Stormwater Management System Encroachment Easement. An easement for encroachment over, under and upon any drainage easements located within the Property in favor of the Master Association for reasonable rights of access for persons and equipment to construct, install, maintain, alter, inspect, remove, relocate and repair any portion of the Surface Water and Stormwater Management System or part thereof installed or located thereon. In the event the Master Association requires access to any Surface Water and Stormwater Management System improvements within a drainage easement upon which any driveway and/or sidewalk or irrigation system encroaches, the. Master Association has the obligation, at its own cost and expense, to remove and replace any such encroachment, and to return it to its condition immediately preceding such removal and replacement once access to the drainage easement is no longer required. F. Drainage Easements/Drainage and Maintenance Easements. Easements over, under and upon the Property in favor of the Master Association, the City, the County and the District for the construction, installation, maintenance, service, repair and replacement of drainage facilities necessary to provide for the drainage of storm water and for ingress and egress for the foregoing purposes. Section 9. EASEMENT FOR MAINTENANCE OF SURFACE WATER AND STORM WATER MANAGEMENT SYSTEM The Master Association shall have a perpetual, non- exclusive easement over all portions of the Surface Water and Storm Water Management System for access to operate, maintain, repair, or replace the Surface Water and Storm Water Management System. By this easement, the Master Association shall have the right to enter upon any portion of the Property which is a part of or adjacent to the Surface Water and Storm Water Management System, at a reasonable time and in a reasonable manner, to operate, maintain, repair, or replace the Surface Water and Storm Water Management System as the City, the County, the District or any other governmental agency or quasi-governmental body requires or permits. No person shall alter the drainage flow of or over the Surface Water and Storm Water Management System, including buffer areas or swales or any portion of the Surface Water and Stormwater Management System without the prior written approval of the District. Section 8. ASSIGNMENTS. The easements reserved hereunder may be assigned by the Master Association, in whole or in part, to the City, the County, the District or any state government or agency thereof, or any water management district, or any duly licensed or franchised public utility. The Owners hereby authorize the Master Association to execute, on their behalf and without further authorization, such grants of easement or other instruments as may from time to time be necessary to grant easements over and upon the Master Association Property or portions thereof in accordance with the provisions of this Master Declaration. ARTICLE IV MEMBERSHIP IN THE MASTER ASSOCIATION BOARD: DURATION OF THE MASTER ASSOCIATION FTL:2335962:6 11 Section 1. MEMBERSHIP. Membership in the Master Association shall be established and terminated as set forth in the Articles. Each Member shall be entitled to the benefit of, and be subject to, the provisions of the Master Documents. Members shall not have any voting rights or voting interests in the Master Association. Directors shall be appointed as provided in Section 2 below. Each Owner shall be a Member of the Master Association as provided in the Master Documents. Section 2. VOTING. A. All Owners of any portion of the Commercial Parcel and the Multifamily Parcel shall be Members of the Master Association but shall not have any voting rights in the Master Association. All voting shall be by the Board as set forth in Paragraph B below and in the Articles. The School Parcel shall not designate any Directors and the School Parcel Owner shall not be a Member of the Master Association. B. The Owner(s) of the Multifamily Parcel shall appoint two (2) Directors to the Board and the Owner(s) of the Commercial Parcel shall appoint one (1) Director to the Board which Directors shall each have one (1) vote. Directors shall serve at the pleasure of and until replaced by the Owners entitle to have appointed them. Directors appointed by the Owner(s) of the Multifamily Parcel can only be replaced or removed by the Owner(s) of the Multifamily Parcel and the Director appointed by the Owner(s) of the Commercial Parcel can only be replaced or removed by the Owner(s) of the Commercial Parcel. If the Multifamily Parcel or the Commercial Parcel is governed in whole or in part by a Sub-Association(s), the Sub- Association(s) for such Parcel or portions thereof shall represent and act on behalf of all the Owners of any portion of the Parcel governed by such Sub-Association(s). The decision of who shall serve as Directors as determined by the Owners of the Multifamily Parcel and the Commercial Parcel, shall be made outside of the workings or operations of the Master Association and made in such manner as may be established pursuant to a declaration(s) of condominium or declaration(s) of covenants and restrictions that may govern the Multifamily Parcel or Commercial Parcel, as applicable. Section 3. BOARD. The Master Association shall be governed by the Board which shall be appointed, designated or elected, as the case may be, as set forth in the Articles. All decisions of the Master Association shall be made by the Board as the Owners have no voting rights in the Master Association other than the appointment of Directors to the Board. Section 4. DURATION OF MASTER ASSOCIATION. The duration of the Master Association shall be perpetual, as set forth in the Articles. Section 5. ASSOCIATION IN GOOD STANDING. The Master Association shall at all times remain and be in good standing with the Florida Secretary of State. Section 6. MASTER ASSOCIATION AND SUB-ASSOCIATIONS A. Preamble. In order to ensure the orderly development, operation and maintenance of the Property, including the properties subject to the administration of the Sub-Association(s) as integrated parts of the Property, this Article IV has been promulgated for the purposes of (a) FTL:2335962:6 12 giving the Master Association certain powers to effectuate such goal, (b) providing for intended (but not guaranteed) economies of scale and (c) establishing the framework of the mechanism through which the foregoing may be accomplished. B. CUmulative Effect Conflict. The covenants, restrictions and provisions of this Master Declaration shall be cumulative with those declarations whose enforcement is the charge of the Sub-Association(s), and the Master Association may, but shall not be required to, enforce the latter; provided, however, that in the event of conflict between or among such covenants, restrictions and provisions, or any articles of incorporation, bylaws, rules and regulations, policies or practices adopted or carried out pursuant thereto, those of the Sub-Association(s) shall be subject and subordinate to this Master Declaration. The foregoing priorities shall apply, but not be limited to, the liens for Assessments and special charges created in favor of the Master Association. As to a Sub-Association, no duties of same hereunder shall be performed or assumed by the Master Association. C. Maintenance and Use Restrictions. The Master Association may delegate to a Sub-Association(s) all or any part of such rights/duties, on an exclusive or non-exclusive basis, upon written notice recorded in the Public Records of the County. D. Collection of Assessments. The Sub-Association(s) shall, initially, collect all Assessments and other sums due the Master Association and the applicable Sub-Association from the members thereof. The Sub-Association(s) will remit the Assessments so collected to the respective payees pursuant to such procedures as may be adopted by the Master Association. The sums so collected shall be applied first to the Assessments of the Master Association and then to those of the collecting Sub-Association. No sums collected by a Sub-Association on behalf of the Master Association shall be utilized by the collecting Sub-Association. Notwithstanding the priority of disbursements of collected lump sums as provided above, all "Special Assessments" (as hereinafter defined), interest, late charges, recovered costs of collection and other extraordinary impositions shall be remitted to the respective entity imposing same separate and apart from the priorities established above. The Master Association shall notify the Owners of the Multifamily Parcel and the Commercial Parcel, by written notice given at least thirty (30) days in advance, of any changes in the amounts of the Assessments due it or the frequency at which they are to be collected. The aforesaid notice period shall also apply to Special Assessments, but may be as short as five (5) days before the next due Regular Assessment installment in the case of Special Assessments of the Master Association. If a Parcel is governed by a Sub-Association(s) notices shall be sent to the Sub-Association(s) only. The Master Association may, from time to time by ten (10) days' prior written notice to the affected Sub-Association(s), change the procedures set forth in this Section 6.D in whole or in part. Such change may include, without limitation, the assumption by the Master Association of all or some of the collection functions provided for herein or in the declaration for a Sub- Association(s) (to which assumption the Sub-Association and its members shall be deemed to have automatically agreed). FTL:2335962:6 13 All fidelity bonds and insurance maintained by a Sub-Association shall reflect any duties performed by it pursuant hereto and the amounts to be received and disbursed by it and shall name the Master Association as an obligee/insured party for so long as its Assessments are being collected and remitted by the Sub-Association. In the event of any change in Assessment collection procedures elected to be made by the Master Association, the relative priorities of Assessment remittances and liens shall nevertheless still remain in effect, as shall the Master Association's ability to modify or revoke its election from time to time. E. Acceptance of Delegated Duties. Whenever the Master Association delegates any duty to a Sub-Association and/or the Owner of a Parcel pursuant to this Master Declaration, the Sub-Association and/or the Owner of a Parcel shall be deemed to have automatically accepted same and to have agreed to indemnify, defend and hold harmless the Master Association for all liabilities, losses, damages and expenses (including Legal Fees actually incurred and court costs, through all appellate levels) arising from or connected with the Sub-Association's and/or such Owner's performance, non-performance or negligent performance thereof. All Sub-Associations and Owners shall be responsible to the Master Association for maintaining adequate liability and other insurance covering injuries, deaths, losses or damages arising from or connected with the Sub-Association's and/or Owner's performance or nonperformance of its duties hereunder. F. Remedies. In the event of a failure of a Sub-Association to budget or assess its members for Assessments due the Master Association, the Master Association shall be entitled to pursue all available legal and equitable remedies against the Sub-Association. G. Non-Performance of Sub-Association Duties. In addition to the specific rights of the Master Association provided in Section F above, and subject to the limitations set forth in this Master Declaration, in the event that a Sub-Association fails to perform any duties delegated to, or required of, it under this Master Declaration or to otherwise be performed by it pursuant to its own declaration, articles of incorporation, bylaws or related documents, which failure continues for a period in excess of thirty (30) days after the Master Association's giving notice thereof, then the Master Association, upon the unanimous vote of the Board, may, but shall not be required to, assume such duties. In such event, the Sub-Association shall not perform such duties unless and until such time as the Master Association directs it to once again do so. H. Conflict. In the event of conflict between this Article IV, as amended from time to time, and any of the other covenants, restrictions or provisions of this Master Declaration or the Articles, Bylaws or rules and regulations of the Master Association all as amended from time to time, the provisions of this Article shall supersede and control. ARTICLE V COVENANT TO PAY ASSESSMENTS: ESTABLISHMENT OF LIENS: COLLECTION OF ASSESSMENTS: COLLECTION BY MASTER ASSOCIA TON AND INSTITUTIONAL MORTGAGEES Section 1. AFFIRMATIVE COVENANT TO PAY ASSESSMENTS. In order to: (i) fulfill the terms, provisions, covenants and conditions contained in the Master Documents; and (ii) maintain, operate and preserve the Master Association Property and the Surface Water and FTL:2335962:6 14 Stormwater Management System for the use, safety, welfare and benefit of the Owners and their guests, invitees and lessees, there is hereby imposed upon the Commercial Parcel and the Multifamily Parcel and the Owner(s) of each, the affirmative covenant and obligation to pay to the Master Association, commencing from the date the Original Declaration was recorded in the public records of the County, all Assessments, including, but not limited to, the Regular Assessments and Special Assessments. Each Owner, by acceptance of a deed or other instrument of conveyance conveying a portion of the Commercial Parcel or the Multifamily Parcel, whether or not it shall be so expressed in such deed or instrument, shall be obligated and agrees to pay to the Master Association all Assessments in accordance with the provisions of the Master Documents. The following expenses of the Master Association are hereby declared to be Common Expenses which the Master Association is obligated to assess and collect, and which all of the Owners of the Commercial Parcel and the Multifamily Parcel are obligated to pay as provided herein or as may be otherwise provided in the Master Documents: (1) any and all taxes and tax liens which may be assessed or levied at any and all times against the Master Association Property or against any and all personal property or Improvements thereon; (2) all charges levied for utilities providing services for the Master Association Property; (3) the premiums on policies of insurance including, but not limited to, liability, and directors and officers liability insurance for the Master Association Property; (4) any sums necessary for the maintenance, and repair and replacement of the Master Association Property and all Improvements located thereon; (5) any sums necessary to reimburse the Master Association for any costs or expenses incurred in connection with maintaining the Master Association Property and the Surface Water Management System; (6) administrative and operational expenses; (7) any and all expenses incurred in connection with maintaining Areas of Common Responsibility; and (8) any and all expenses deemed to be Common Expenses by the unanimous approval of the Board or by this Master Declaration. The Common Expenses shall be payable by the Owners of the Commercial Parcel and the Multifamily Parcel to the Master Association or, if applicable, to his/her/its Sub- Association which will, in turn, remit to the Master Association notwithstanding the fact that the Master Declarant may not have as yet conveyed title to the Master Association Property to the Master Association. Section 2. EXEMPT PROPERTY. As set forth in the Original Declaration, the School Parcel shall be exempt from the payment of any Assessments, charges and liens created in this Master Declaration; provided, however, the School Parcel Owner shall be required to pay the Master Association an annual maintenance charge equal to One Thousand and 00/100 Dollars ($1,000.00) on or before the first day of October of each year for so long as the Original Declaration (as modified by this Master Declaration) remains in full force and effect. Except as set forth in this Section 2, no Parcel shall be exempt from Assessment, charges or liens. Except as set forth in this Section 2, no Owner may avoid the obligation for the payment of Assessments by virtue of non-use or abandonment of the Master Association Property or its Parcel or portions thereof. Section 3. ESTABLISHMENT OF LIENS. Each Assessment and special charge (as set forth herein) against the Multifamily Parcel and the Commercial Parcel, together with Interest thereon and costs of collection, including, but not limited to, Legal Fees, shall be the personal obligation of the Owners of such Parcel so assessed or charged. Any and all Assessments and special FTL:2335962:6 15 charges made by the Master Association in accordance with the prOVlSlons of the Master Documents with Interest thereon and costs of collection, including, but not limited to, Legal Fees, are hereby declared to be a charge and continuing lien upon each Parcel against which each such Assessment is made. Said lien shall be effective only from and after the time of the recordation amongst the public records of the County of a written, acknowledged statement by the Master Association setting forth the amount due to the Master Association as of the date the statement is signed. Upon full payment of all sums secured by that lien, the party making payment shall be entitled to a satisfaction of the statement of lien in recordable form. Notwithstanding anything to the contrary herein contained, in the event an Institutional Mortgagee of record obtains title to a Parcel or a portion thereof as a result of foreclosure of its first mortgage or deed in lieu of foreclosure, such acquirer of title, its successors or assigns, shall not be liable for the share of Assessments pertaining to such Parcel or portion thereof or chargeable to the former Owner thereof which became due prior to the acquisition of title as a result of the foreclosure or deed in lieu thereof, unless the Assessment against the Parcel in question is secured by a claim of lien for Assessments that is recorded prior to the recordation of the mortgage which was foreclosed or with respect to which a deed in lieu of foreclosure was given. In addition to the foregoing, special charges, together with Interest thereon and costs of collection thereof, including Legal Fees as hereinafter provided, are also subject to a lien right on behalf of the Master Association to secure payment thereof and such special charges are hereby declared to be a charge on each Parcel and shall be a continuing lien upon the Parcel against which each such special charge is made. Each special charge against a Parcel together with Interest thereon and costs of collection thereof, including Legal Fees, shall be the personal obligation of the person, persons, entity and/or entities owning the Parcel so charged. The Master Association's lien for special charges shall be effective only from and after the time of recordation amongst the public records of the County of a written acknowledged statement by the Master Association, as of the date the statement is signed setting forth the description of the Parcel, the name of the record Owner, the address of the Owner, the amount due to the Master Association and the due dates. Upon full payment of all sums secured by such lien or liens, the party making payment shall be entitled to a recordable satisfaction of the statement of lien. Notwithstanding anything to the contrary herein contained, in the event an Institutional Mortgagee of record obtains title to a Parcel or a portion thereof as a result of foreclosure of its first mortgage or deed in lieu of foreclosure, such acquirer of title, its successors or assigns, shall not be liable for the share of special charges pertaining to such Parcel or portion thereof or chargeable to the former Owner thereof which became due prior to the acquisition of title as a result of the foreclosure or deed in lieu thereof, unless the special charge against the Parcel in question is secured by a claim of lien for special charges that is recorded prior to the recordation of the mortgage which was foreclosed or with respect to which a deed in lieu of foreclosure was gIven. Section 4. COLLECTION OF ASSESSMENTS. In the event the Multifamily Parcel Owner or the Commercial Parcel Owner shall fail to pay any Assessment or special charge, or installment thereof, within fifteen (15) days after the same becomes due, then the Master Association, through its Board, shall have any and all of the following remedies to the extent permitted by law, which remedies are cumulative and which remedies are not in lieu of, but are in addition to, all other remedies available to the Master Association: FTL:2335962:6 16 1. To accelerate the entire amount of any Assessment or special charge for the remainder of the calendar year notwithstanding any provisions for the payment thereof in installments. 2. To advance on behalf of the Owner(s) in default funds to accomplish the needs of the Master Association up to and including the full amount for which such Owner(s) is liable to the Master Association and the amount or amounts of monies so advanced, together with Interest and all costs of collection thereof, including, but not limited to, Legal Fees, may thereupon be collected by the Master Association from the Owner(s) and such advance by the Master Association shall not waive the default. 3. To file an action in equity to foreclose its lien at any time after the effective date thereof as provided in Section 2 hereinabove. The lien may be foreclosed by an action in the name of the Master Association in like manner as a foreclosure of a mortgage on real property. 4. To file an action at law to collect said Assessment and/or special charge plus Interest and all costs of collection thereof, including, but not limited to, Legal Fees, without waiving any lien rights or rights of foreclosure in the Master Association. 5. To charge Interest on such Assessment from the date it becomes due, as well as a late charge of up to Fifty Dollars ($50.00) to defray additional collection costs. Section 5. COLLECTION BY MASTER DECLARANT. In the event for any reason a Sub- Association shall fail to collect the Assessments and remit same to the Master Association, the Master Declarant and/or the Master Association shall at all times have the right (but not the obligation): (i) to advance such sums as the applicable Sub-Association could have advanced as set forth above; and (ii) to collect such Assessments and, if applicable, any such sums advanced by the Master Declarant and/or the Master Association, together with Interest and costs of collection, including, but not limited to, Legal Fees. FTL:2335962:6 17 Section 6. RIGHTS OF MASTER DECLARANT AND INSTITUTIONAL MORTGAGEES TO PAY ASSESSMENTS AND RECEIVE REIMBURSEMENT. The Master Declarant and any Institutional Mortgagee(s) or any individual or entity which has an interest in any Parcel or portion thereof shall have the right, but not the obligation, jointly or individually, and at their sole option, to pay any of the Assessments which are in default and which mayor have become a charge against any Parcel. Further, the Master Declarant and any Institutional Mortgagee shall have the right, but not the obligation, jointly or individually, and, at their sole option, to pay insurance premiums or fidelity bond premiums or other required items of Common Expenses on behalf of the Master Association in the event the same are overdue and when lapses in policies or services may occur. The Master Declarant and any Institutional Mortgagee paying overdue Common Expenses on behalf of the Master Association will be entitled to immediate reimbursement from the Master Association plus Interest and any costs of collection including, but not limited to, Legal Fees, and the Master Association shall execute an instrument in recordable form to this effect and deliver the original of such instrument to each Institutional Mortgagee who is so entitled to reimbursement and to the Master Declarant if the Master Declarant is entitled to reimbursement. ARTICLE VI METHOD OF DETERMINING ASSESSMENTS AND ALLOCATION OF ASSESSMENTS Section 1. DETERMINING AMOUNT OF ASSESSMENTS. The total anticipated Common Expenses for each calendar year shall be set forth in the budget ("Budget") prepared by the Board as required under the Master Documents. The Budget for each calendar year shall require the unanimous consent of the Board. The Multifamily Parcel and the Commercial Parcel shall be assessed its pro rata portion of the total anticipated Common Expenses, which shall be the "Regular Assessment" as to each Parcel. The pro rata portion of Regular Assessment shall be 78% for the Multifamily Parcel and 22% for the Commercial Parcel and such prorata share shall be assessed on the whole of the Multifamily Parcel and the Commercial Parcel, as applicable, and not on portions of each such Parcel. Section 2. ASSESSMENT PAYMENTS. Regular Assessments shall be payable quarterly, in advance, on the first day of January, April, July and October of each year. Assessments shall be paid by each Owner (as more particularly described in Section 1 of this Article VI) directly to the Master Association or by the Owners to the applicable Sub-Association collecting from such Owners to pay the Assessments on the Multifamily Parcel or the Commercial Parcel, as applicable, which will, in turn, remit same to the Master Association. Section 3. SPECIAL ASSESSMENTS. "Special Assessments" include, in addition to other Assessments designated as Special Assessments in the Master Documents and whether or not for a cost or expense which is included within the definition of "Common Expenses," those Assessments which are levied for capital improvements which include the costs (whether in whole or in part) of constructing or acquiring Improvements for, or on, the Master Association Property or the cost (whether in whole or in part) of reconstructing or replacing such Improvements. Notwithstanding anything to the contrary herein contained, it is recognized and declared that Special Assessments shall be in addition to, and are not part of, any Regular Assessment. Any Special Assessments assessed against Parcels and the Owners thereof shall be paid by such Owners in addition to Regular Assessments and shall be assessed in the same FTL:2335962:6 18 manner and in the same proportion as the Regular Assessment. Special Assessments shall be paid in such installments or in a lump sum as the Board shall, from time to time, determine. Section 4. LIABILITY OF OWNERS FOR ASSESSMENTS. By the acceptance of a deed or other instrument of conveyance of a Parcel or a portion thereof, each Owner acknowledges that each Parcel and all portions thereof and the Owners of all or any portion of such Parcel are jointly and severally liable for the Regular Assessments, any Special Assessments, and special charges levied on such Parcel as well as for any and all other Assessments for which they are liable, as provided for herein. Such Owners further recognize and covenant that they are jointly and severally liable with the Owners of all Parcels or portions thereof for the Common Expenses (subject to any specific limitations provided for herein such as, but not limited to, the limitation with respect to matters of Special Assessment and the limitations on the liability of Institutional Mortgagees and their successors and assigns). Accordingly, subject to such specific limitations, it is recognized and agreed by each Owner, for such Owner and such Owner's heirs, executors, successors and assigns, that in the event any Owner fails or refuses to pay such Owner's Regular Assessment or any portion thereof, or such Owner's respective portion of any Special Assessment or any other Assessment, then the other Owners of Parcels and any portions thereof may be responsible for increased Regular Assessments or Special Assessments or other Assessments due to the nonpayment by such other Owner, and such increased Regular Assessment or Special Assessment or other Assessment can and may be enforced by the Master Association and the Master Declarant in the same manner as all other Assessments hereunder as provided in the Master Documents. Section 6. WAIVER OF USE. No Owner may exempt himself, herself or itself from personal liability for Assessments duly levied by the Master Association. No Owner may release such Owner's Parcel from the liens and charges hereof either by waiver of the use and enjoyment of the Master Association Property and the facilities thereon or by abandonment of such Owner's Parcel or any portion thereof. Section 7. LEGAL EXPENSES. Notwithstanding anything in the Master Documents to the contrary, any Assessment for legal expenses incurred by the Master Association for lawsuits shall be deemed a Common Expense which is properly the subject of Special Assessment and not the subject of a Regular Assessment so long as approved pursuant to Section 11 of Article X below, except the Legal Fees incurred by the Master Association in connection with the collection of Assessments or other charges which Owners are obligated to pay pursuant to the Master Documents or the enforcement of the use and occupancy restrictions contained in the Master Documents. Section 8. CAPITAL IMPROVEMENTS. No capital improvements shall be made by the Master Association to the Master Association Property or any portion thereof, other than capital improvements necessary to comply with maintenance responsibilities of the Master Association under this Master Declaration, without the unanimous consent of the Board. FTL:2335962:6 19 ARTICLE VII MAINTENANCE AND REPAIR OBLIGATIONS Section 1. BY THE MASTER ASSOCIATION A. The Master Association, at its expense, shall be responsible for the operation, maintenance, repair and replacement of all of the Improvements and facilities located over, through, and upon the Master Association Property, except public utilities, and except as otherwise expressly set forth in this Master Declaration. B. The Master Association shall operate, maintain and repair the Surface Water and Stormwater Management System constructed over, through and upon the Property in accordance with Permit No. 40-095-93152-2 issued by the District attached hereto and made a part hereof as Exhibit "G." The Master Association shall be responsible for all costs associated with all cleaning, maintenance, repairs and replacement of any portion of the Surface Water and Stormwater Management System necessary to maintain the system in its original condition and use. Notwithstanding the foregoing, each Owner of a Parcel shall be responsible for all costs associated with all cleaning, maintenance, repairs and replacement of any portion of the Surface Water and Stormwater Management System located on its Parcel. In the event the Owner(s) of a Parcel do(es) not maintain the portion of the Surface Water and Stormwater Management System on its/their Parcel, the Master Association shall have the right, but not the obligation, to perform such maintenance and charge the cost thereof to the Owner(s) of such Parcel as a special charge. C. To the extent permitted by the appropriate governmental authority, the Master Association may, but shall not be obligated to, upon the unanimous vote of the Board, provide maintenance of City properties which are located within the Plat or in reasonable proximity of the Property, to the extent that its deterioration or unkempt appearance would adversely affect the appearance of the Property and the cost and expense thereof shall be a Common Expense. D. The Master Association shall maintain and care for all Landscaped Areas encompassed within the Master Association Property. "Maintenance and care" within the meaning of this Subsection D shall include irrigating, fertilizing, spraying and trimming of landscaping and grassed areas and replacement of same. E. The Master Association may make alterations and Improvements to the Master Association Property with the unanimous approval of the Board. F. The Master Association shall be responsible for the continued maintenance of any landscaping and irrigation located within the median or right of way of Tomyn Boulevard located within the Plat. In addition, the Master Association shall be responsible for the continued maintenance of any landscaping and irrigation located within any median of Tracts "P" and "s" of the Plat at such time that such Tracts have been conveyed to, and accepted by the City. All costs associated with such maintenance shall be a Common Expense and the areas described in this Paragraph F shall then be Areas of Common Responsibility. G. All expenses incurred by the Master Association in connection with the services, maintenance, repair and replacement described in the foregoing Paragraphs A through F, FTL:2335962:6 20 inclusive, are Common Expenses, payable by the Owners of the Multifamily Parcel and the Commercial Parcel under the provisions of this Master Declaration concerning Assessments. Should the maintenance, repair or replacement provided for in Paragraphs A through F of this Section 1 be caused by the negligence of or misuse by an Owner, such Owner's guests, servants, invitees, or lessees, such Owner shall be responsible therefor, and the Master Association shall have the right to levy a special charge against such Owner's Parcel and said special charge shall constitute a lien upon the appropriate Parcel with the same force and effect as liens for Common Expenses. H. The Master Association has a reasonable right of entry upon any Parcel to make emergency repairs and to do other work reasonably necessary to carry out its obligations under this Master Declaration. Section 2. BY THE OWNERS OR SUB-ASSOCIATIONS. AS APPLICABLE. A. Owners or Sub-Associations created to administer a Parcel shall maintain the Improvements therein, including equipment and appurtenances, and their respective property (except for those areas maintained by the Master Association) in good order, condition and repair, and must perform promptly all maintenance and repair work which, if omitted, could adversely affect the Property, the other Owners or the Master Association and its Members. The Owner or Sub-Association, as applicable, shall be responsible for any damages caused by a failure to so maintain such Parcel(s). B. If an Owner or Sub-Association fails to comply with the foregoing provisions of this Section 2, the Master Association may proceed in court to compel compliance. C. The Owners of each Parcel shall be responsible for the continued maintenance of the landscaping and irrigation located between its Parcel and the curbing or pavement for Tomyn Boulevard or any other public road. D. If a failure to comply with the provisions of this Section 2 relates to the Multifamily Parcel Owner's or the Commercial Parcel Owner's obligation to maintain the Surface Water and Stormwater Management System on their respective Parcels, then, in addition to the exercise of all other remedies, the Master Association or the Master Declarant shall have the right but not the obligation, upon fifteen (15) days written notice, to enter the applicable Parcel for the purpose of performing the maintenance referred to, set forth and described in the notice, and to levy on the offending Owner a special charge equal to the cost of performing such maintenance and any such special charge shall constitute a lien upon the Parcel with the same force and effect as a lien for Common Expenses. The determination of whether the Multifamily Parcel Owner or the Commercial Parcel Owner is failing to properly maintain and care for the property for which it has the maintenance responsibility shall be determined in the sole discretion of the Master Association or the Master Declarant. FTL:2335962:6 21 Section 3. BY WESMERE A. Notwithstanding that Wesmere was not an Original Declarant and is not the Master Declarant, Wesmere shall be responsible for construction of and bond obligations with respect to Tract 0 and the Surface Water and Stormwater Management System as set forth herein. B. Notwithstanding the conveyance of the Surface Water and Stormwater Management System to the Master Association by Original Declarant or Master Declarant, Wesmere shall be responsible for the maintenance of the Surface Water and Stormwater Management System until such time as: (i) the Surface Water and Stormwater Management System is constructed and appropriate certificates of completion are issued by both the City and the District, (ii) those portions of the Surface Water and Stormwater Management System intended to be conveyed to the Master Association have in fact been conveyed to the Master Association, (iii) the Master Association is designated as the maintenance entity on the records of the District and all transfer records required by the District have been executed and accepted by the District, (iv) the City has been provided with a copy ofWesmere's proposed maintenance plan with respect to the Surface Water and Stormwater Management System, and (v) the City has been provided with a written statement from the Master Association acknowledging receipt of Wesmere's proposed plan with respect to the Surface Water and Stormwater Management System and that the Master Association is responsible for the maintenance of the Surface Water and Stormwater Management System. Wesmere shall deliver to the Board, the maintenance plan for the Surface Water and Stormwater Management System accompanied by an engineer's certification that the Surface Water and Stormwater Management System is functioning in accordance with all approved plans and permits. To the extent that any such engineer's report indicates any corrective action is required to the Surface Water and Stormwater Management System, Wesmere shall be required to diligently undertake such corrective action at Wesmere's expense and Wesmere shall post a cash bond with the Master Association for the estimated costs of such corrective action. The City has the right, but not the obligation, to maintain and repair the Surface Water and Stormwater Management System and obtain reimbursement from the Master Association or from Wesmere, if Wesmere is still responsible for maintenance of the Surface Water and Stormwater Management System. ARTICLE VIII USE RESTRICTIONS All of the Property shall be held, used, and enjoyed subject to the following limitations and restrictions, and any and all additional rules and regulations which may, from time to time, be adopted by the unanimous vote of the Board. Section 1. ENFORCEMENT. Failure of an Owner to comply with any limitations or restrictions in any of the Master Documents or with any rules and regulations promulgated by the unanimous vote of the Board with respect to the Master Association Property shall be grounds for FTL:2335962:6 22 action which may include, without limitation, an action to recover sums due for damages, injunctive relief, or any combination thereof. In addition to all other remedies, the Master Association may levy reasonable fines against any Owner or any Owner's lessee, guest or invitee for failure of such Owner, or such Owner's guests, invitees, lessees or employees to comply with any of the Master Documents, provided the following procedures are adhered to: A. Notice. The Master Association shall notify the Owner in writing of the noncompliance and set forth the corrective action to be taken. A fine may not be imposed without notice of at least fourteen (14) days to the Owner sought to be fined and an opportunity for a hearing before a special master appointed by the Board or a committee of at least three (3) individuals appointed by the Board who are not officers, directors, or employees of the Master Association, or the spouse, parent, child, brother or sister of an officer, director, or employee of the Master Association. If the committee, by a unanimous vote, does not approve a proposed fine, it may not be imposed. At the Master Association's option, any fine may be levied on a daily basis in the event of a continuing violation without the necessity of a new hearing and without any limitation on the amount of such fine. B. Hearing. Should the Owner still be in noncompliance, the noncompliance shall be presented to the Board after which the Board shall hear reasons why a fine should or should not be imposed. A written decision of the Board, which must be unanimous, shall be submitted to the Owner, as applicable, not later than twenty-one (21) days after said meeting. C. Payment. A fine shall be paid not later than thirty (30) days after notice of the imposition of the fine. D. Fines. A fine shall be treated as an Assessment subject to the provisions of the collection of Assessments as otherwise set forth herein, and shall constitute a lien upon the applicable Parcel with the same force and effect as a lien for Common Expenses. All monies received from fines shall be allocated as directed by the Board, subject always to the provisions of this Master Declaration. E. Failure to Pay Assessments. Notice and Hearing as provided in Subparagraphs A and B above shall not be required with respect to the imposition of fines upon any Owner because of such Owner's failure to pay Assessments or other charges when due. Section 2. NO IMPROPER USE. No unlawful use shall be made of any Parcel. All valid laws, zoning ordinances and regulations of all governmental bodies having jurisdiction thereover shall be observed. Violations of laws, orders, rules, regulations or requirements of any governmental agency having jurisdiction thereover relating to any Parcel shall be corrected by, and at the sole expense of, the Owner of the Parcel. Section 3. NO SWMIMMING OR BOATING. Swimming, boating and fishing in the pond located on Tract 0 is strictly prohibited. Section 4. INCREASE IN INSURANCE RATES. Owners may not engage in any action which may reasonably be expected to result in an increase in the rate of any insurance policy covering any portion of the Master Association Property unless such Owner notifies the Master FTL:2335962:6 23 Association of such actions and such Owner bears any increases in the cost of insurance due to such Owner's actions. Section 5. SLOPES AND TREES. No Owner may engage in any activity which will change the slope or drainage of any portion of the Property in violation of any permits, including but not limited to, the District's permit attached hereto and made a part hereof as Exhibit "G". Section 6. SIGNS. No sign, display, poster, or other advertising device of any kind (including, without limitation, signs for the sale or renting of Parcels or any portion of a Parcel, may be displayed in public view on any portion of the Master Association Property without the prior written unanimous consent of the Board. Signs required by any governmental or quasi governmental body shall be exempt from this Section. Section 7. ENFORCEMENT BY THE DISTRICT. The District shall have the right to enforce, by a proceeding at law or in equity, the provisions contained in this Master Declaration which relate to the maintenance and repair of the Surface Water and Stormwater Management System. ARTICLE IX INSURANCE AND CONDEMNATION The Master Association shall purchase and maintain the following insurance coverages subject to the following provisions, and the cost of the premiums therefor shall be a part of the Common Expenses: Section 1. CASUALTY INSURANCE. Property and casualty insurance for Master Association Property shall be at the Board's discretion, assuming any such insurance is available. Section 2. PUBLIC LIABILITY INSURANCE. A comprehensive policy of public liability insurance naming the Master Association and, until the Master Declarant no longer owns any Parcel or portion thereof within the Property, the Master Declarant, and if such option is available without cost, such policy shall also designate the Owners of Parcels and any Sub-Association as named insureds thereof insuring against any and all claims or demands made by any person or persons whomsoever for personal injuries or property damage received in connection with, or arising from, the operation, maintenance and use of the Master Association Property and any Improvements located thereon, and for any other risks insured against by such policies with limits of not less than One Million Dollars ($1,000,000.00) for damages incurred or claimed by anyone person for anyone occurrence; not less than Three Million Dollars ($3,000,000.00) for damages incurred or claimed by more than one person for anyone occurrence; and for not less than Fifty Thousand Dollars ($50,000.00) property damage per occurrence with no separate limits stated for the number of claims. The Master Association may also obtain worker's compensation insurance and other liability insurance including, but not limited to, insurance for lawsuits related to employment contracts in which the Master Association is a party, as the Board may deem desirable. Section 3. FIDELITY COVERAGE. Adequate fidelity coverage to protect against dishonest acts of the officers and employees of the Master Association and the Board and all others who FTL:2335962:6 24 handle and are responsible for handling funds of the Master Association may be maintained in the form of fidelity bonds, which requirements shall be reasonably determined by the Board. Section 4. DIRECTORS' COVERAGE. Adequate directors' and officers' liability coverage, which coverage shall be effective from and after the date the Master Association is created. Section 5. OTHER INSURANCE. The Board may obtain such other forms of insurance as the Board may determine and in such coverage amounts as the Board shall determine to be required or beneficial for the protection or preservation of the Master Association Property and any improvements now or hereafter located thereon or in the best interests of the Master Association and/or its officers and directors and employees. Section 6. CANCELLATION OR MODIFICATION. All insurance policies purchased by the Master Association shall provide that they may not be canceled (including for nonpayment of premiums) or substantially modified without at least ten (10) days prior written notice to the Master Association and to each first mortgage holder, if any, named in the mortgage clause. Section 7. CONDEMNATION. In the event the Master Association receives any award or payment arising from the taking of any Master Association Property or any part thereof as a result of the exercise of the right of condemnation or eminent domain, the net proceeds thereof shall first be applied to the restoration of such taken areas and Improvements thereon to the extent deemed advisable by the Board, and the remaining balance shall be retained by the Master Association and applied to reduce Assessments in the next calendar year, unless Florida Law requires such sums to be redistributed pro rata to Owners, in which case, the distribution shall be based upon the percentages for sharing Common Expenses between the Multifamily Parcel and the Commercial Parcel. Section 8. WAIVER OF SUBROGATION. As to each policy of insurance maintained by the Master Association which will not be voided or impaired thereby, the Master Association hereby waives and releases all claims against the Board, the Owners, the Master Declarant and the agents and employees of each of the foregoing, with respect to any loss covered by such insurance, whether or not caused by negligence of or breach of any agreement of said persons, but only to the extent that such insurance proceeds are received in compensation for such loss. ARTICLE X GENERAL PROVISIONS Section 1. CONFLICT WITH OTHER MASTER DOCUMENTS. In the event of any conflict between the provisions hereof and the provisions of the Articles and/or Bylaws and/or rules and regulations promulgated by the Master Association, the provisions of this Master Declaration shall control. Section 2. NOTICES. Any notice or other communication required or permitted to be given or delivered hereunder shall be deemed properly given and delivered upon the mailing thereof by United States mail, postage prepaid, or by a commonly recognized overnight courier service such as Federal Express, to: (i) each Owner, at the address of the person whose name appears as the Owner on the records of the Master Association at the time of such mailing and, in the absence of any specific address, at the address of the Parcel owned by such Owner and (ii) the Master Association, certified mail, return receipt requested, at 61 West Colonial Drive, Orlando, Florida FTL:2335962:6 25 32801, or such other address as the Master Association shall hereinafter notify the Master Declarant and the Owners of in writing. Section 3. ENFORCEMENT. The covenants and restrictions herein contained may be enforced by Master Declarant (so long as Master Declarant holds an equitable or legal interest in any Parcel or portion thereof), the Master Association, any Owner, any Institutional Mortgagee holding a mortgage on any portion of the Property and the District and the City in any judicial proceeding seeking any remedy recognizable at law or in equity, including damages, injunction or any other form of relief against any person, firm or entity violating or attempting to violate any covenant, restriction or provision hereunder. The failure by any party to enforce any such covenant, restriction or provision herein contained shall in no event be deemed a waiver of such covenant, restriction or provision or of the right of such party to thereafter enforce such covenant, restriction or provision. The prevailing party in any such litigation shall be entitled to all costs thereof including, but not limited to, Legal Fees. Section 4. INTERPRETATION. The provisions of this Master Declaration shall be liberally construed to effectuate its purpose and for the maintenance of the Master Association Property. Article, Section and Paragraph captions, headings and titles inserted throughout this Master Declaration are intended as a matter of convenience only and in no way shall such captions, headings or titles define, limit or in any way affect the subject matter or any of the terms and provisions thereunder or the terms and provisions of this Master Declaration. Whenever the context so requires or permits, any pronoun used herein may be deemed to mean the corresponding masculine, feminine or neuter form thereof, and the singular form of any nouns and pronouns herein may be deemed to mean the corresponding plural form thereof and vice versa. Section 5. SEVERABILITY. In the event any of the provisions of this Master Declaration shall be deemed invalid by a court of competent jurisdiction, said judicial determination shall in no way affect any of the other provisions hereof, which shall remain in full force and effect, and any provisions of this Master Declaration deemed invalid by a court of competent jurisdiction by virtue of the term or scope thereof shall be deemed limited to the maximum term and scope permitted by law. In the event that any court should hereafter determine that any provision of this Master Declaration is in violation of the rule of property known as the "rule against perpetuities" or any other rule of law because of the duration of a time period, such provision shall not thereby become invalid, but instead the duration of such time period shall be reduced to the maximum period allowed under such rule of law, and in the event the determination of the duration of such time period requires measuring lives, such measuring life shall be that of the incorporator of the Master Association. Section 6. CERTAIN RIGHTS OF MASTER DECLARANT. Master Declarant and Wesmere to the extent of obligations imposed on Wesmere pursuant to this Master Declaration, hereby has, shall have and hereby reserves the right to enter upon the Master Association Property (including, without limitation, all drainage easements) to final-out and/or close-out any and all approvals, permits, orders, conditions and/or requirements that have been issued or imposed by any governmental entity in connection with the development and construction of the Property and all Improvements thereon for Master Declarant to comply and adhere to the same, and such rights shall continue for such period of time as is necessary for the Master Declarant to fully comply with all such governmentally issued approvals, permits, orders, conditions and/or requirements. FTL:2335962:6 26 Without limiting the generality of the foregoing, in exercising any such rights, the Master Declarant (and Wesmere, as applicable) shall have the right to remove and/or relocate any and all items (including, without limitation, landscape materials, fences andJor other Improvements) that may be required to be removed andJor relocated to final-out andJor close-out any and all such approvals, permits, orders, conditions andJor requirements. This Section 6 may not be suspended, superseded or modified in any manner by any amendment to this Master Declaration unless such amendment is consented to in writing by the Master Declarant and Wesmere. This right of use and transaction of business as set forth herein and the other rights reserved by the Master Declarant in the Master Documents may be assigned in writing by the Master Declarant in whole or in part. For the purposes of this Section 6, the term "Master Declarant" shall include any "Lender" which has loaned money to the Master Declarant to acquire or construct Improvements upon the Commercial Parcel, or its successors and assigns if such Lender, its successors or assigns, acquires title to any portion of the Commercial Parcel as a result of the foreclosure of any mortgage encumbering any portion of the Commercial Parcel securing any such loan to the Master Declarant, or acquires title thereto by deed in lieu of foreclosure. The rights and privileges of the Master Declarant as set forth in this Section 6, which are in addition to, and are no way a limit on, any other rights or privileges of the Master Declarant under any of the Master Documents, shall terminate upon the Master Declarant no longer owning any portion of the Commercial Parcel (and not having any equitable or legal interest therein) or upon such earlier date as the Master Declarant shall notify the Master Association in writing of the Master Declarant's voluntary election to relinquish the aforesaid rights and privileges. The Master Declarant shall also have the right, but not the obligation, to conduct inspections and tests from time to time of all or any portion of the Master Association Property in order to ascertain the physical condition of the Improvements and to determine if maintenance, repair or replacement of any such Improvement is necessary. The Master Declarant shall have such rights of entry on, over, under, across and through the Property as may be reasonably necessary to exercise the rights described in this Section 6. In the event the Master Declarant exercises its inspection right, it is acknowledged by the Master Association and all Owners that the Master Declarant is performing any such inspection for its own benefit and not for the benefit of the Master Association andJor the Owners and further, the Master Declarant shall have no obligation to inform the Master Association andJor the Owners of the result of any such inspection. ALL OWNERS, OCCUPANTS AND USERS OF THE PROPERTY ARE HEREBY PLACED ON NOTICE THAT THE MASTER DECLARANT AND/OR ITS AGENTS, CONTRACTORS, SUBCONTRACTORS, LICENSEES AND OTHER DESIGNEES AND OTHER OWNERS MAY BE, FROM TIME TO TIME, CONDUCTING EXCAVATION, CONSTRUCTION AND OTHER ACTIVITIES WITHIN OR IN PROXIMITY TO THE PROPERTY. BY THE ACCEPTANCE OF THEIR DEED OR OTHER CONVEYANCE OR MORTGAGE, LEASEHOLD, LICENSE OR OTHER INTEREST, AND BY USING ANY PORTION OF THE PROPERTY, EACH SUCH OWNER, OCCUPANT AND USER AUTOMATICALLY ACKNOWLEDGES, STIPULATES AND AGREES (i) THAT NONE OF THE AFORESAID ACTIVITIES SHALL BE DEEMED NUISANCES OR NOXIOUS OR OFFENSIVE ACTIVITIES, HEREUNDER OR AT LAW GENERALLY, (ii) NOT TO ENTER UPON, OR ALLOW OTHER PERSONS UNDER THEIR CONTROL OR DIRECTION TO ENTER UPON (REGARDLESS OF WHETHER SUCH ENTRY IS A TRESPASS OR OTHERWISE) ANY PROPERTY WITHIN OR IN PROXIMITY TO THE PROPERTY WHERE SUCH ACTIVITY IS BEING CONDUCTED (EVEN IF NOT FTL:2335962:6 27 BEING ACTIVELY CONDUCTED AT THE TIME OF ENTRY, SUCH AS AT NIGHT OR OTHERWISE DURING NON-WORKING HOURS), (iii) THE MASTER DECLARANT AND THE OTHER AFORESAID PARTIES SHALL NOT BE LIABLE FOR ANY LOSSES, DAMAGES (COMPENSATORY, CONSEQUENTIAL, PUNITIVE OR OTHERWISE), INJURIES OR DEATHS WHATSOEVER ARISING FROM OR RELATING TO THE AFORESAID ACTIVITIES, (iv) ANY PURCHASE OR USE OF ANY PORTION OF THE PROPERTY HAS BEEN AND WILL BE MADE WITH FULL KNOWLEDGE OF THE FOREGOING, AND (v) THIS ACKNOWLEDGMENT AND AGREEMENT IS A MATERIAL INDUCEMENT TO MASTER DECLARANT TO SELL, CONVEY, LEASE AND/OR ALLOW THE USE OF THE COMMERCIAL PARCEL. Section 7. DISPUTES AS TO USE. In the event there is any dispute as to whether the use of the Property or any portion or portions thereof complies with the covenants, restrictions, easements or other provisions contained in this Master Declaration, such dispute shall be referred to the Board, and a determination rendered by the Board, which determination must be pursuant to the unanimous vote of all the Directors, with respect to such dispute shall be final and binding on all parties concerned therewith. Notwithstanding anything to the contrary herein contained, any use by the Master Declarant of the Property shall be deemed a use which complies with this Master Declaration and shall not be subject to a contrary determination by the Board. Section 8. AMENDMENT AND MODIFICATION. The process of amending or modifying this Master Declaration shall be as follows: 1. This Master Declaration may be amended by the unanimous approval or ratification by all Directors of the Board and the approval of the City and/or the District, if required. 2. Amendments for correction of scrivener's errors or other nonmaterial changes may be made by Master Declarant alone until Master Declarant no longer owns any portion of the Commercial Parcel, and thereafter by a majority vote of the Board. 3. Notwithstanding anything to the contrary herein contained, no amendment to this Master Declaration shall be effective which shall impair or prejudice the rights or priorities of the Master Declarant, the Master Association, Wesmere or of any Institutional Mortgagee under the Master Documents without the specific written approval of such party affected thereby. Finally, notwithstanding anything to the contrary contained herein, no amendment to this Master Declaration shall be effective which shall eliminate or modify the provisions of Section 6 of this Article X and any such amendment shall be deemed to impair and prejudice the rights of the Master Declarant. 4. A true copy of any Amendment to this Master Declaration shall be sent certified mail by the Master Association to the Master Declarant, each Sub-Association, and to all Listed Mortgagees. The amendment shall become effective upon the recording amongst the Public Records of the County of said amendment to this Master Declaration which sets forth any amendment or modification to this Master Declaration. 5. Notwithstanding anything contained herein to the contrary, the Master Declarant may, without the consent of any Owners, the Master Association or any other person, FTL:2335962:6 28 record any amendment(s) to this Master Declaration which may be required by an Institutional Mortgagee for the purpose of satisfying said Institutional Mortgagee's development criteria or such other criteria as may be established by such Institutional Mortgagee's secondary mortgage market purchasers. 6. Any proposed amendment to this Master Declaration which would affect the Surface Water and Stormwater Management System (including the water management portions of the Master Association Property) must have the prior approval of the District and the City. 7. If any proposed amendment to this Declaration contains provisions which would affect the City, such amendment must be approved in writing by the City and such approval must be recorded in the public records of the County or such provisions will not be effective. Section 9. DELEGATION. The Master Association, pursuant to a resolution duly adopted by the Board, shall have the continuing authority to delegate all or any portion of its responsibilities for maintenance, operation and administration, as provided herein, to a Sub-Association or to any managing agency or entity selected by the unanimous approval of all Directors of the Master Association from time to time and whether or not related to the Master Declarant. Section 10. TERM. This Master Declaration and the terms, provisions, conditions, covenants, restrictions, reservations, regulations, burdens and liens contained herein shall run with and bind the Property, and inure to the benefit of the Master Declarant, the Master Association and the Owners and their respective legal representatives, heirs, successors and assigns for a term of fifty (50) years from the date of recording this Master Declaration amongst the public records of the County, after which time this Master Declaration shall be automatically renewed and extended for successive periods of ten (10) years each unless at least one (1) year prior to the termination of such fifty (50)-year term or any such ten (lO)-year extension there is recorded amongst the public records of the County an instrument agreeing to terminate this Master Declaration signed by all of the Directors and two-thirds (2/3) of all Owners and approved by the City, upon which event this Master Declaration shall be terminated upon the expiration of the fifty (50)-year term or the ten (10)-year extension during which such instrument was recorded. In the event this Master Declaration is terminated or the Master Association ceases to exist for any reason, the Owners shall be jointly and severally responsible for the costs to maintain and shall maintain the Master Association Property in the manner described herein. This provision shall survive the termination of this Master Declaration and shall run with the Property in perpetuity. In the event of a dissolution or termination of the Master Association, the administration and maintenance of the Surface Water and Stormwater Management System shall be transferred only to another not-for-profit corporation or dedicated to an appropriate governmental agency agreeing to accept such conveyance or dedication; provided, however, such entity shall be pre-approved by the City. Until such pre-approval is obtained from the City, the City may levy and collect assessments and impose liens with respect thereto, notwithstanding the dissolution of the Master Association for the maintenance of the Surface Water and Stormwater Management System. FTL:2335962:6 29 Section 11. APPROVAL OF ASSOCIATION LAWSUITS. Notwithstanding anything contained herein to the contrary, in order to prevent Owners from incurring expenses not contemplated by the Master Documents, for which the Owners will be responsible, the Master Association shall be required to obtain the approval of all Directors prior to engaging persons or entities for the purpose of suing, or making, preparing or investigating any lawsuit, or commencing any lawsuit other than for the following purposes: (a) the collection of Assessments; (b) the collection of other charges which Owners are obligated to pay pursuant to the Master Documents; (c) the enforcement of the use and occupancy restrictions contained in the Master Documents; or (d) filing a compulsory counterclaim. Section 12. COMPLIANCE WITH PROVISIONS. Every person who owns, occupies or acquires any right, title, estate or interest in or to any Parcel or portion thereof except as elsewhere herein provided does consent and agree to, and shall be conclusively deemed to have consented and agreed to, every limitation, restriction, easement, reservation, condition and covenant contained herein, whether or not any reference to these restrictions is contained in the instrument by which such person acquired an interest in such property. The Master Declarant shall not in any way or manner be held liable or responsible for any violation of this Master Declaration by any person other than the Master Declarant. Section 13. COVENANT RUNNING WITH THE LAND. All provisions of this Master Declaration shall, to the extent applicable and unless otherwise expressly provided herein to the contrary, be construed to be covenants running with the Parcels and the Property and any part thereof and interest therein, and all of the provisions hereof shall be binding upon and inure to the benefit of the Master Declarant and subsequent Owner(s) of the Parcels and the Property or any part thereof, or interest therein, and their respective heirs, successors, and assigns. However, the same are not intended to create nor shall they be construed as creating any rights in or for the benefit of the general public, unless specifically provided herein to the contrary. All present and future Owners, lessees, and occupants of the Parcels shall be subject to and shall comply with the provisions of this Master Declaration and the Articles, Bylaws and applicable rules and regulations as they exist and may from time to time be amended. The acceptance of a deed of conveyance of a Parcel or a portion thereof, or the entering into a lease of or occupancy of a Parcel or a portion thereof, shall constitute an adoption and ratification by such Owner, lessee, or occupant of the provisions of this Master Declaration, and the Articles, Bylaws, and applicable rules and regulations of the Master Association, as they may be amended from time to time. In the event that any easements granted herein shall fail for want of a grantee in being or for any other purpose, the same shall constitute and be covenants running with the land. Section 14. NO PUBLIC RIGHT OR DEDICATION. Nothing contained in this Master Declaration shall be deemed to be a gift or dedication of all or any portion of the Master Association Property to the public, or for any public use. FTL:2335962:6 30 Section 15. NO REPRESENTATIONS OR WARRANTIES. NO REPRESENTATIONS OR WARRANTIES OF ANY KIND, EXPRESS OR IMPLIED, HAVE BEEN GIVEN OR MADE BY THE MASTER DECLARANT OR ITS AGENTS OR EMPLOYEES IN CONNECTION WITH ANY PORTION OF THE MASTER ASSOCIATION PROPERTY, ITS PHYSICAL CONDITION, ZONING, COMPLIANCE WITH APPLICABLE LAWS, FITNESS FOR INTENDED USE, OR IN CONNECTION WITH THE SUBDIVISION, SALE, OPERATION, MAINTENANCE, COST OF MAINTENANCE, TAXES OR REGULATION THEREOF, EXCEPT AS SPECIFICALLY AND EXPRESSLY SET FORTH IN THIS MASTER DECLARATION OR ANOTHER WRITTEN INSTRUMENT. Section 16. RIGHTS OF INSTITUTIONAL MORTGAGEES A. Right to Notice. The Master Association shall make available for inspection upon request, during normal business hours or under reasonable circumstances, the Master Documents and the books, records and financial statements of the Master Association to Owners and the holders, insurers or guarantors of any first mortgages encumbering a Parcel. In addition, evidence of insurance shall be issued to each Owner and mortgagee holding a mortgage encumbering a Parcel upon written request to the Master Association. A mortgagee shall be entitled to receive timely written notice of any proposed action that requires the consent of a specified percentage of mortgagees. To be entitled to receive notices under this subparagraph A the mortgagee (or mortgage insurer or guarantor) must send a written request to the Master Association stating both its name and address and the Parcel on which it has (or insures or guaranties) the mortgage. B. Rights of Listed Mortgagee. Upon written request to the Master Association identifying the name and address of the Listed Mortgagee of a mortgage encumbering a Parcel and the legal description of such Parcel, the Master Association shall provide such Listed Mortgagee with timely written notice of the following: 1. Any condemnation, loss or casualty loss which affects any material portion of the Master Association Property encumbered by a first mortgage held, insured or guaranteed by such Listed Mortgagee; 2. Any lapse, cancellation or material modification of any insurance policy or fidelity bond maintained by the Master Association; and 3. Any proposed action which would reqUIre the consent of mortgagees holding a mortgage encumbering a Parcel. C. Right of Listed Mortgagee to Receive Financial Statement. Any Listed Mortgagee shall, upon written request made to the Master Association, be entitled free of charge to financial statements from the Master Association for the prior fiscal year and the same shall be furnished within a reasonable time following such request. D. Right to Cover Cost. Any Listed Mortgagee shall have the right, but not the obligation, jointly or singularly, and at their sole option, to pay any of the Assessments which are in default and which mayor have become a charge against any Parcel. Further, any Listed Mortgagees shall have the right, but not the obligation, jointly or singularly, and at their sole FTL:2335962:6 31 option, to pay insurance premiums or fidelity bond premiums or any real estate taxes on behalf of the Master Association where, in regard to insurance premiums, the premiums are overdue and where lapses in policies mayor have occurred or, in regard to real estate taxes, where such tax is in default and which mayor has become a charge against the Master Association Property. Any Listed Mortgagees paying insurance premiums or any real estate tax on behalf of the Master Association as set forth above shall be entitled to immediate reimbursement from the Master Association plus any costs of collection, including, but not limited to, Legal Fees. Section 17. SECURITY NEITHER MASTER DECLARANT, WESMERE NOR THE MASTER ASSOCIATION MAKE ANY REPRESENTATIONS WHATSOEVER AS TO THE SECURITY OF THE PREMISES. ALL OWNERS AGREE TO HOLD MASTER DECLARANT, WESMERE AND THE MASTER ASSOCIATION HARMLESS FROM ANY LOSS OR CLAIM ARISING FROM THE OCCURRENCE OF ANY CRIME OR OTHER ACT. NEITHER THE MASTER ASSOCIATION, MASTER DECLARANT, WESMERE NOR ANY SUCCESSOR DECLARANT SHALL IN ANY WAY BE CONSIDERED INSURERS OR GUARANTORS OF SECURITY WITHIN THE PROPERTY. NEITHER THE MASTER ASSOCIATION, MASTER DECLARANT, WESMERE NOR ANY SUCCESSOR DECLARANT SHALL BE HELD LIABLE FOR ANY LOSS OR DAMAGE BY REASON OR FAILURE TO PROVIDE ADEQUATE SECURITY OR INEFFECTIVENESS OF SECURITY MEASURES UNDERTAKEN, IF ANY. EACH OWNER AND OCCUPANT AND EACH TENANT, GUEST AND INVITEE OF AN OWNER, ACKNOWLEDGES AND UNDERSTANDS THAT THE MASTER ASSOCIATION AND ITS BOARD, MASTER DECLARANT, WESMERE OR ANY SUCCESSOR DECLARANT ARE NOT INSURERS AND THAT EACH OWNER AND OCCUPANT AND EACH TENANT, GUEST AND INVITEE OF AN OWNER ASSUMES ALL RISKS FOR LOSS OR DAMAGE TO PERSONS, TO IMPROVEMENTS AND TO THE CONTENTS OF IMPROVEMENTS AND FURTHER ACKNOWLEDGES THAT THE MASTER ASSOCIATION AND ITS BOARD, MASTER DECLARANT, WESMERE OR ANY SUCCESSOR DECLARANT HAVE MADE NO REPRESENTATIONS OR WARRANTIES NOR HAS ANY OWNER OR OCCUPANT, OR ANY TENANT, GUEST OR INVITEE OF AN OWNER RELIED UPON ANY REPRESENTATION OR WARRANTY, EXPRESSED OR IMPLIED, INCLUDING ANY WARRANTY OF MERCHANTABILITY OR FITNESS FOR ANY PARTICULAR PURPOSE, RELATIVE TO ANY SECURITY MEASURES UNDERTAKEN WITHIN THE PROPERTY, IF ANY. FTL:2335962:6 32 IN WITNESS WHEREOF, this Master Declaration has been signed by the Master Declarant and joined in by the Master Association on the respective dates set forth below. MASTER DECLARANT: LAKE BUTLER PROFESSIONAL CENTER, LLC, a Florida limited liability company WITNESSES: By: GLOBAL GROUP INVESTMENT, INC., a Florida corporation Print Name: By: David Ortiz, President Print Name: (Corporate Seal) WITNESSES: JOINED IN BY: WESMERE DEVELOPMENT, LLC, a Florida limited liability company Signature Print Name By: Albert Kodsi, President (SEAL) Signature Print Name JOINED IN BY: MORRISON HOMES, INe., a Delaware corporation WITNESSES: Signature Print Name By: Steven A. Parker, President (SEAL) Signature Print Name FTL:2335962:6 STATE OF FLORIDA ) ) SS COUNTYOFBROWARD ) I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State aforesaid and in the County aforesaid to take acknowledgments, the foregoing instrument was acknowledged before me by David Ortiz, President of GLOBAL GROUP INVESTMENT, INC., a Florida corporation, on behalf of LAKE BUTLER PROFESSIONAL CENTER, LLC, a Florida limited liability company, freely and voluntarily under authority duly vested in him by said corporation, and that the seal affixed thereto is the true corporate seal of said corporation. He is personally known to me. WITNESS my hand and official seal in the County and State last aforesaid this _ day of , 200_" Notary Public, State of Florida at Large My Commission Expires: Typed, Printed or Stamped Name of Notary Public STATE OF ) ) SS COUNTY OF ) I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State aforesaid and in the County aforesaid to take acknowledgments, the foregoing instrument was acknowledged before me by Albert Kodsi, President of WESMERE DEVELOPMENT, LLC, a Florida limited liability company, freely and voluntarily under authority duly vested in him by said corporation, and that the seal affixed thereto is the true corporate seal of said corporation. He is personally known to me. WITNESS my hand and official seal in the County and State last aforesaid this _ day of ,200_. Notary Public, State of Florida at Large My Commission Expires: Typed, Printed or Stamped Name of Notary Public STATE OF ) ) SS COUNTY OF ) I HEREBY CERTIFY that on this day, before me, an officer duly authorized in the State aforesaid and in the County aforesaid to take acknowledgments, the foregoing instrument was acknowledged before me by Steven A. Parker, the President of MORRISON HOMES, INC., a Delaware corporation, freely and voluntarily under authority duly vested in him by said FTL:2335962:6 corporation, and that the seal affixed thereto is the true corporate seal of said corporation. He is personally known to me. WITNESS my hand and official seal in the County and State last aforesaid this _ day of ,200_. Notary Public, State of Florida at Large My Commission Expires: Typed, Printed or Stamped Name of Notary Public FTL:2335962:6 EXHIBIT "A" Legal Description of Commercial Parcel Parcell of VILLAGES OF WESMERE, according to the Plat thereof, recorded in Plat Book 70, Page 9 of the Public Records of Orange County, Florida. FTL:2335962:6 EXHIBIT "B" Legal Description of Multifamilv Parcel Lots 1 through 45, inclusive; Lots 141 through 210, inclusive; Lots 344 through 353, inclusive; and Tracts A, B, C, D, E, F, H and M of VILLAGES OF WESMERE, according to the Plat thereof, recorded in Plat Book 70, Page 9 of the Public Records of Orange County, Florida. FTL:2335962:6 EXHIBIT "C" Legal Description of School Board Parcel Parcel 2 of VILLAGES OF WESMERE, according to the Plat thereof, recorded in Plat Book 70, Page 9 of the Public Records of Orange County, Florida. FTL:2335962:6 EXHIBIT "D" Legal Description of Master Association Property Tracts 0, Q, Rand T of VILLAGES OF WESMERE, according to the Plat thereof, recorded in Plat Book 70, Page 9 of the Public Records of Orange County, Florida. FTL:2335962:6 EXHIBIT "E" Amended and Restated Articles of Incorporation of W esmere Cove Property Owners Association. Inc. FTL:2335962:6 EXHIBIT "F" Amended and Restated Bylaws of W esmere Cove Property Owners Association. Inc. FTL:2335962:6 FTL:2335962:6 EXHIBIT "G" Surface Water and Stormwater Management System Permit JOINDER AND CONSENT OF WESMERE TOWNHOME ASSOCIATION, INC. TO THE AMENDED AND RESTATED MASTER DECLARATION OF COVENANTS AND RESTRICTIONS FOR WESMERE COVE THIS JOINDER AND CONSENT OF WESMERE TOWNHOME ASSOCIATION, INC. ("Joinder and Consent") is given this _ day of ,200_, by the undersigned officers of Wesmere Townhome Association, Inc. ("Association"), on behalf of the Association. The Association hereby joins in and consents to the Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove recorded or to be recorded in the Public Records of Orange County, Florida. IN WITNESS WHEREOF, the undersigned has caused this Joinder and Consent to be executed as of the day and year first above written. JOINED IN AND CONSENTED TO BY: WESMERE TOWNHOME ASSOCIATION, INC.: Print Name: John B. Shoemaker, President Print Name: Print Name: Matthew Wright, Secretary Print Name: COUNTY OF ) ) ) SS: STATE OF FLORIDA I HEREBY CERTIFY, that on this day before me, an officer duly authorized in the State aforesaid and in the County aforesaid to take acknowledgments, the foregoing instrument was acknowledged before me by John B. Shoemaker, as President of Wesmere Townhome Association, Inc., a Florida not-for-profit corporation, on behalf of the corporation, who is personally known to me to be the officer described in and who executed the foregoing instrument. day of FTL:2335962:6 WITNESS my hand and official seal in the County and State aforesaid this _ ,200_. Notary Public, State of Florida My Commission Expires: STATE OF FLORIDA ) ) ) SS: COUNTY OF I HEREBY CERTIFY, that on this day before me, an officer duly authorized in the State aforesaid and in the County aforesaid to take acknowledgments, the foregoing instrument was acknowledged before me by Matthew Wright, as Secretary ofWesmere Townhome Association, Inc., a Florida not-for-profit corporation, on behalf of the corporation, who is personally known to me to be the officer described in and who executed the foregoing instrument. day of WITNESS my hand and official seal in the County and State aforesaid this _ ,200_. Notary Public, State of Florida My Commission Expires: FTL:2335962:6 JOINDER AND CONSENT OF THE SCHOOL BOARD OF ORANGE COUNTY, FLORIDA TO THE AMENDED AND RESTATED MASTER DECLARATION OF COVENANTS AND RESTRICTIONS FOR WESMERE COVE THIS JOINDER AND CONSENT OF THE SCHOOL BOARD OF ORANGE COUNTY, FLORIDA ("Joinder and Consent") IS given this _ day of , 200_, by the undersigned of The School Board of Orange County, Florida ("School Board"), on behalf of the School Board. The School Board hereby joins in and consents to the Amended and Restated Master Declaration of Covenants and Restrictions for Wesmere Cove recorded or to be recorded in the Public Records of Orange County, Florida. IN WITNESS WHEREOF, the undersigned has caused this Joinder and Consent to be executed as of the day and year first above written. JOINED IN AND CONSENTED TO BY: THE SCHOOL BOARD OF ORANGE COUNTY, FLORIDA, a Print Name: Name: Title: Print Name: STATE OF FLORIDA ) ) ) SS: COUNTY OF I HEREBY CERTIFY, that on this day before me, an officer duly authorized in the State aforesaid and in the County aforesaid to take acknowledgments, the foregoing instrument was acknowledged before me by , as of The School Board of Orange County, Florida, a , on behalf of the , who is personally known to me to be the officer described in and who executed the foregoing instrument. day of WITNESS my hand and official seal in the County and State aforesaid this _ ,200_. Notary Public, State of Florida My Commission Expires: FTL:2335962:6