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HomeMy WebLinkAboutRC 9604020586 • • A-95-201 s i t CITY OF RENTON RECORDED AT THE REQUEST OF AND AFTER RECORDING RETURN TO: APR 1 8 1996 RECEIVED 0mncso M. :lam CITY CLERK'S OFFICE LAWLER 030CIATCC 130 nth Avenue, Suite. 3410 eQitie, WA 38101 WHEN RECORDED RETURN TO: Office of the City Clerk Renton Municipal Building 200 Mill Avenue South Renton,WA 98055 0 DECLARATION AND O COVENANTS, CONDITIONS, RESTRICTIONS, EASEMENTS AND RESERVATIONS FOR VILLAGE ON UNION • 4Y"JJ C$) 4=1 iG C.] W } 1-- J C3 CJ I H L1 C3 Y1 - ea CL -rl C70 Y7 rir a -4- 0 .t) CCR.VOU.JB.February 9,1996 k r . • Table of Contents Recitals 1 Article 1 Definitions Section 1.01 Words Defined 1 Section 1.02 Form of Words 5 Article 2 Plan of Development Section 2.01 Development of Property 5 Article 3 Common Areas, Limited Common Areas, Dedications and Easements Section 3.01 Tract Dedications 6 Section 3.02 Common Areas 6 Section 3.03 Association to Maintain Common and Common Maintenance Areas 6 Section 3.04 Alteration of Common Areas 7 Section 3.05 Tract A-D and G Recreation 7 Section 3.06 Stormwater Drainage Facilities and Stormwater Drainage Facility Access Road 7 Section 3.07 Utilities Easements 7 Section 3.08 Side Yard Easements 8 Article 4 Construction on Lots and Use of Lots Section 4.01 Permitted Improvements 9 Section 4.02 Uniformity of Use and Appearance 9 Section 4.03 Submission of Plans 9 Section 4.04 Construction and Landscaping 1 0 Section 4.05 Board Approval Not Warranty 1 0 Section 4.06 Lot Size 1 0 Section 4.07 Use Restrictions 1 1 Article 5 Village on Union Homeowners' Association Section 5.01 Organization 1 4 Section 5.02 Board of Directors 1 5 Section 5.03 Qualification for Membership 15 Section 5.04 Transfer of Membership 1 5 Section 5.05 Number of Votes 1 6 Section 5.06 Voting 1 6 Section 5.07 Pledged Votes 1 6 Section 5.08 Annual and Special Meetings 1 7 Section 5.09 Books and Records 1 7 Section 5.10 Transition Date 1 8 Section 5.11 Transportation Management Plan 1 8 Article 6 Townhome Owners' Group Section 6.01 Organization 1 8 Section 6.02 Spokesperson 1 8 Section 6.03 Qualification for Membership 1 9 Section 6.04 Voting and Quorum 1 9 Section 6.05 $i-Annual and Special Meetings 1 9 Section 6.06 Encroachment 1 9 Section 6.07 Construction 2 0 Section 6.08 Roof. Gutter-Downspout & Siding Rgplacement & Repair. Exterior Repainting 2 0 Section 6.09 Townhome Property Insurance 21 Article 7 Notices for All Purposes 22 t!' Article 8 Authority of the Board Section 8.01 Adoption of Rules and Regulations 2 2 Section 8.02 Enforcement of Declaration. Etc. 2 3 Section 8.03 Goods and Services 2 3 Section 8.04 Protection of Common Maintenance Areas 2 3 Section 8.05 Establish Committees 2 4 Article 9 Budget and Assessment for Common Expenses Section 9.01 Fiscal Year: Preparation of Budget 2 4 Section 9.02 Certificate of Unpaid Assessments 2 5 Section 9.03 Commencement of Assessments 2 5 Section 9.04 Surplus Funds 2 6 Section 9.05 Working Capital Fund 2 6 Section 9.06 geplacement Reserves 2 6 Article 10 Lien and Collection of Assessments Section 10.01 Assessments Are a Lien: Priority 2 7 Section 10.02 Lien May Be Foreclosed 2 8 Section 10.03 Assessments Are Personal Obligations 2 8 Section 10.04 J.ate Charges and Interest on Delinquent Assessments 2 8 Section 10.05 Recovery of Attorneys' Fees and Costs 2 9 Section 10.06 Remedies Cumulative 2 9 Section 10.07 No Avoidance of Assessments 2 9 Article 11 Compliance with Declaration Section 11.01 Compliance of Owner 2 9 Section 11.02 Compliance of Lessee 2 9 Section 11.03 No Waiver of Strict Compliance 3 0 Section 11.04 Right of Entry 3 0 Article 12 Limitation of Liability 30 Article 13 Indemnification 31 i i • • THIS DECLARATION AND COVENANTS, CONDITIONS, RESTRICTIONS, EASEMENTS AND RESERVATIONS FOR VILLAGE ON UNION (the "Declaration") is made by J.K. of Bellevue, Inc., d/b/a Lyle Homes, a Washington corporation, and/or assigns, ("Declarant"), as of this /02. day of 1996. RECITALS CODeclarant is the owner of certain real property (the "Plat of VILLAGE ON UNION") located in King County, Washington. The Plat of VILLAGE ON UNION consists of Lots 1 through 92 01)td and Tracts A through G, as legally described in the final plat of Village on Union, recorded in Volume of Plats, pages records of King County, Washington and incorporated herein by reference. Village on Union is also referred to herein as the "Property." Declarant wishes to subject the Property to this Declaration. NOW, THEREFORE, Declarant declares that all of the property described above be subjected to this Declaration, shall be held, transferred, sold, conveyed, leased, used and occupied subject to the covenants, conditions, restrictions, easements, assessments and liens hereinafter set forth which are for the purpose of protecting the value and desirability of and which shall touch and concern and run with title to the real property subjected to this Declaration and which shall be binding on all parties having any right, title, or interest in the described property or any portion thereof, and their respective heirs, successors and assigns, and shall inure to the benefit of each owner thereof and to the benefit of the Village on Union Homeowners' Association and shall otherwise in all respects be regarded as covenants running with the land. ARTICLE I. DEFINITIONS Section 1.01 Words Defined. For the purposes of this Declaration and any amendments hereto, the following terms shall have the following meanings and all definitions shall be applicable to the singular and plural forms of such terms: 1 • 1 . 1 "AccessoryDwellingUnits" or "ADUs" shall 1 .0 0 the Cityof Renton, but generally established by9 Y have that meaning shall mean a subordinate housekeeping unit incorporated within a single family structure. 1 .01 .02 "Alley" shall mean those roadways within the Plat of Village on Union which are not streets, as defined below. 1 .01 .03 "Association" shall mean the Village on Union Homeowners' Association described in Article 5 of this Declaration, its successors and assigns. CV 1 .01 .04 "Board" shall mean the board of directors of the Association. Ct) 1 .01 .05 "Common Area" and "Common Area Improvements" shall mean and refer to all real and personal property, if any, now or hereafter owned or leased by the Association, or in which the Association has an easement, for the common use and enjoyment of the Owners. The Common Areas shall include those areas within the Subdivision and designated as Common Areas (i.e., Tracts A - G); walkways; street lighting; open space; rights under any landscape and signage easements, and any installed signs thereon, and any planted landscape features within any of the Common Areas. The Association will be responsible f o r maintenance of the stormwater facilities on Tracts E and F and facilities appurtenant thereto. The designation of any land and/or improvements as Common Areas shall not mean or imply that the public at large acquires any easement of use or enjoyment therein, unless specifically designated as such herein or in applicable documents or records. 1 .01 .06 "Common Expenses" shall mean the cost o f maintaining Common Areas, Common Maintenance Areas and carrying out all other Association obligations. 1 .01 .07 "Common Maintenance Area" shall mean those portions of all real property maintained by the Association for the benefit of the members of the Association. The areas to be 2 • • maintained by the Association at the time of the recording of this Declaration are as follows: (a) Plantings located on N.E. 6th St. as required by the City of Renton. CA (b) All street lighting located within the Plat of GD Village on Union whether located in Common Areas or within public N . right-of-way. 'a' (c) All Common Areas as defined above. CD 1 .01 .08 "Construction" and "Constructed" shall mean any construction, reconstruction, erection, repair or alteration of an improvement on a Lot, except wholly interior alterations to a then existing structure. 1 .01 .09 "Declarant" shall mean J.K. of Bellevue, Inc., d/b/a Lyle Homes, a Washington corporation, and/or assigns. 1 .01 .10 "Declaration" shall mean this Declaration of Covenants, Conditions, Restrictions, Easements, and Reservations, as it may from time to time be amended. 1 .01 .11 "First Mortgage" and "First Mortgagee" shall mean, respectively: (a) a recorded Mortgage on a Lot that has legal priority over all other Mortgages thereon; and (b) the holder of a "Eligible First Mortgagee" shall mean those First first mortgage. 9 Mortgagees who have submitted a written request to the Association q that they be notified of any proposed action requiring the consent of a specified percentage of Eligible First Mortgagees. For purposes of determining the percentage of First Mortgagees approving a proposed decision or course of action in cases where a Mortgagee holds First Mortgages on more than one Lot, such Mortgagee shall be deemed a separate Mortgagee for each such First Mortgage so held. 1 .0 1 .12 "Improvement" shall mean any residence, accessory building, fence, wall, driveway, walkway, patio, deck, swimming pool, or the like constructed on a Lot or Common Area. 3 ' • • 1 .01 .13 "Lot" shall mean any one of the ninety t w o 92 lots numbered lots 1 through 92 as shown on the Plat of Village on Union or any lots added thereto, together with the Structures and improvements, if any, thereon. Lots 1-9 shall also be known as "Townhome Lots". 1 .01 .14 "Mortgage" shall mean a recorded mortgage or deed of trust that creates a lien against a Lot and shall also mean a real estate contract for the sale of a Lot. 1 .01 .15 "Mortgagee" shall mean the beneficial owner, or the designee of the beneficial owner, of an encumbrance on a Lot created by a mortgage or deed of trust and shall also mean the vendor, or the designee of a vendor, of a real estate contract for the sale of a Lot. 1 .01 .16 "Owner" shall mean the record owner, whether one or more Persons, of fee simple title to a Lot within the Property, including a contract seller, except those having such interest merely for the performance of an obligation. 1 .01 .17 "Person" shall mean an individual, limited liability company, corporation, partnership, association, trustee or legal entity. 1 .01 .18 "Plat of Village on Union" shall mean the Plat of Village on Union recorded in Volume of Plats, pages under King County Recording No. and any amendments, corrections, or addenda thereto subsequently recorded. 1 .01 .19 "Property" shall mean the land described on on Union, and anyadditions thereto, together with the Plat of Village 9 all improvements thereon. 1 .01 .20 "Replacement Reserves" shall mean that fund allocated for the replacement and for repair of Common Area Improvements and Common Maintenance Area Improvements, as further provided in Section 9.06. 4 . • • 1 .01 .21 "Street" shall mean the following streets within the boundary of the plat or additions thereto dedicated to the City of Renton for public use: Queen Place N.E.; N.E. 5th Place; N.E. 5th Street; Tacoma Place N.E.; Shelton Place N.E. and Edmonds Place N.E. 1 .01 .22 "Townhome" shall mean a residential unit located on Lots 1 - 9 of the Plat of Village on Union. GO 1 .01 .23 "Townhome Lot" shall mean Lots 1 - 9 of the Lei Plat of Village on Union. 1 .01 .24 "Townhome Owners' Group" or "TOG" shall mean that subassociation formed to administrate issues affecting tthe Townhomes located on Lots 1 - 9, as described more particularly in Article 6. 1 .01 .25 "Transition Date" is defined in Section 5.10. Section 1 .02 Form of Words. The singular form of words shall include the plural, and the plural shall include the singular. Masculine, feminine and neuter pronouns shall be used interchangeably. ARTICLE 2. PLAN OF DEVELOPMENT Section 2.01 Develownent of Property. The Village on Union community shall consist of the Property described in the Plat of Village on Union. The Property contains ninety two (92) Lots, each of which shall contain one (1) unit of single family housing. The Property also includes the Common Areas owned by the Association and designated as such on the Plat of Village on Union. All Lots within Village on Union shall be and are hereby restricted exclusively to a single-family residential use and shall be subject to the standards and restrictions set forth in Article 4; provided that, the City of Renton has authorized the construction of nine (9) accessory dwelling units ("ADU") within the Plat. Such ADUs are expressly allowed and shall not be considered a violation of the restriction on single family use. Declarant may also exercise i t s 5 . • • • right to annex and develop additional property as set forth in Article 18. Declarant shall have the right, but not the obligation, for so long as Declarant owns any Lot to make improvements and changes to all Common Areas for: (a) installation and maintenance of any improvements; and (b) installation and maintenance of any water, sewer and other utilities systems and facilities. ARTICLE 3. COMMON AREAS, LIMITED COMMON AREAS, DEDICATIONS AND EASEMENTS Section 3.01 Tract Dedications. Tracts A through G in the Plat of Village on Union have been dedicated by the Plat of Village on Union to the Association or to the named entity for the purposes stated thereon. These dedications, and the responsibilities of the Declarant, Association, and Owners related thereto, are described below: Tracts A-D and G: Dedicated to Association for open space, recreation, park and landscaping. Tracts E and F: Dedicated to Association for storm water retention and drainage. Roadways: Dedicated to the City of Renton for the use of the public: Queen Place N.E.; N.E. 5th Place; N.E. 5th Street; Tacoma Place N.E.; Shelton Place N.E. and Edmonds Place N.E.; and all Alleys within the Plat of Village on Union. Section 3.02 Common Areas. "Common Areas" and "Common Area Improvements" are as defined in Article 1 above. All recreational facilities within Common Areas, if any, whenever and wherever located, shall be available for use on a non-discriminatory basis by all owners within the Property. Section 3.03 Association to Maintain Common and Common Maintenance Areas. The Association shall have the right and the 6 obligation to maintain the Common Areas and Common Maintenance Areas, and any improvements or landscape features therein. Section 3.04 Alteration of Common Areas. Nothing shall be altered or constructed upon or removed from the Common Areas without the prior written consent of the Board. Section 3.05 Tracts A - D and G Recreation. Tract A - D and G are dedicated to the Association as park, open space and recreation areas for the benefit and enjoyment of the Owners Cit) subject to those easements and restrictions found on the face of the plat. The Association shall be responsible, at its expense, f o r 0 maintenance of any improvements added to these tracts prior to the C Transition Date (as that term is described below), and shall be responsible, at its expense, for the installation and maintenance of tp any improvements added to these tracts after the Transition Date. Section 3.06 Stormwater Drainage Facilities and Stormwater Drainage Facility Access Road. The Association shall have the right and obligation to maintain the stormwater drainage facilities and stormwater drainage facility access road, unless those improvements are deeded or sold to a government agency or other entity approved by the City of Renton that assumes the maintenance responsibility. Section 3.07 Utilities Easements. Declarant does hereby establish, create, reserve and convey, for the benefit of itself, the Association, all Owners, and the described grantees, and their respective heirs and assigns, a utilities easement for various utilities is granted under and upon the exterior ten (10) feet parallel with and adjoining the Street frontage of all Lots in which to install, lay, construct, renew, maintain, and operate underground pipe, conduits, cables and wire with necessary facilities and other equipment for the purpose of serving the Property with electric, telephone, water, sanitary sewer, drainage and utility service, together with the right to enter upon the Lots at all times for the above purposes. All electric, telephone, or cable television lines must be underground or attached in conduit to a building. 7 • • Section 3.08 Side Yard Easements. Declarant does hereby establish, create, reserve and convey, for the benefit of itself, and the described grantees, and their respective heirs and assigns, the following easements: (a) Residential Use Easement. An exclusive, except f or those rights reserved in sub-section b. of this Section 3.08, easement for normal customary outdoor residential use over the adjacent Lot's Side Yard on the patio side of_ the benefited residence, CC over that distance between the side lot line and the closest primary wall of the adjacent house running parallel to the side property line from the front fence line, as shown on the Fence Plan attached RI? hereto as Exhibit A, to the edge of the alley on certain described r.D Lots (the "Residential Use Easement"). A drawing of the typical Residential Use Easement and a list of the benefited and burdened Lots are contained in Exhibits B and C, respectively, hereto and incorporated by reference. The Residential Use Easement shall not include the wall of the adjoining residence, and Owners benefited by that easement shall not place any decoration or in any way alter or make any attachment to the adjacent, wall, nor place any permanent than one (1) foot from the adjacent wall, improvement closer 1 without the prior permission of the wall's Owners, which permission shall be granted or denied in their sole discretion. The Owners benefited by the Residential Use Easement shall not allow. balls, toys, furniture or other items to strike or otherwise contact the adjacent wall and disturb the residents thereof. b Maintenance Reservation and Easement. The Lots burdened by the Residential Use Easement described above shall retain rights of ingress and egress in order to perform maintenance of the residence thereon (the "Maintenance Reservation"). In addition, the Lots burdened by the Residential Use Easement are hereby granted an easement over the adjacent three feet of the Lot benefited by the Residential Use Easement, for ingress and egress for the performance of maintenance. A drawing of the typical Maintenance Reservation and Easement is contained in Exhibit B hereto and incorporated by reference. Except in cases of emergency, Owners of the Lot burdened by the Residential Use Easement shall give Owners of the benefited Lot at least five (5) days notice of their need for maintenance access. While performing such 8 • maintenance, the Owners performing maintenance shall take reasonable precautions to protect landscaping and other property belonging to Owners of the Lot benefited by the Residential Use Easement, and Owners of the Lot benefited by the Residential Use Easement shall cooperate with Owners performing maintenance by removing and protecting furniture, landscaping and other property which might interfere with planned maintenance. ARTICLE 4. CONSTRUCTION ON LOTS AND USE OF LOTS CZ, OSection 4.01 Permitted Improvements. No Improvement of any kind shall be Constructed or altered upon any Lot or any other part of the Property, except: (a) Improvements when they are '� Constructed or modified by Declarant or its agents or assigns; (b) such Construction or alterations as are approved by the Board in CiP accordance with this Article 4; or (c) Construction or alterations which, pursuant to this Article 4, do not require consent of the Board. Section 4.02 Uniformity of Use and Appearance. One of the purposes of this Declaration is to assure within the Property a uniformity of use and quality of workmanship, materials, design, maintenance and location of Improvements with respect t o topography and finish grade elevation. No Lot Owner shall make any visible modifications or alterations to any Improvement, including but not limited to painting, without previously notifying the Board in writing and securing their written consent. Nothing in this section shall prohibit Owners from making interior modifications without Board consent. Section 4.03 Submission of Plans. At least twenty (20) days before commencing the alteration of any Improvement on any Lot requiring Board permission, detailed building, electrical or mechanical plans and specifications, including paint colors, hereinafter "Plans" shall be submitted to the Board. The Plans shall be submitted in a form satisfactory to the Board, which may withhold its approval by reason of its reasonable dissatisfaction with the finish, compatibility, appropriateness of the proposed modification, materials used therein, or because of its reasonable dissatisfaction with any other matter which, in the reasonable 9 ry • judgment of the Board, would render the proposed modification inharmonious with the general plan of development of the Property or other Improvements nearby. The Board's approval or disapproval of Plans shall be in writing, and approval shall be evidenced by written endorsement on such Plans, one copy of which shall be delivered to the Owner of the Lot upon which the Improvement is t o be Constructed. If the Board fails to approve or disapprove Plans Ga within 60 days, the Plans shall be deemed approved. In any judicial Ce action with respect to a Board decision, the losing party shall pay the prevailing party's attorney's fees and costs, including those incurred in connection with any appeal. Section 4.04 Construction and Landscaping. The Board's review and approval or disapproval of Plans on the basis of cost, aesthetic design, harmony with previously approved Improvements on or about other Lots in the Property, location or consistency with this Declaration shall be absolute and enforceable in any court of competent jurisdiction. Landscaping involving trees, shrubs, grass or vegetative ground cover in areas outside Common Maintenance Areas shall not require prior Board approval. Prior Board approval, however, must be obtained for the use of other landscaping materials and for any alteration to landscaping in Common Maintenance Areas. Section 4.05 Board Approval Not Warranty. Owners shall obtain all necessary permits for any modification or alteration, and Board consent shall not constitute any warranty or representation whatever that Board approved plans meet applicable governmental codes or are in any way sufficient for their intended purpose, and each Owner hereby releases any and all claims' or possible claims against the Board and their heirs, successors and assigns, or of any nature whatsoever, based upon the sufficiency of said Plans. Section 4.06 Lot Size. No Lot or portion or a Lot in this plat shall be divided and sold or resold, or ownership changed or transferred whereby the ownership of any portion of this plat shall be less than the area required for the use district in which the Lot is located or is otherwise approved by the relevant authority. 10 • Section 4.07 Use Restrictions. - 4.07.01 Residential Use. The Improvements on all Lots are intended for and restricted to use as single family residences only, ownership, rental or lease basis, and f o r on an tj9 social, recreational, or other reasonable activities normally incident In to such use. ADUs described in Section 2.01 are expressly allowed and shall not be considered a violation of the restriction on single family use. In addition to the foregoing, Declarant may use Improvements it owns as sales offices and models for sales of other Lots. 01) 4.07.02 Maintenance of Buildings and Lots. Each Owner shall, at the Owner's sole expense, keep the interior and exterior of the Improvements on the Owner's Lot, as well as the Lot yard and landscaping, in a clean and sanitary condition, free of rodents and pests, and in good order, condition and repair and shall do all redecorating, painting, landscaping, and maintenance at any time necessary to maintain the appearance and condition of the Improvement and the Lot. Owners shall be responsible for watering all lawns and other landscaping on Lots to maintain them in a viable and, in the case of lawns, green condition, unless prohibited by state or local water restrictions. In the event an Owner of any Lot in the Property shall fail to maintain the premises and the improvements situated thereon in accordance with this Section, the Association, after approval by two-thirds (2/3rds) vote of the Board of Directors, shall have the right through its agents and employees to enter upon said parcel and to repair, maintain, and restore the Lot and the exterior of the buildings and any other improvements erected thereon, including landscaping and grounds, if the Owner shall fail to respond in a satisfactory manner within thirty (30) days after written notice of the maintenance violation. The cost of such exterior maintenance shall be added to and become part of the assessment to which such Lot is subject. 4.07.03 Signs. No sign or any kind shall be displayed to the public view on or from any Lot without the prior written consent of the Board, except for "For Rent" or "For Sale" signs and containing identificationsigns the address and/or name of the Owner, not to exceed two feet by two feet in a form not prohibited 11 110 • by any rules and regulations of the Board. This Section shall not apply to the Declarant. 4.07.04 Radio and Television Aerials. No television or radio aerial, rotary beams, separate tower, or similar device shall be erected or placed on any Lot. No satellite receiving dishes or other such electronic receiving devices shall be located on any Lot in a location that is visible from an adjoining home or a roadway. 4.07.05 Trash Containers and Debris. All trash, yard waste, and recyclables shall be placed in sanitary containers either GO buried or screened so as not to be visible from Streets or Alleys, CC except for the day of pickup. Compost bins shall likewise be screened from view. No Lot or any portion thereof shall be used as a dumping ground for trash or rubbish of any kind. Yard rakings, di rt and debris resulting from landscaping work or Construction shall not LID be dumped onto adjoining lots or streets or roadways. C') 4.07.06 Offensive Activity. No trade, craft, business, profession, commercial or manufacturing enterprise or business or commercial activity of any kind including day schools, nurseries, or church schools, shall be conducted or permitted on any Lot, nor shall goods, equipment, vehicles, or materials used in connection therewith, be kept, parked, stored, dismantled or repaired outside of any Lot or any street within the Property. No mobile home, boat, non-functioning vehicle, recreational vehicle, trailer of any kind, truck camper, or permanent tent or similar structure shall be kept, placed, or maintained, or constructed, reconstructed or repaired, upon any property or street (public or private) within the Property or on any Lot in such a manner as will be visible from neighboring Lot; provided, however, that the provisions of this Section shall not apply to emergency vehicle repairs or temporary construction shelters or facilities maintained during, and used exclusively in connection with, the construction of any improvement approved by the Board. No noxious or offensive activity, including but not limited to the creation of excess levels of noise, shall be carried on in any Lot, nor shall anything be done therein which may be or become an annoyance or nuisance to other Owners or tenants. Nothing in this Section shall prevent Owners from having home offices, so long as such Owner does not offer 12 •1 ` • goods or services to the public which would require the public t o travel to the Lot. 4.07.07 Restriction on Pets. No pets, animals, livestock or poultry shall be kept or bred in or about any Lot or Common Area, except that the keeping of household pets which do not unreasonably interfere with the reasonable use and enjoyment of any other Lot or Common Area shall be permitted subject t o CC reasonable rules and regulations. The reasonable rules and regulations may include, amongst other things, rules limiting the number of pets per Owner or prohibiting an Owner from keeping a © particular pet on his/her Lot. In no event shall any pet be permitted in any Common Area, unless on a leash controlled by a responsible Cr) person or carried. All persons responsible for pets in Common Areas must immediately dispose of any pet waste in a sanitary manner. 4.07.08 Fences. Fences on Lots shall be maintained by the Owner in a good and workman-like manner. Only location, colors and designs, including materials, approved by the Board may be used to construct and maintain fences. The maximum extent of fencing allowed for each Lot is shown on the Fence Plan attached as Exhibit A hereto and incorporated by reference herein. Owners may elect to erect less fence than shown on the fence plan. No fences shall be allowed closer to Streets or Alleys than as shown on the Fence Plan. 4.07.09 Common Drive and Walks. Common drives, walks and paths shall be used exclusively for normal transit, and no obstructions shall be placed thereon or therein except by express written consent by the Board. 4.07.10 Underground Utilities. All utility lines or wires located outside a dwelling unit shall be in conduits attached to such units or underground. 4.07.11 Drainage. All building downspouts, footing drains, and drains from all impervious surfaces, including without limitation, patios and driveways, shall not be altered. Absolutely no 13 dumping of any pollutants into the storm sewer systems shall be permitted. 4.07.12 Damage. Any damage to streets, plat improvements, entry structures or other , Common Area Improvements, fences, landscaping, mailboxes, lights and lighting standards by Owners, their children, contractors, agents, visitors, friends, relatives or service personnel shall be repaired in a first- class workmanlike manner by such Owner within twelve (12) days from the occurrence of such damage, unless such time is extended by the Board. The Board may direct that such repairs commence sooner Ct in circumstances in which the Board, in its sole discretion, determines that earlier repairs are warranted by public safety. I f such repairs are not timely made, the Association shall execute the 41" repair, and the Owner shall be immediately obligated to pay the Association or its designee for the repair. If the Owner fails to G'? promptly make such payment, the Owner shall be charged interest at the rate of twelve percent (12%) per annum on the payment due, and the payment obligation shall be a personal obligation of the Owner, and the amount due shall be a lien on Owner's Lot. 4.07.13 Compliance with Laws. Notwithstanding anything to the contrary set forth herein, each Owner and the Association shall comply with the more restrictive of either (a) the terms and conditions of this Declaration, or (b) the laws, codes, ordinances and regulations of any governmental entity having jurisdiction. ARTICLE 5. VILLAGE ON UNION HOMEOWNERS' ASSOCIATION Section 5.01 Organization. To incorporate the Village on Union Homeowners' Association (the "Association') as a non-profit association of all Owners, Declarant shall file articles of incorporation under the laws of the State of Washington relating t o nonprofit corporations, and adopt bylaws which, together with the Articles and this Declaration, shall govern the affairs of the Association. Within the Association, there shall be a subassociation known as the Townhome Owners' Group ("TOG"). Members of the TOG 14 _ ■ • • alienated in any way except upon the transfer of title to the Lot and then only to the transferee of title to the Lot. Any attempt to make a prohibited transfer shall be void. Any transfer of title to a Lot shall operate automatically to transfer the membership in the Association to the new Owner. Section 5.05 Number of Votes. The total voting power of the Association at any given time shall equal the number of Lots included within the Property at that time multiplied by the number of votes allocated per lot. The Association shall have two classes of voting membership: 1/3 Class A. Class A members shall be all Owners, with the exception of the Declarant, and shall be entitled to one (1) vote f o r each Lot owned. 04)GA Class B. The Class B member(s) shall be the Declarant and shall be entitled to four (4) votes for each Lot and Tract owned. The Class B membership shall cease and converted to Class A membership no later than the earlier of (a) four (4) months after seventy five percent (75%) of the Lots in the project have been conveyed to Lot purchasers; or (b) five (5) years after the first Lot is conveyed. 5.0 6 Voting.t i n If a Lot is owned b Sectiong. y more than one Person, only and one of them is at a meeting, the one who is present will represent the Lot. The vote for a Lot must be cast as a single vote, and fractional votes shall not be allowed. If joint Owners are unable to agree among themselves how their vote shall be cast, they shall lose their right to vote on the matter in question. Section 5.07 Pledged Votes. An Owner may, but shall not be obligated to, pledge his vote on all issues or on certain specific issues to a Mortgagee; provided, however, that if an Owner is i n default under a mortgage or deed of trust on his Lot for ninety (90) consecutive days or more, the Owner's Mortgagee shall automatically be authorized to declare at any time thereafter that the Owner has pledged his vote to the Mortgagee on all issues arising after such declaration and during the continuance of the default. I f the Board has been notified of any such pledge to a Mortgagee, only 16 • • the vote of the Mortgagee will be recognized on the issues that are subject to the pledge. Section 5.08 Annual and Special Meetings. Within the period commencing thirty (30) days before the Transition Date and ending thirty (30) days after the Transition Date or such earlier date as may be chosen by the Declarant, there shall be a meeting of the members of the Association and, thereafter, there shall be an annual meeting of the members of the Association in the first quarter of each fiscal year at such reasonable place and time as may be designated by written notice from the Board delivered to the Owners no less than thirty (30) days before the meeting. At the first such 411' meeting, and at each annual meeting thereafter, the Owners shall select by majority vote individuals to serve as Board members until a successor is elected at the next annual meeting. Each Lot shall be entitled to one vote for each director, and the voting for directors shall be noncumulative. The financial statement for the preceding fiscal year (if any) and the budget the Board has adopted for the pending fiscal year, shall be presented at the annual meeting for the information of the members. Special meetings of the members of the Association may be called at any time upon not less than fourteen (14) days prior written notice to all Owners, for the purpose of considering matters which require the approval of all or some of the Owners, or for any other reasonable purpose. Any First Mortgagee of a Lot may attend or designate a representative t o attend the meetings of the Association. Section 5.09 Books and Records. The Board shall cause t o be kept complete, detailed, and accurate books and records of the receipts and expenditures (if any) of the Association in a form that complies with generally accepted accounting principles. Within 120 days of the Association's fiscal year end, the Board shall make available to the holder, guarantor or insurer of any First Mortgage, upon written request, a financial statement for the preceding fiscal year. The books and records, authorizations for payment of expenditures, and all contracts, documents, papers, and other records of the Association shall be available for examination by the Owners, Mortgagees, and the agents or attorneys of either of them, during the normal business hours and at any other reasonable time or times. Any Owner or Mortgagee may at any time at its own expense 17 • cause an audit to be made of the books and records of the Association. Section 5.10 Transition Date. The "Transition Date," at which time control of the Board passes from the initial Board to the Association, shall be no later than the earlier of: (a) five years after the conveyance of the first Lot or (b) four (4) months after Declarant has transferred title to seventy five percent (75%) of the Lots within the project to Lot Purchasers. From and after the Transition Date, the then Owners of sixty seven percent (67%) of the Lots in the Property shall have the power through a written instrument recorded in the real property records of King County, Washington, to restrict or eliminate all or any of the approval powers and duties of the Board set forth in this Declaration, excluding the duty to maintain the Common Areas. Section 5.11 Transportation Management Plan. The Board shall be responsible for establishing and administering a Tranportation Management Plan ("TMP") as required by the city of Renton, designed to decrease the dependence of residents on single occupancy vehicles. Such TMP shall include, but not necessarily be limited to the distribution of site-appropriate transit and ride sharing information to new residents and annually to all residents. ARTICLE 6 TOWNHOME OWNERS' GROUP Section 6.01 Organization. The Townhome Owners' Group shall be a subassociation within the Association for the purpose of dealing with issues unique to the Townhomes located on Lots 1-9 of the Property, which shall be known as "Townhome Lots." Except as provided in Article 6, all other provisions of this Declaration which are not inconsistent shall apply. Section 6.02 Spokesperson. Within three (3) months after the initial sale of 2/3rds of the Townhomes, or earlier at the Board's discretion, the Board shall schedule a meeting of the TOG Members at which meeting the Members of the TOG shall by a majority vote elect one Member of the TOG who shall attend all Board meetings and act as spokesperson for the TOG. The Spokesperson shall serve for a period of one (1) year unless the 18 • • Spokesperson is reelected or resigns. A new vote for Spokesperson shall occur at least one (1) month prior to term end or within one (1 ) month of resignation. Section 6.03 Qualification for Membership. Each fee owner of Lots 1-9 shall be a member of the TOG. Transfer of TOG membership shall be subject to the same restrictions as Association membership. Section 6.04 Voting and Quorum. The total voting power © of the TOG shall be equal to the number of Townhome Lots multiplied CV CJ by the number of votes allocated per Lot. The Owner or Owners of each Townhome Lot shall be entitled to one vote for each Townhome to Lot owned, provided Townhome Lots held by Declarant in Class B C) status shall be entitled to four (4) votes. TOG voting shall be subject to the same provisions on Voting and Pledged Votes as Association voting. The majority of the TOG members shall constitute a quorum. Section 6.05 Bi-Annual and Special Meetings. The Spokesperson shall organize a meeting of the TOG Members at least once every six (6) months to discuss TOG-related matters at such time and place as may be designated by the Spokesperson in a written notice delivered to the TOG Members no less than fourteen (14) days before the meeting. Special meetings of the TOG may be called at any time upon not less than seven (7) days prior written notice to all TOG members, for the purpose of considering matters which require the approval of all or some of the TOG members, or f o r any other reasonable purpose. A special meeting shall also be called at the written request of 1/3 of the TOG members. Any First Mortgagee of a Townhome Lot may attend or designate a representative to attend the meetings of the TOG. Section 6.06 Encroachments. Each Townhome Lot is hereby declared to have an easement over all adjoining Lots and Common Areas for the purpose of accommodating any encroachment due t o engineering errors, errors in original construction, reconstruction, repair, settlement of shifting or movement of any portion of the building, or any other similar cause, and any encroachment due to building overhang, projection driveways, patios, decks, or sidewalks. 19 . • , • There shall be valid easements for the maintenance of said encroachments so long as they shall exist, and the rights and obligations of Owners shall not be altered in any way by said encroachment, settling or shifting; provided, however, that in no event shall a valid easement for encroachment be created in favor of an Owner or Owners if said encroachment occurred due to the w i I If u I act or acts with the full knowledge of the Owner. In the event a Townhome Lot or Common Area is partially or totally destroyed, and then repaired or rebuilt, the Owners agree that minor encroachments C0 over adjoining Lots or Common Areas shall be permitted, and that there shall be valid easements for the maintenance of such encroachments as long as they exist. The foregoing encroachments shall not be construed to be encumbrances affecting the marketability of title to any Lot. CA Section 6.07. Construction. No exterior alterations or additions to any Structure on a Townhome Lot are permitted, except as allowed by this Article 6. Section 6.08 Roof. Gutter. Downspout and Siding Replacement and Repair. Exterior Repainting. Notwithstanding that a Lot Owner has the primary duty under Section 4.07.02 to maintain and repair said Owner's Home, the Association shall have the primary duty as to each Townhome located on a Townhome Lot to replace, repair and care for roofs, gutters, downspouts and exterior building surfaces (including painting and siding) in accordance with the following provisions: (a) Such roof, gutter, downspout and siding replacement and repair and exterior repainting for each Townhome shall be performed at such times as the Board considers necessary to preserve and protect the appearance and condition of the Townhome as part of a systematic program based on the estimated useful life of each Townhome roof, gutter, downspout and siding and exterior repainting. All roof and yard drains must be directed so as to not adversely affect adjacent properties. (b) The Board shall create and maintain from the regular annual assessment of such Owner a reserve fund for the estimated future cost of such replacement, repairs and repainting. 20 • ' • • • ' The Board shall attempt to calculate the contributions of said reserve fund so that sufficient funds are on deposit to pay the estimated costs of such replacement and repainting at the end of the estimated useful life of such roof, gutter, downspout and siding and exterior painting. The reserve fund so created for each such Townhome shall be the primary source of payment of the actual cost In of roof, gutter or downspout replacement and exterior painting f or such Home; but, if the reserve fund so created should at any time prove insufficient, the Owner of a particular Townhome shall be assessed for the amount of such insufficiency. Although the reserve funds so created for all Townhomes may be commingled in a single L7) depository account, a separate ledger record shall be maintained with respect to the reserve accumulated for each such Townhome. The reserve funds so created for Townhomes shall be held in a separate depository account separate from other Association accounts. Notwithstanding any other provision of this Declaration, the Declarant shall have no responsibility to contribute to a reserve fund for Townhomes owned by it, provided Declarant shall maintain said Homes in the same standard as required for all other Townhomes within the project. (c) Nothing herein shall prohibit the Board from allowing any Owner or group of Owners to perform the maintenance and repair obligations imposed on the Association in this Section. In the event that the Board shall allow an Owner or group of Owners t o so perform, the Board shall nonetheless, in its sole discretion, approve the persons who shall actually perform said work and the methods and materials to be used. The Board may also promulgate such rules and regulations pertaining to such work as it may desire and shall have the right to approve and accept such work as having been performed in a first class and workman-like manner. In the event the Board shall reasonably refuse to accept such work, the Board may cause said work to be modified or redone to the extent that it shall meet Board standards. Upon approval of such work, the Board shall disburse such reserve funds as are reasonably necessary to pay for said work and to assess the Owner for any deficiency. Section 6.09 Townhome Property Insurance. The Board P Y shall cause the Association to purchase property insurance which shall, at a minimum, provide all risk or special cause of loss 21 • coverage in an amount equal to the full replacement cost of the Townhome structures, equipment, fixtures, appliances and improvements to the Townhomes installed by the Declarant ("Townhome Improvements"), together with such special endorsements as may be required by First Mortgagees and are available. The Association shall hold insurance proceeds in trust f o r the Owners or their Mortgagees, as their interests may appear. Each Owner and the Owner's Mortgagee, if any, shall be beneficiaries of the policy in the percentage of interest appertaining to the Owner's Townhome with respect to the entire three (3) unit structure. Certificates of Insurance shall be issued to each Owner and c40 Mortgagee upon request. The cost of this insurance shall be Cr" assessed to each Townhome Owner as part of the regular annual assessment. ARTICLE 7. NOTICES FOR ALL PURPOSES P) All notices given under the provisions of this Declaration or rules or regulations of the Association shall be in writing and may be delivered either personally or by mail. If delivery is made by mail, the notice shall be deemed to have been delivered on the third day of regular mail delivery after a copy has been deposited in the United States mail, first class, postage prepaid, addressed to the Person entitled to such notice at the most recent address known t o the Board. Mailing addresses may be changed by notice in writing t o the Board. Notices to the Board may be mailed or delivered to the President of the Association or the agent for service of process f or the Association, as established by the Articles of Incorporation of the Association. The Board's address may be changed from time t o time by the records and recording of an instrument in the real property records of King County, Washington which (a) refers to this Declaration and this Article 7, and (b) which sets forth the Board's new address. ARTICLE 8. AUTHORITY OF THE BOARD Section 8.01 Adoption of Rules and Regulations. The Board is empowered to adopt, amend, and revoke on behalf of the Association, detailed administrative rules and regulations necessary or convenient from time to time to insure compliance with the 22 . • general guidelines of this Declaration to promote the comfortable use and enjoyment of the Property and to govern the operation and procedures of the Association. The rules and resolutions may, without limitation, authorize voting by proxy or mail, or both, on Association matters. The rules and regulations of the Association shall be binding upon all Owners and occupants and all other Persons claiming any interest in the Property. Section 8.02 Enforcement of Declaration. Etc. The Board shall have the power to enforce the provisions of this Declaration UPand the rules and regulations of the Association for the benefit of 11) the Association. The failure of any Owner to comply with the provisions of this Declaration, or the rules and regulations of the Association will give rise to a cause of action in the Association ezt (acting through the Board) and any aggrieved Owner for recovery of damages, or injunctive relief, or both. If a legal action is brought t o interpret or enforce compliance with the provisions of this Declaration, or the rules or regulations of the Association, the prevailing party shall be entitled to judgment against the other party for its reasonable expenses, court costs, and attorneys' fees in the amount awarded by the Court. Section 8.03 Goods and Services. The Board shall acquire and pay for as common expenses of the Association all goods and services reasonably necessary or convenient for the efficient and orderly maintenance of all portions of the Common Maintenance Areas not maintained by public utility companies or a governmental entity. The goods and services shall include (by way of illustration and not limitation) utility services for the Common Maintenance Areas; policies of insurance; and maintenance, repair, landscaping, gardening and general upkeep of the Common Maintenance Areas. The Board may hire such employees as it considers necessary. Section 8.04 Protection of Common Maintenance Areas. The Board may spend such funds and take such action as it may fro m time to time deem necessary to preserve the Common Areas and Common Maintenance Areas, settle claims, or otherwise act in what it considers to be the best interests of the Association. 23 • • Section 8.05 Establish Committees. The Board may, in it s sole discretion, establish committees to assist with its duties, including a committee to review requests for Construction. ARTICLE 9. BUDGET AND ASSESSMENT FOR COMMON EXPENSES Section 9.01 Fiscal Year: Preparation of Budget. The fiscal year for the Association shall begin with the first day of January and end with the 31st day of December of every year, except that the first fiscal year shall begin with the date of incorporation. CV As soon as the Board in its discretion deems advisable, and at least vtir thirty (30) days prior to the expiration of each fiscal year thereafter, the Board shall establish a budget for Common Expenses, which shall be the costs of maintaining the Common Areas and Common Maintenance Areas, carrying out Association obligations, Replacement Reserves, and in the case of Townhome Lots, establishing the amount necessary to fund the reserve fund f or exterior maintenance and insurance set forth in Sections 6.08 and 6.09 during the ensuing fiscal year. The Board shall then assess each Lot within the Property with its pro rata share of such estimated costs. The Board shall require the Owners to pay the amount assessed in equal monthly installments. The Board shall notify each Owner in writing at least thirty (30) days in advance o f each assessment period of the amount of the assessment for said period, which notice shall be accompanied by a copy of the budget upon which the assessment is based. The assessments levied by the Board shall be used exclusively to promote the recreation, health, safety and welfare of the Owners and for the improvement and maintenance of the Common Maintenance Areas. The Board, at i t s election, may require a reduced assessment for unsold Lots, if they are not occupied. If the sum estimated and budgeted for Common Expenses at any time proves inadequate for any reason (including nonpayment of any Owner's assessments), the Board may, at any time, levy a special assessment, which shall be assessed to the Owners in like proportions. The Board shall notify each Owner in writing at least fourteen (14) days in advance of each special assessment of the amount of the special assessment for said period, which notice shall 24 • • be accompanied by a copy of the budget upon which the special assessment is based. The provisions herein with respect to special assessments do not apply in the case where the special assessment against an Owner for costs incurred in bringing the Owner and his/her Home and/or Lot into compliance with the provisions of this Declaration. The annual or special budget shall be ratified by the membership at an annual meeting, or any special meeting called f or such purpose. The date of such meeting shall be set not less than CD fourteen (14) nor more than sixty (60) days after mailing of the summary. Section 9.02 Certificate of Unpaid Assessments. Any Ida failure by the Board or the Association to make the budget and assessments hereunder before the expiration of any fiscal year f or C7) the ensuing fiscal year shall not be deemed a waiver or modification in any respect of the provisions of this Declaration, or a release of the Owners from the obligation to pay assessments during that or any subsequent year, and the assessment amount and payment method established for the preceding fiscal year (if any) shall continue until a new assessment is established. Upon the request of any Owner or Mortgagee or prospective Owner or prospective Mortgagee of a Lot, the Board will furnish a statement of the amount, if any, of unpaid assessments charged to the Lot. The statement shall be conclusive upon the Board and the Association as to the amount of such indebtedness of the date of the statement in favorpurchasers and Mortgagees of the Lot who relyon the of all pu c statements in good faith. All assessments and other receipts received by the Association shall belong to the Association. Section 9.03 Commencement of Assessments. The Declarant, in the exercise of its reasonable discretion, shall determine when the Association shall commence making assessments; provided, that in all events assessments shall commence on a date within sixty (60) days after the earlier of: (a) the date six (6) months after the date of first conveyance of a Lot to an Owner (other than Declarant or an Affiliate of Declarant) or (b) the date on which seventy-five percent (75%) of the Lots have been conveyed to Owners (other than Declarant or an Affiliate of Declarant). Until the Association makes an assessment, the Declarant shall pay all Common Expenses, with the exception of Replacement Reserves. After any assessment has 25 • . • been made by the Association, assessments must be made against all Lots, based on a budget adopted by the Association; provided, for a period not to exceed twelve (12) months following the date of commencement of assessments, the Board (whether appointed by Declarant or elected by Lot Owners) may elect not to collect monthly Ca cc assessments calculated as provided in Section 9.01 and instead 11) elect to collect and expend monthly assessment based on the actual costs of maintaining, repairing, operating, and insuring the Common Areas and Common Maintenance Areas. itt tD Section 9.04 Surplus Funds. Surplus funds of the 47) Association shall not be refunded to the Owners or used to reduce future assessments but shall be held as funds of the Association and recognized in the budget as provided for in Section 9.01. Section 9.05 Working Capital Fund. In addition to the assessments herein provided for, at the time of each closing of a sale by the Declarant of a Lot to a third party or when the period of the Declarant's right to control the Association terminates, whichever is earlier, each Owner, including the Declarant as an owner, shall pay or shall have paid to the Association a sum equal t o two times the amount of the first monthly assessment made against the respective owner's Lot. Such sum shall be a contribution to the working capital of the Association belonging to it and shall not be deemed an advance payment or security for common expense assessments. Such funds shall be transferred to the Association f o r deposit to a segregated fund upon transfer of control of the Association to the Owners. The Declarant is prohibited from using any portion of the working capital funds to defray any of i t s expenses, reserve contributions, or construction cost or to make up any budget deficits while it is in control of the Association. Upon the sale of any unsold Lots, the Declarant may reimburse itself f o r funds paid the Association for an unsold Lot's share of the working capital fund by using funds collected at closing when the Lot is sold. Except as provided herein, such funds are non-refundable. Section 9.06 Replacement Reserves. The Association shall establish and maintain an adequate reserve fund for the replacement or repair of Common Area Improvements and Common Maintenance Area Improvements it is obligated to maintain. The 26 S fund should be maintained out of regular assessments for Common Expenses. At the time the Board elects to commence collection of monthly assessments as provided in Section 9.01 , the Board shall calculate the contributions to said reserve fund so that there are sufficient funds therein to replace or perform a major repair to each Common Area and Common Maintenance Area Improvements covered by the fund at the end of the estimated useful life of such improvements. This reserve fund shall be in addition to and separate and distinct from the reserve fund for Townhome maintenance. ARTICLE 10. LIEN AND COLLECTION OF ASSESSMENTS tit) Section 10.01 Assessments Are a Lien: Priority. All unpaid sums assessed by the Association for the share of the common expenses chargeable to any Lot and any sums specifically assessed to any Lot under the authority of this Declaration shall constitute a lien on the Lot and all its appurtenances from the date the figt assessment becomes due and until fully paid. The lien for such unpaid assessments shall be subordinate to tax liens on the Lot i n favor of any assessing unit and/or special district, and to all sums unpaid on all First Mortgages of record, but, to the extent permitted by applicable law, shall have priority over all other liens against the Lot. A First Mortgagee that obtains possession through a Mortgage foreclosure or deed of trust sale, or by taking a deed in lieu of foreclosure or sale, or a purchaser at a foreclosure sale, shall take the Lot free of any claims for the share of common expenses or assessments by the Association chargeable to the Lot which became due before such possession, but will be liable for the common expenses and assessments that accrue after the taking o f possession. The Lot's past due share of common expenses o r assessments shall become new common expenses chargeable to al I of the Owners, including the Mortgagee or foreclosure sale purchaser and their successors and assigns, in proportion to the number of Lots owned by each of them. Notwithstanding any of the foregoing, however, the Owner and the real estate contract purchaser shall continue to be personally liable for past due assessments as provided in Section 10.03. For purposes of this Section, "Mortgage" does not include a real estate contract, and "Mortgagee" does not include the vendor or the assignee or designee of a vendor of a real estate contract. 27 L •• Section 10.02 Lien May Be Foreclosed. The lien f o r delinquent assessments may be foreclosed by suit by the Board, acting on behalf of the Association, in like manner as the foreclosure of a mortgage of real property. The Board, acting on behalf of the Association, shall have the power to bid in the Lot at the foreclosure sale, and to acquire and hold, lease, Mortgage, and convey the same. Upon an express waiver in the complaint of any right to a deficiency judgment in a judicial foreclosure action, the period of redemption shall be eight (8) months. Nothing in this section shall prohibit the Association from taking a deed in lieu of foreclosure. In order that a lien for unpaid assessments may be enforced non-judicially, the Declarant and each subsequent Lot Owner grants an interest in the Lot to First American Title cit) Insurance Company, a corporation, as the trustee with power of sale of any Lot in the Plat of Village on Union for the benefit of the Association, as security for the payment of Assessments. The Lots are not used principally for agricultural or farming purposes. The power of sale herein is operative in the case of default on the obligation of pay Assessments. This Declaration may be amended as elsewhere provided for herein and as provided by law without the necessityof action, consent, joinder, or execution of the trustee; nonetheless, the trustee is instructed to join in and execute any such amendment to this Declaration at the request of the Association. Section 10.03 Assessments Are Personal Obligations. In addition to constituting a lien on the Lot, all sums assessed by the Association chargeable to any Lot, together with interest, late charges, costs and attorneys' fees in the event of delinquency, shall be the joint and several personal obligations of the Owner and any contract purchaser of the Lot when the assessment is made and their grantees. Suit to recover personal judgment for any delinquent assessments shall be maintainable without foreclosing or waiving the liens securing them. Section 10.04 Late Charges and Interest on Delinquent Assessments. The Board may from time to time establish late charges and a rate of interest to be charged on assessments delinquent for a period of more than ten (10) days after the date 28 • • when due. In the absence of another established, non-usurious rate, delinquent assessments shall bear interest at the rate of twelve percent (12%) per annum. If an installment on an assessment against a Lot is not paid when due, the Board may elect to declare the entire assessments against the Lot for the remainder of the fiscal year to be immediately due and payable. Section 10.05 Recovery of Attorneys' Fees and Costs. In any action to collect delinquent assessments, the prevailing party CV CV shall be entitled to recover, as part of its judgment, a reasonable sum for attorneys' fees and all costs permitted by law. Section 10.06 Remedies Cumulative. The remedies provided herein are cumulative, and the Board may pursue them, and any other remedies which may be available under law although not expressed herein, either concurrently or in any order. The Board shall commence foreclosure or any other remedy at law within ninety (90) days after the due date for the assessment; provided that failure t o commence such actions shall not be construed as a waiver or relinquishment of any rights hereunder. Section 10.07 No Avoidance of Assessments. No Owner may avoid or escape liability for assessments provided for herein by abandoning his or her Lot. ARTICLE 11. COMPLIANCE WITH DECLARATION Section 11.01 Compliance of Owner. Each Owner shall strictly comply with the provisions of this Declaration and with the By-laws and administrative rules and regulations adopted ed by the Association and as lawfully amended thereby. Failure to comply shall be grounds for an action to recover sums due for damages, or injunctive relief, or both, maintainable by the Board (acting through its officers on behalf of the Owners) or by the aggrieved Owner on his or her own against the party (including an Owner or the Association) for failing to comply. Section 11.02 Compliance of Lessee. Each Owner who shall rent or lease his or her Lot shall insure that the lease or rental agreement is in writing and subject to the terms of this Declaration, 29 • Articles of Incorporation and By-laws. Such an agreement shall also provide that failure of any lessee to comply with the provisions of such documents shall constitute a default under the lease. Section 11.03 No Waiver of Strict Compliance. The failure of the Board in any instance to insist upon the strict compliance with this Declaration or rules and regulations of the Association, or Ct to exercise any right contained in such documents, or to serve any notice or to institute any action, shall not be construed as a waiver or a relinquishment for the future of any term, covenant, condition, or restriction. The receipt by the Board of payment of any assessment from an Owner, with knowledge of any breach by the 47) Owner, shall not be a waiver of the breach. No waiver by the Board of any requirement shall be effective unless expressed in writing and signed for the Board. Section 11.04 Right of Entry. Except as otherwise provided herein, violation of any provisions, conditions, restrictions, covenants, reservations or easements contained herein, shall give to Declarant, its successors, or the Association, the right to enter upon the Property as to which the violation exists and to abate, correct and remove, at the expense of the Owner thereof, any erection, thing or condition that may be or exists thereon contrary to the intent of the provisions hereof. Such entry shall be made only after three (3) days notice to said Owner, except in the case of an emergency, and with as little inconvenience to the Owner as possible. In the event the abatement requires the demolition or alteration of construction, a judicial proceeding shall be instituted prior to such abatement. ARTICLE 12. LIMITATION OF LIABILITY So long as a Board member, or Association member, or Declarant has acted in good faith, without willful or intentional misconduct, upon the basis of such information as is then possessed by such Person, then no such Person shall be personally liable to any Owner, or to any other Person, including the Association, for any damage, loss, or prejudice suffered or claimed on account of any act, omission, error or negligence of such Person; provided, that this Article shall not apply where the consequences of such act, 30 • • omission, error, or negligence are covered by any insurance actually obtained by the Board. ARTICLE 13. INDEMNIFICATION member and Declarant shall be indemnified Each Board by the Association against all expenses and liabilities, including attorneys' fees, reasonably incurred by or imposed in connection with any proceeding to which he may be a party, or in which he may become involved, by reason of holding or having held such position, or any settlement thereof, whether or not he holds such position at the time such expense or liabilities are incurred, except to the extent such expenses and liabilities are covered by insurance and except i n such cases wherein such Board member or Declarant is adjudged guilty of willful misfeasance in the performance of his or her duties; provided, that in the event of a settlement, the indemnification shall apply only when the Board approves such settlement and reimbursement as being for the best interests of the Association. ARTICLE 14. INSURANCE The Board shall cause the Association to purchase and maintain as a common expense a policy or policies which the Board deems necessary or desirable to provide casualty insurance; comprehensive liability insurance; with such deductible provisions as the Board deems advisable; insurance, if available, for the of the Association's directors, and representatives from protection p personal liability in the management of the Association's affairs; and such other insurance as the Board deems advisable or as may be required by Eligible First Mortgagees. In addition, the Board shall cause the Association to purchase Townhome property insurance as set forth in Section 6.09, with such deductibles as recommended by two-thirds (2/3) of the TOG members or, in the absence of such a recommendation, as the Board deems advisable, the cost of which shall be assessed to Townhome Owners only, according to their pro rata shares. The Board shall review the adequacy of the Association's insurance coverage at least annually. 31 • • ARTICLE 15. DAMAGE AND REPAIR OF DAMAGE TO PROPERTY Section 15.01 Common Area Damage. In the event of any casualty, loss or other damage to the Common Area, Common Maintenance Area or Improvements thereto for which the then current assessments by the Board are insufficient to repair or restore, or for which there are not insurance proceeds or insufficient insurance proceeds available to the Board for such restoration or repair, the Board may make a special assessment against each Lot within the Property for its pro rata share of the cost and expenses to repair and/or restore the damaged areas or improvements. The special assessment shall be payable, at the determination of the Board, in either monthly or quarterly installments or in a single lump sum amount. The Board shall notify each Owner of any such special assessment not less than twenty (20) days prior to the date such special assessment or the f i rs t installment thereon is due and payable, which notice shall be accompanied by a reasonably detailed statement of the Board's estimated costs, and expenses of repairing and/or restoring the damaged areas or improvements. Section 15.02 Townhome Damage. In the event of any to the Townhome Improvements,casualty, loss or other damagep , as defined in Section 6.09, for which the then current assessments by the Board are insufficient to repair or restore, or for which there are insufficient insurance proceeds available to the Board for such restoration or repair, the Board may make a special assessment against each Townhome Lot affected by the damage for its pro rata share of the cost and expenses to repair and/or restore the Townhome Improvements. The special assessment shall be payable, at the determination of the Board, in either monthly or quarterly installments or in a single lump sum amount. The Board shall notify each Townhome Owner of any such special assessment not less than twenty (20) days prior to the date such special assessment or the first installment thereon is due and payable, which notice shall be accompanied by a reasonably detailed statement of the Board's estimated costs and expenses of repairing and/or restoring the Townhome Improvements. 32 I ARTICLE 16. CONDEMNATION Section 16.01 Consequences of Condemnation. If at any time or times during the continuance of the Association ownership pursuant to this Declaration, all or any part of the Property shall be taken or condemned by any entity having the power to do so, or sold or otherwise disposed of in lieu of or in advance thereof, the provisions of this section shall apply. Section 16.02 Association to Represent Owners. The Association may represent the Owners in any proceedings, negotiations, settlements or agreements regarding a condemnation e ' of any part of the Plat of Village on Union. All compensation, damages, or other proceeds therefrom, the sum of which is hereafter called the "Plat Award", shall be payable to the Association for the benefit of the Lot Owners and their Mortgagees, if required. Should the Association not act on the Owner's behalf in a condemnation process, the affected Owners may individually or jointly act on their own behalf. Section 16.03 Complete Taking. In the event the entire Property is taken or condemned, or sold or otherwise disposed of i n lieu of or in avoidance thereof, the individual and Association ownership shall terminate. The Plat Award shall be apportioned t o the Lot Owners in accordance with the relative value of each Lot and in accordance with the apportionment of Common Areas set forth i n the schedule used to determine assessments. Section 16.04 Partial Taking. (a) If a Lot is acquired by condemnation, or if part of a Lot is acquired by condemnation leaving the Lot Owner with a remnant of a Lot which may not practically or lawfully be used f o r any purposes allowed by the Declaration, that Owner shall be entitled to that portion of the award that would compensate the Owner for the Owner's Lot and its appurtenant interest in the Common Area, whether or not any Common Area is acquired. Upon acquisition, unless the decree provides otherwise, that Lot's appurtenant interest in the Common Areas shall be automatically reallocated to the remaining Lots, and the Association shall 33 • • , promptly prepare, execute and record any amendments to the documents necessary to carry out such reallocation. Any remnant o f any Lot shall become a Common Area. (b) If a portion of a Lot is acquired by condemnation, leaving the Owner with a usable Lot, the award must compensate the Owner for the reduction of value of the Lot and its appurtenant interest in the Common Area, whether or not any Common Area i s CC acquired. Upon acquisition, unless the decree otherwise provides: (a) That Lot's appurtenant interest in the Common Area is reduced in proportion to the reduction in the size of the Lot, and (b) the portion of the appurtenant interest in the Common Area divested from the partially acquired Lot is automatically reallocated to that Lot and the remaining Lots in proportion to the respective interests of those Lots before the taking, with the partially acquired Lot participating in the reallocation on the basis of its reduced allocated interests. (c) If part of the Common Areas is acquired by condemnation, the portion of the award attributable to the Common Areas taken shall be paid to the Association to become part of the operating budget. In addition, if it is determined that there i s damage to a specific Lot or Lots as a result of the condemnation of Common Areas, such Lots shall be entitled to such specific damages as they are determined. • Section 16.05 Recording of Judgment. The court judgment shall be recorded in King County, Washington. ARTICLE 17. AMENDMENTS OF DECLARATION Section 17.01 Plat Map. Except as otherwise provided herein, the Plat Map may be amended by revised versions thereof, the effect of which is referred to and described in an amendment to the Declaration adopted as provided for herein. Copies of any such proposed amendment to the Plat Map shall be made available for the examination of every Owner. Such amendment to the Plat Map shall also be effective once properly adopted upon recordation in the appropriate county of office in conjunction with the Declaration amendment. 34 • • Section 17.02 Amendments to Conform to Construction. Declarant, upon Declarant's sole signature, and as attorney-in-fact for all Lot Owners with an irrevocable power, coupled with an interest, may at any time, until all Lots have been sold by Declarant, file an amendment to the Declaration and to the Plat Map to conform data depicted therein to improvements as actually constructed and CD to establish, vacate and relocate utility , easements, access road Oeasements and parking areas. Section 17.03 Amendments to Conform to Lending *erInstitution/Title Insurance Guidelines. So long as Declarant CD continues to own one or more Lots, the Declarant, on his signature 01) alone as an attorney-in-fact for all Lots Owners with an irrevocable power, coupled with an interest, may file such amendments to the Declaration as are necessary to meet the then requirements of Federal National Mortgage Association, Veteran's Administration, Federal Home Loan Mortgage Corporation, or other agencies, institutions, or lenders financing and/or title insuring the purchase of a Lot from the Declarant. Section 17.04 Amendments by Association. Any Owner may propose amendments to this Declaration to the Board. A majority of the members of the Board may cause a proposed amendment to be submitted to the members of the Association for their consideration. If an amendment is proposed by Owners of twenty percent (20%) or more of the Lots, then, irrespective of whether the Board concurs in the proposed amendment, it shall be submitted t o the members of the Association for their consideration at their next regular or special meeting for which timely notice may be given. Notice of a meeting at which an amendment is to be considered shall include the text of the proposed amendment. Amendments may be adopted at a meeting of the Association or by written consent of the requisite number of Persons entitled to vote, after notice has been given to all Persons entitled to receive notice of a meeting of the Association. The unanimous consent of all Owners shall be required for adoption of an amendment changing either the voting power or portion of assessments appurtenant to each Lot, or changing this Article 17. Approval of seventy-five percent (75%) of all Owners shall be required for any amendment of Section 4.07. All other amendments shall be adopted if approved by the Owners of sixty 35 • . • • • • seven percent (67%) of the Lots. Once an amendment has been adopted by the Association, the amendment will become effective when a certificate of the amendment, executed by a member of the Board, has been recorded in the real property records of King County, Washington. So long as Declarant owns one or more Lots, no provision hereof which confers upon Declarant a right, power or privilege not conferred upon Owners generally may be amended without Declarant's prior consent. Section 17.05 Amendments to Article 3. Notwithstanding the foregoing provision, no amendment to this Declaration which affects the obligation of Owners to maintain Common Areas, Dedications and Easements as set forth in Article 3 hereof shall become effective without the prior written consent of Renton, Washington. Section 17.06 Amendments to Article 6. Notwithstanding the foregoing provisions regarding amendments, no amendment by the Association to this Declaration which affects Article 6 hereof shall become effective without the prior written consent of 2/3rds of the members of the TOG. Section 17.07 Material Amendments. In addition, pursuant to certain lender requirements, amendments affecting the following are considered material in nature and require the additional consent of at least fifty-one percent (51%) of all Eligible First Mortgagees: (a) voting rights; (b) increases in assessments that raise the previously assessed amount by more than 25%, assessments liens or the priority of assessment liens; (c) reductions in reserves for maintenance, repair, and replacement of common areas and improvements thereon; (d) responsibility for maintenance and repair; (e) reallocation of interests in the general or limited common areas, or rights to their use; (f) redefinition of any Lot boundary; 36 • I • (g) convertibility of Lots into common areas or vice versa; (h) expansion or contraction of the project, or the addition, annexation, or withdrawal of property to or from the project; (I) hazard or fidelity insurance requirements; (j) imposition of any restrictions on the leasing of Lots; (h) imposition of any restrictions on a Lot Owner's right to sell or transfer his or her Lot; GAJ (j) a decision by the Association to convert fro m professional management to self management if professional management had previously been required by project documents or first mortgagees; (k) any provisions that expressly benefit mortgage holders, insurers or guarantors; (I) restoration or repair of the project (after damage or partial condemnation) in a manner other than as specified in the project documents. If an Eligible First Mortgagee is requested to approve an addition or amendment and fails to deliver a negative response within thirty (30) days after it receives notice of the request, the Eligible First Mortgagee shall be deemed to have approved the request; provided the notice was delivered by certified or registered mail with "return receipt" requested. Section 17.08 Challenge to Validity. No challenge to the validity of an amendment adopted by the Association may be brought more than one (1) year after the amendment is recorded. ARTICLE 18. ANNEXATION AND SUBDIVISION Section 18.01 Annexation. So long as the Declarant i s either a Class A or Class B member of the Association, the Declarant reserves the sole and exclusive right, but is not obligated, to annex additional property into the Village on Union Homeowners' Association. The Declarant may annex such future property by recordingan amendment to the Declaration settingforth the legal 9 37 . description of such property. No more than thirty (30) additional residential Lots shall be added. At such time, each and every "Owner" of a Lot within said future division shall be subject to all of the rules, restrictions, requirements, and assessments as set forth in said Declaration. The Declarant, as related to this additional property, shall retain and enjoy all rights as fully and t o the same extent as set forth herein. Notwithstanding any other provision of this Declaration, Declarant's right to annex additional ct property shall expire seven (7) years after recording of the initial 4 Declaration. Section 18.02 Subdivision. No Lot shall be subdivided or '1' combined without the approval of the Owners of two-thirds of the co Lots. Notwithstanding the foregoing, no Lot or portion of any Lot n shall be divided and sold or resold or ownership transferred whereby ownership of any Lot shall be less than the area required by Renton. ARTICLE 19. DURATION The covenants, conditions and restrictions of this Declaration shall run with and bind the Property and shall inure to the benefit of and be enforceable by the Owners, their respective legal representatives, heirs, successors and assigns, for a period of thirty (30) years from the date this Declaration is recorded, after which time the covenants, conditions and restrictions shall be automatically extended for successive periods of ten (10) years each unless an instrument signed by a majority of the then Owners has been recorded agreeing to terminate the covenants, conditions and restrictions. Notwithstanding the foregoing, no such termination shall be effective so as to terminate the obligation of the Owners to maintain the Common Areas, Dedications and Easements as set fort h in Article 3 hereof without the prior written consent of Renton. ARTICLE 20. SEVERABILITY The provisions of this Declaration shall be independent and severable, and the validity or partial invalidity or unenforceability of one provision or portion thereof shall not affect the validity or enforceability of any other provision hereof, if the remainder as covenants effect the common plan. 38 I • • ARTICLE 21. EFFECTIVE DATE This Declaration shall be effective upon recording. ARTICLE 22. ASSIGNMENT BY DECLARANT Declarant reserves the right to assign, transfer, sell, lease or rent all or any portion of the Property and reserves the right to assign all or any of its rights, duties, and obligation created under this Declaration. DATED as of the date first written above. DECLARANT: J.K. of Bellevue, Inc., d/b/a LYLE HOMES, a Washington corporation. 111, z By: J=c; Willing, President STATE OF ASHINGTON ) ) ss. COUNTY OF KING ) I certify that I know or have satisfactory evidence that JACK WILLING signed this instrument, on oath stated that he was authorized to execute the instrument and acknowledged it as the President of J.K. of Bellevue, Inc., d/b/a LYLE HOMES, a Washington corporation, Incorporator of Village on Union Homeowners' Association to be the free and voluntary act of such part for the uses and purposes mentioned in the instrument. Date de,k )1_ L . ( rrH i- „111 ,�StON Printeame °C :� •?0�� = NO ARY PUBLIC in and for �* . e of - 'OUgt> Washington residing at J. G� ��/ ,� °�° = My appointment expires: (5--,VO 39 Q402058G f _ 1 y� cz Lc hh ' H caq ZZ • IOC Zh IZ . q1 1 �:� :- _:_ . -. - .„. i. • z Oh � r1 --1 R . .._ i I . , , .. . .. ... ..•. ...._. . . _. . ..... 40., f ):, . .. . .. _ _ i_. .. .. . . LI I . 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I'. ; ! $ .... . ...-4....,...... ...• I • ) 1 . _r_. • !, i - , t, • U1 , i • ; - •••-i , I . ; + , , , 1 •I • i ; tdi: :-• • ••-• ''''I. I + i .. 1—•.,... (1) i , .• .. ti, C.' ' -: v'• , , , I CNI let , • , , . „ .• . 1 + , i .1 • . .Z . .;( 1L._:.-_-_-_.....____,,t4 ________. ' t 1 + I 1 . / / i =, 1 ; . . • . . , •, . . , ...f F , :i , . I ;i i ,i i , , • - 1 1...._..........________{ . ., ------- I 4 L,„ • " I:I ! !i ! • 0 t • i ! CS) , ..... , ! ti I i , + . I. ; i, I i* I • I ' f• , .:, .,. .‘4.....• i. Fece. R-ev4--) ! 6,1 i• : i 3 , , 5-- , e-e-A- . , . . a .. . i I ....._-:...J 1 . i i , . , , ,,, • ,. .....,...._. ..._.),..,:..rtaststatfatraMitraegald is • t M EXHIBIT C Residential Use and Maintenance Easements ciP BENEFITED BURDENED BENEFITED BURDENED co LOT LOT LOT LOT In 0. 37 36 C\1 13 14 38 37 O 14 15 39 38 t* 15 16 42 43 CD 18 19 43 44 19 20 44 45 20 21 79 78 • 21 22 80 79 22 23 81 80 23 24 84 85 24 25 85 86 25 26 86 87 26 27 89 88 33 32 90 89 1 36 35 91 90 • 0