HomeMy WebLinkAboutA003 - Declaration of Submission of Property to Horizontal Property Regime for Parkway Townhomes s ►�/t
00584
INST.NO.
DECLARATION OF SUBMISSION OF PROPERTY : STORY COUNTY, IOWA
FILED FOR RECORD
TO HORIZONTAL PROPERTY REGIME 1�
00584
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PARKWAY TOWNHOMES BY p8 1JXy
MIDLAND FINANCIAL SAVINGS AND LOAN ASSOCIATION, an Iowa
Corporation, referred to herein as "Developer", hereby executes
this instrument of Declaration of Submission of Property to a
Horizontal Property Regime to be known as PARKWAY TOWNHOMES
(hereinafter referred to as "regime") all pursuant to Chapter
499B, Code of Iowa, (this and all other references in this
Declaration and exhibits hereto to the Code of Iowa refer to the
1987 Code of Iowa) , entitled "Horizontal Property Act
(Condominiums)" the same to take effect when filed for record in
the office of the Story County Recorder.
R E C I T A L S
A. The Developer is the owner of the land and proposed
improvements to be known as PARKWAY TOWNHOMES in the City of
Ames, Story County, Iowa. The legal description of which is as
follows:
Lot 1 in BLUE RIDGE PLAT NO. 2 an Official Plat,
Ames, Iowa
B. PARKWAY TOWNHOMES is to consist of 2 frame apartment
buildings, one comprised of 8 units and one comprised of 6 units,
for a total of 14 units. Developer by this Declaration intends
to make PARKWAY TOWNHOMES a condominium as defined in Chapter
499B, Code of Iowa, and pursuant to this Declaration.
C. Developer's purpose, by filing this Declaration, is to
submit and convey the land described above and the improvements
to be constructed thereon, together with all appurtenances
thereto, to the condominium form of ownership and use pursuant to
the provisions of the aforesaid Horizontal Property Act, and to
impose upon such property mutually beneficial restrictions under
a general plan of improvement for the benefit of all condominiums
and the owners thereof.
NOW, THEREFORE, Developer does hereby declare that all of
the property described above and designated in "Exhibit A"
attached hereto is held and shall be held subject to the
following covenants, conditions, restrictions, uses, limitations,
and obligations, all of which are declared and agreed to be in
the furtherance of a plan for the improvement of the property and
the division thereof into condominiums and shall run with the
land and shall be a burden and a benefit to Developer, its
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successors and assigns, and any person owning an interest in the
real property, improvements and appurtenances thereto, his
grantee, successors, heirs, executors, administrators, devisees
and assigns.
ARTICLE I
DEFINITIONS AND GENERAL
1. Association. The term "Association" means PARKWAY TOWNHOMES
ASSOCIATION, and its successors and shall, for purposes of
this Declaration, be the "Council of Co-owners" as defined
in Section 499B.2(3) Code of Iowa.
2. Building. The term "building" or "building(s)" means the 2
buildings containing a total of 14 Townhouse units.
3. Condominium. The term "condominium" when used as a noun
means a Unit and appurtenances thereto.
4. Condominium Documents. The term "condominium documents"
means this Declaration, all exhibits attached hereto
including the Articles of Incorporation and By-Laws of the
Association, and supplements and amendments thereto.
5. General Common Elements. The term general common elements
means and is described as all portions of the property not
located within any Unit except such portions of the property
which are defined or reserved as limited common elements,
and the term also includes but is not limited to the land,
driveways, outside parking, sidewalks, landscaping,
plantings and pertinent equipment and furnishings.
All structural elements of the building, including but not
limited to the foundation, slabs, exterior walls, roof and
attic, interior load bearing walls, walls dividing units and
walls separating units from another common area, floors,
ceilings, and other structural elements of the building not
reserved to a Unit are general common elements.
All sewer, water, electrical, gas, telephone and other
utility or service lines, wiring, ducts, conduits, and
piping located outside of any unit or which serve more than
one unit are general common elements notwithstanding the
same are located in part within a Unit.
6. Owner. The term "owner" means the holder of a real property
interest in a Unit, except when otherwise defined in the
condominium documents, and excluding mortgagees not in
possession, lienholders and interests merely collateral in
nature.
7. Ownership Units. The term "ownership units" means the
ownership units made appurtenant to each Unit in Article III
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hereof for purposes including but not limited to determining
each unit's appurtenant share of the common elements, and
determining voting and assessment in accordance with the
By-Laws of the Association.
8. Property. The term "property" or the term "condominium
property" includes all property, real, personal or mixed
submitted to the regime other than the personal property of
any owner which might otherwise be considered submitted to
the regime.
9. Unit. Each Unit shall consist of the area between the
decorated and finished interior surfaces of its perimeter
walls (including windows and sliding glass doors) and
including the interior surface of the exterior door(s)), and
between the lower surface of the ceiling and the upper
surface of the lowest floor. A Unit shall include and be
defined by the above referred to surfaces and shall also
include windows, gas appliances, electrical fixtures and
plumbing fixtures, including the heating, ventilating and
air conditioning equipment and hot water heater within the
units, and non-load bearing partitions or walls within such
area, except that all lines, wires, ducts and the like
within any non-load bearing partition or wall which serve
more than one unit, shall be excluded and shall not
constitute a part of the Unit. "Unit" shall have the same
meaning as "apartment" as defined in Section 499B.2(1) Code
of Iowa, except as further defined in this paragraph.
10. Plural and Gender. Whenever the context so permits or
requires, the singular shall include the plural and the
plural the singular, and the use of any gender shall include
all genders.
11. Successors, Grantees and Assigns. Reference to Developer,
an owner, the Association, or any person or entity shall
include the respective heirs, - successors, grantees and
assigns thereof.
12. Severability. The invalidity of an covenant, restriction,
agreement, undertaking, or other provision of any
condominium document shall not affect the validity of the
remaining portions thereof.
13. Incorporation. Exhibits attached hereto and referred to
herein are hereby made a part hereof with the same force and
effect as other provisions of this document; provided that,
wherever specifically provided, modification of certain
exhibits shall not be deemed an amendment of this
Declaration.
14. Other Definitions. Certain other terms are defined at
various places in this Declaration and to the extent not
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defined herein, the definitions contained in the Horizontal
Property Act shall control.
ARTICLE II
IDENTIFICATION OF LAND, BUILDINGS AND UNITS
1. Location of Land and Improvements. The land and
improvements hereby submitted to the regime are located at
Ames, Story County, Iowa, and legally described in the above
recitals and further described in Exhibit "A", a duly
certified plat of survey and legal description drawn to
scale and attached hereto and made a part hereof. The
buildings, are hereby submitted to the regime. The units
which are shown and designated by number on Exhibit "B"
attached hereto, are hereby submitted to the regime.
Exhibits "A" and "B" contain and such contents shall govern,
for purposes of this Declaration and for purposes of meeting
certain requirements of Section 499B.4 and 499B.6 of the
Code of Iowa, the following:
(a) The number identifying each building and Unit, the
location and number of rooms in each Unit and the
immediate common area to which each Unit has access.
(b) The full and exact copy of the- plans of the building
which show graphically all particulars of the building
including, but not limited to, the dimensions, area and
location of the common elements affording access to
each Unit.
2. Driveways. The driveways shown in Exhibit "A" shall be
private driveways within the regime and common elements
thereof, affording access to the units and common elements
from public streets, and an easement over such driveways as
is necessary for ingress and egress to such units and common
elements shall be appurtenant to each Unit.
ARTICLE III
OWNERSHIP OF UNITS, APPURTENANCES AND EASEMENTS
1. Exclusive Ownership of Unit. Each owner shall be entitled
to exclusive ownership and possession of his Unit. An owner
shall be deemed to own the windows and glass doors of his
Unit. An owner shall not be deemed to own the undecorated
or unfinished interior surfaces of the perimeter walls,
floors, ceilings and exterior doors bounding his Unit which
are included in limited or general common elements
notwithstanding the fact that such elements are within the
perimeter of such Unit. An owner, however, shall have the
exclusive right to paint, repaint, tile, wax, paper, or
otherwise refinish and decorate the interior surfaces of the
perimeter walls, floors, ceilings, and exterior doors
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bounding his Unit and also shall have such exclusive rights
with respect to general or limited common elements which are
within his Unit, including specifically the right to
penetrate such common element with nails and other fasteners
for hanging customary pictures, mirrors and similar wall
decorations.
2. Appurtenances. There shall pass with the ownership of each
Unit as a part hereof, whether or not separately described,
all appurtenances to such Unit (whether such appurtenance is
described in this Article or elsewhere in this Declaration
or in the By-Laws of the Association) , including the limited
common elements. No part of the appurtenant interest of any
Unit may be sold, transferred or otherwise disposed of
except in connection with the sale, transfer or other
disposition of such Unit itself or of all units in the
regime.
3. Ownership Units. For purposes of this Declaration and the
By-Laws of the Association, appurtenant to each Unit shall
be one ownership Unit as listed in Exhibit "C" of this
Declaration. The ownership units which are appurtenant to
each Unit are hereby created by this Declaration and shall
be counted for all purposes stated herein and in the other
condominium documents irrespective of any actual occupancy
or use of the Unit to which appurtenant.
4. Undivided Ownership Interest. An undivided interest in the
land and other common elements of the regime, regardless of
whether such elements are general or limited common
elements, shall be appurtenant to each Unit. The amount of
such undivided interest appurtenant to each Unit shall be a
fraction, the numerator of which is one (1) and the
denominator of which is the number of all units (14) which
have been submitted to the regime, all as shown on Exhibit
C, attached hereto.
5. Use of Limited Common Elements. The exclusive use of
limited common elements shall be deemed an appurtenance of
the Unit or units for which said elements are reserved
provided such use and enjoyment shall be limited to the uses
permitted by this Declaration and other condominium
documents.
6. General Common Elements. Appurtenant to each Unit shall be
a right to use and enjoy the general common elements.
7. Membership and Voting Rights. Appurtenant to each Unit
shall be membership in the Association and one vote in the
affairs of the Association and of the regime, provided the
exercise of such voting and membership rights shall be
subject to the applicable provisions of the Articles and
By-Laws of the Association and of the other condominium
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documents. The action of such Association shall be deemed
the action of the owners or of the Council of Co-owners
whenever such action is permitted or required by Chapter
499B of the Code of Iowa; and such action when taken in
accordance with the By-Laws of the Association and this
Declaration shall be final and conclusive upon all Unit
owners.
8. Encroachment Easements. If any portion of the common
elements encroaches upon any Unit, or if any Unit encroaches
upon any other Unit or upon any portion of the common
elements, or if any of such encroachments shall occur
hereafter as a result of shifting or settling of the
building or from alteration, repair or improvement to the
common elements or as a result of repair or restoration of
the common elements or a Unit after damage by fire or other
casualty, or as a result of condemnation or of eminent
domain proceedings, then in each of such events a valid
easement shall exist for such encroachment and for the
maintenance thereof so long as the building, common elements
and units exist.
9. Cross Easements. Appurtenant to each Unit shall be
easements from each Unit owner to each other Unit owner and
to the Association and from the Association to the
respective Unit owners as follows:
(a) For ingress and egress through the common areas and for
maintenance, repair, and replacement as authorized;
(b) Through the units and common facilities for
maintenance, repair and replacement or reconstruction
of common elements, but access to units shall be only
during reasonable hours except in case of emergency;
(c) Through the units and common areas for conduits, ducts,
plumbing, wiring and other facilities for the
furnishing of utility or other services to the other
units and the common areas.
(d) To the extent necessary, each Unit shall have an
easement for structural support over the common
elements and over any other Unit in the building, and
each Unit and the common elements shall be subject to
an easement for structural support in favor of every
other Unit in the building and the common elements.
ARTICLE IV
LIMITED COMMON ELEMENTS
1. Definition. The term "limited common elements" shall mean a
portion of the common areas set aside and allocated for the
restricted use of respective units as is or as may hereafter
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be designated. At the time of conveyance, each respective
document of conveyance shall be deemed to convey the limited
common elements to be used exclusively in conjunction with
the respective Unit without necessity of naming the same.
2. Reservation. The common elements consisting of the
balconies or patios which exclusively serve each Unit are
reserved as limited common elements for the exclusive use of
each respective Unit.
3. Balconies or Patios. The cost of maintenance and repair of
any balcony or patio shall be assessed against the Unit that
such balcony exclusively serves.
4. Exception. Notwithstanding the reservations permitted by
this Article, the design and layout of the building and
grounds submitted and the integrity and appearance of the
regime as a whole are the common interest of all owners and
shall remain a part of the general common elements.
5. Right of Association. The reservation of the limited common
elements shall not limit any right the Association and its
agents may otherwise have to alter such limited common
elements or enter upon such limited common elements.
ARTICLE V
DEVELOPERS RESERVED RIGHTS AND POWERS
1. Developer's Activities and Unit Ownership. Developer is
irrevocably and perpetually empowered, notwithstanding any
use restriction or other provision hereof to the contrary,
to sell, lease or rent units not previously sold by the
developer to any person and shall have the right to transact
on the condominium property any business relating to
construction, sale, lease or rental of such units and any
recreational facilities including, but not limited to, the
right to maintain models, offices, signs, employees and
equipment and materials on the premises, and to use common
elements to show such units. A sale and rental office,
signs and all items and equipment pertaining to sales or
rentals and other facilities furnished by Developer shall
not be considered common elements and shall remain their
separate property. Developer retains the right to be and
remain the owner of completed but unsold units under the
same terms and conditions as other owners including
membership in the Association save for this right to sell,
rent, or lease.
2. Developer's Liability for Assessments. The Developer, and
the units which Developer owns, shall not be liable for any
assessments made by the Association whether general or
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special. Provided, at such time as a Unit owned by
Developer is sold, leased, rented, or occupied (other than
as a model for sales purposes or as a sales office) such
Unit shall thereafter be liable for assessments in the same
fashion as any other owner.
3. Designation of Association Directors. Developer shall have
the right to name all members of the Board of Directors of
the Association until the first annual members' meeting of
said Association which shall be held the 15th day of the
month of October which follows the sale of all units or the
15th day of October, 1996, whichever first occurs.
Thereafter the Board of Directors
shall be selected in the manner specified in the By-Laws of
the Association.
4. Right to Amend Plans. Developer reserves the right to
change the interior design and arrangement of all Units, and
to alter the boundaries between apartments, so long as
Developer owns the units so altered. If Developer shall
make any changes in units so authorized, such changes shall
be reflected by an amendment 'to the Declaration. An
amendment made pursuant to this paragraph need be signed and
acknowledged only by the Developer, its agents or assigns
and need not be approved by the Association, Unit owners or
mortgagees, whether or not elsewhere required for an
amendment. Provided, however, no change pursuant to this
paragraph shall alter the boundaries of the common elements
without amendment of this Declaration by approval of the
Association, affected Unit owners and affected mortgagees in
a manner elsewhere provided.
5. Construction of Units - Variation and Adjustments. The
Developer reserves the right to substitute for any of the
materials, equipment and appliances, materials, equipment
and appliances of equal or better quality.
6. Initial Assessments. Developer hereby guaranties that the
monthly dues for the Association for a period of two years
from and after the completion of the first building in the
Regime will not exceed $ per month.
7. Construction of Buildings. Developer reserves the right to
construct one building at a time in the Condominium Regime.
8. Assignment of Developer's Reserved Rights. Developer shall
have the right to assign all of its Reserved Rights and
obligations as Developer to any person, corporation or other
entity. Upon such assignment of Developer's Reserved
Rights, the initial Developer shall have no further
obligation in connection with the Condominium Regime or
Phase II thereof.
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ARTICLE VI
MANAGEMENT OF THE REGIME
1. Association; Membership; Vote or Other Action of Owners.
The business and affairs of the regime shall be governed and
managed by the Association, a non profit membership
corporation organized and existing under Chapter 504A, Code
of Iowa. Copies of its Articles of Incorporation and of its
By-Laws are attached hereto as Exhibit "D" and Exhibit "E",
respectively. Whenever a vote or other action of Unit
owners as a group is required the mechanics of conducting
such a vote or taking such action shall be under the control
and supervision of the Association. The action of the
Association shall constitute the action of the owners or of
the Council of Co-Owners whenever such action is permitted
or required herein or by Chapter 499B of the Code of Iowa.
2. Private Sanitary Sewer. The Association, its successors,
assigns, and grantees shall have the sole and continuing
responsibility and obligation for maintenance, repair, and
improvement of the private sanitary sewer system. The
Association, its successors, grantees and assigns shall
indemnify and hold the City harmless from any and all
claims, demands, suits, damages or liability of any kind,
amount or nature pertaining to, resulting form or arising
out of said sanitary sewer, its design, operation,
maintenance, and adequacy.
3. Agreements and Compliance. All owners, tenants, families,
guests and other persons using or occupying the regime shall
be bound by and strictly comply with the provision of the
By-Laws of the Association and applicable provisions of the
other condominium documents, and all agreements,
regulations, and determinations lawfully made by the
Association and its directors, officers or agents shall be
binding on all such owners and other persons. A failure to
comply with the By-Laws or the provisions of the other
condominium documents or any agreement or determination thus
lawfully made shall be grounds for an action to recover sums
due for damages on the part of the Association or any owner
as applicable and for mandatory or other injunctive relief
without waiving either remedy. The costs, including
reasonable attorney's fees incurred by the Association to
enforce same shall be a lien against the Unit whose owner
failed to comply and this lien shall be subject to
foreclosure by the Association.
4. Included Powers; Foreclosure of Lien; Waiver of Partition.
Each owner agrees that the Association has and shall
exercise all powers, rights and authority granted unto it,
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the Council of Co-Owners and the owners as a group by
Chapter 504A and 499B Code of Iowa, and such as are more
particularly set forth in the condominium documents,
including but not limited to the making of assessments
chargeable to owners and the creation of a lien on units
thereby, and the right, acting on behalf of the Unit owners,
to foreclose the lien thereof and acquire a Unit at
foreclosure sale and to hold, lease, mortgage or convey the
same; all Unit owners shall be deemed to have waived all
rights of partition, if any, in connection with such
acquisition. Each owner hereby waives any right to delay or
prevent such foreclosure by the Association which he may
have by reason of a homestead exemption.
5. No Avoidance by Waiver of Use; Right of Entry. Each owner
shall be liable for all assessments made by the Association
against his Unit for common expenses and liabilities of the
Association and the condominium property and regime. The
liability of a Unit owner for all assessments made by the
Association may not be avoided by waiver of the use or
enjoyment of any common element or by abandonment of a Unit
for which an assessment is made. The Association shall have
the right exercisable at reasonable times to enter a Unit as
may be necessary or advisable to carry out its
responsibilities.
6. Utilities. Each Unit owner shall pay all charges before
they become delinquent for telephone, electricity, gas,
cable television and any other service which is billed
directly to the Unit owner. All other utility charges shall
be paid by the .Association and the costs of the same shall
be a common expense to be assessed against each Unit owner
as part of the regular assessment.
7. Management Contract. Pursuant to authority granted in its
By-Laws, the Association has the right to enter into a
contract with Developer or its assigns for professional
management of its affairs for an initial term not to extend
beyond July 15, 1991, and the management fee thereof shall
be a common expense and such fee shall not increase by more
than the yearly rate of increase in the Consumer Price Index
U.S. City Average for Wage Earners and Clerical Workers
(CPI-W) as published by the Department of Labor. Any such
fee adjustment shall be no more often than once each year
and the fee paid during the first year shall be the base
year and the Index published for the first month on the
initial term shall be the base index. A new contract may be
negotiated following the First Annual Meeting of the
Association.
. 8. .. Discharge of Liability. The owner shall promptly discharge
any lien which may hereafter be filed against his
condominium Unit.
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9. Negligence. A Unit owner shall be liable to the Association
for the expense of any maintenance, repair, or replacement
rendered necessary by his act, neglect, or carelessness, or
by that of his family, guests, employees, agents, or
lessees, which liability shall include any increase in
insurance rates resulting therefrom.
10. Limitation of Association's Liability. The Association
shall not be liable for any failure of water or other
service to be obtained and paid for by the Association
hereunder, or for injury or damage to property caused by or
on the common elements or by another owner or person in the
project, or resulting from electricity, water, rain, air,
dust, dirt or sand which may leak or flow from outside or
from any parts of the buildings, or from any of its pipes,
drains, conduits, appliances or equipment or from any other
place unless caused by negligence of the Association. No
diminution or abatement of common expense assessments shall
be claimed or allowed for inconveniences or discomfort
arising from the making of repairs or improvements to the
common area or from any action taken to comply with any law,
ordinance or orders of a governmental authority.
11. Indemnification of Management Committee Members. Each
member of the Association shall be indemnified by the owners
against all expenses and liabilities including attorney's
fees, reasonably incurred by or imposed upon him in
connection with any proceedings to which he may be a party,
or in which he may become involved, by reason of his being
or having been an officer or director of the Association or
any settlement thereof, whether or not he is an officer or
director at the time such expenses are incurred, except in
such cases wherein such person is adjudged guilty of or
liable for willful misfeasance or malfeasance in the
performance of his duties; provided that in the event of a
settlement the indemnification shall apply only when the
Board of Directors of the Association approves such
settlement and reimbursement as being for the best interest
of the Association.
12. Association as Attorney-in-Fact for Owners. The Association
is hereby irrevocably appointed attorney-in-fact for the
Owners of each and every Condominium to manage, control and
deal with the interest of such Owners in the Common Areas so
as to permit the Association to fulfill all of its duties
and obligations hereunder and to exercise all of its rights
hereunder, to deal with PARKWAY TOWNHOMES upon its
destruction or obsolescence as hereinafter provided, and to
deal with and handle insurance and insurance proceeds and
condemnation awards as hereinafter provided. The acceptance
by any person or entity of any interest in any condominium
shall constitute an appointment of the Association as an
attorney-in-fact as provided above.
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13. Subordination of Assessment Liens. If any Unit subject to a
lien created by any provision in this Declaration shall be
subject to the lien of a first Mortgage of record: (i) the
foreclosure of any lien created by anything set forth in
this Declaration shall not operate to affect or impair the
lien of such Mortgage; and (ii) the foreclosure of the lien
of such Mortgage or the acceptance of a deed in lieu of the
foreclosure by the Mortgagee, shall not operate to affect or
impair the lien except that assessment liens, if any, as
shall have come due up to the expiration of the applicable
redemption period and issuance of a sheriff's deed resulting
from a decree of foreclosure or the appointment of a
receiver in foreclosure proceedings or the acceptance of the
deed in lieu of foreclosure shall be subordinate to the lien
of the Mortgage, with the foreclosure-purchaser and
purchasers therefrom taking title free of assessments, if
any, that have come due up to the expiration of the
applicable redemption period and issuance of a sheriff's
deed resulting from a decree of foreclosure or the
appointment of a receiver in foreclosure proceedings or deed
given in lieu of foreclosure, but subject to assessment
liens that shall have come due subsequent to the expiration
of the applicable redemption period and issuance of a
sheriff's deed resulting from a decree of foreclosure or the
appointment of a receiver in foreclosure proceedings or the
acceptance of a deed in lieu of foreclosure. All assessment
liens as shall have come due up to the expiration of the
applicable redemption period and issuance of a sheriff's
deed resulting from a decree of foreclosure or the
appointment of a receiver in foreclosure proceedings or the
acceptance of a deed in lieu of foreclosure and have not
been paid shall be deemed to be an expense of the
Association, but this shall not derogate the Association's
right to collect said sums from the defaulting owner
personally.
ARTICLE VII-
MAINTENANCE, ALTERATION AND IMPROVEMENT
1. Definitions. Certain terms used in this Article shall have
a meaning as follows, provided any dispute over the
characterization of work within one of the following
meanings shall be conclusively decided by the Board of
Directors of the Association.
a. "Maintenance" or "repair" shall mean the act of
maintaining, restoration, renovation, reconstruction,
replacement, rebuilding and similar work necessary to
preserve a Unit, the building, the common elements, or
the property in .its. condition as of the date of the
completion of such improvements or restoration.
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b. "Improvement" shall mean the addition of a new
structure, element or facility, other than a structure,
element or facility, otherwise provided for by this
Declaration or any Supplemental Declaration.
2. Maintenance by Association.
a. The Association shall maintain all common elements,
whether limited or general, and shall make assessments
therefor as a common expense except where the cost of
maintenance has been specifically made the
responsibility of each Unit in which case, each such
Unit shall be assessed on an individual basis.
b. The Association shall repair incidental damage caused
to a Unit through maintenance by the Association and
shall assess the cost thereof as a common expense.
C. If a Unit owner defaults on his responsibilities of
maintenance, the Association shall assume such
responsibilities and shall assess the cost thereof
against the owner of such Unit and such assessment
shall be collectible from the Unit owner as if it were
an assessment for common expenses.
d. The Association may, in its discretion, assume
responsibility for any maintenance project which
requires reconstruction, repair, rebuilding,
renovation, restoration or similar work to one or more
units and the cost thereof may in the discretion of the
Association, either be assessed against each Unit on
which such costs were incurred or be assessed against
all units as a common expense according to the
circumstances.
3. Maintenance by Owner.
a. Each Unit owner at his own expense shall maintain the
interior, including the boundary surfaces, of such Unit
and its equipment, shall keep such interior in a clean
and sanitary condition, shall do all redecorating,
painting and other finishing which may at any time be
necessary to maintain his Unit, and shall be
responsible for the maintenance of all personalty
including carpets, furnishings, and appliances within
such Unit.
b. The owner of each Unit shall be responsible for
maintenance of any plumbing fixture, lighting fixtures,
refrigerators, dishwashers, disposals, ranges, heating,
ventilation, air-conditioning equipment, and hot water
heater located in or connected with such Unit and for
its exclusive use. The owner shall also, at his own
expense, keep in a clean condition any limited common
13 BOOK PAGE.gag-
area which is for the exclusive use of his Unit; and
neither the Association nor the regime shall be liable
or responsible for any loss or damage caused by theft
or otherwise of articles which may be stored by the
owner in a limited common area which is for the
exclusive use of his Unit; and neither the Association
nor the regime shall be liable or responsible for any
loss or damage caused by theft or otherwise of articles
which may be stored by the owner in a limited common
area or in a Unit except for the repair specifically
made the responsibility of the Association for damage
caused to a Unit through its maintenance as provided in
Section 2(b) of this Article.
C. The Unit owner shall maintain, at his expense, any
improvement or other alteration made by him.
d. The Owner of each Unit shall promptly report to the
Association any defects or other maintenance needs
which are the responsibility of the Association.
4. Alteration or Improvements by Owner. No Unit owner shall
make or permit to be made any structural alteration to a
Unit or to the building or any of the common elements,
limited or general, without first obtaining written consent
of the Board of Directors of the Association which shall
determine the proper insurance of such improvement or other
alteration, and the effect of such improvement or alteration
on insurance of other property of the regime, and which
shall arrange with such Unit owner for the payment of the
cost of any additional insurance thereby required. In the
case of alterations within a Unit the consent required by
the preceding sentence shall be immediately granted upon
agreement of the Unit owner to pay the cost of such
additional insurance, and a determination that such
alteration will not impair the structural soundness of the
building or safety of the property. Alterations to the
exterior of the building or common element shall not be
made, if, in the opinion of the Board of Directors of the
Association, such alteration would not become the integrity
and appearance of the regime as a whole. Such owner shall
do no act or work which will impair the structural soundness
or integrity of the building or safety of the property or
impair any easement. The improvement or alteration of a
Unit shall cause no increase or decrease in the number of
ownership units appurtenant to such Unit.
5. Alterations or Improvements by the Association. Whenever in
the judgment of the Board of Directors the common elements
shall require addition, alterations or improvements during
the fiscal year costing in the aggregate in excess of
$5,000.00, and the making of such additions, alterations or
improvements shall have been approved by a majority of the
ownership units, the Board of Directors shall proceed with
14 BOOK-PAGE
such additions, alterations or improvements and shall assess
all Unit owners for the cost thereof as a common charge.
Any additions, alterations, or improvements during the
fiscal year costing in the aggregate $5,000.00 or less may
be made by the Board of Directors without approval of Unit
owners, and the cost thereof shall constitute part of the
common expenses.
ARTICLE VIII
CONDITIONS OF AND RESTRICTIONS ON OWNERSHIP USE,
AND ENJOYMENT
1. Subjection of the Property to Certain Provisions. The
ownership, use, occupation, and enjoyment of each Unit and
of the common elements of the regime shall be subject to the
provisions of the By-Laws and Articles of Incorporation of
the Association, and this Declaration, all of which
provisions irrespective of where set forth or classified
shall have equal status and shall be enforceable and binding
as a covenant, condition, restriction, or requirement
running with the land and shall be binding on and
enforceable against each and all units and the owners
thereof and their respective assigns, lessees, tenants,
occupants, and successors in interest.
2. Use of Property. The use of the property shall be in
accordance with and subject to the following provisions:
a. A Unit shall be used or occupied for single family
dwelling purposes only.
b. An owner has the right to decorate windows bounding his
Unit, however, this right is limited to the extent that
only drapes, curtains, sheers and shutters may be used
which must be lined so that they appear white from the
outside of the building. Nothing shall be hung between
the interior surface of the window and the drapes,
curtains, sheers or shutters used.
C. Dogs, cats and other pet animals and birds, including
any mammal, rodent or snake, are prohibited. Provided
however, any person purchasing a Unit from the
Developer in PARKWAY TOWNHOMES may bring a pet dog, cat
or bird with them if such pet weighs less than 25
pounds at full growth. When a pet, which is brought
onto the premises as provided above, dies it shall not
be replaced. The handling and conduct of the
temporarily permitted pets shall be subject to any
rules and regulations adopted by the Association. All
pets outside of a Unit must be on a leash and
accompanied, at all times, by an adult.
15 BOOK.aL.PAGE.9U':2
d. The Association may adopt rules and regulations for the
reservation and use of the recreation facilities.
e. The right to sell, transfer or convey any condominium
Unit may be subject to such reasonable and uniform
objective standards relating to financial
responsibility and/or character as may now or hereafter
be adopted by the Association in the form of rules and
regulations. No such restriction shall be based upon
race, religion, sex or place of national origin.
f. No Unit owner may rent or lease his Unit without first
obtaining the approval of the Board of Directors for
such rental and such approval shall not be unreasonably
withheld. The Board of Directors shall review both the
terms of the lease and the proposed tenants. Any
application for approval to rent a Unit in PARKWAY
TOWNHOMES shall be acted on by the Board within 30 days
from written notice by the Unit owner of the proposed
rental. Failure of the Board of Directors to act
within 30 days from said written notice, shall be
deemed approval of the proposed rental. The
association shall from time to time adopt objective
standards relating to the terms, conditions, and
suitability of tenants for the rental of Units in
PARKWAY TOWNHOMES in the form of- rules and regulations.
g. No noxious or offensive activity shall be carried on in
any condominium Unit, nor shall anything be done or be
permitted to remain in any condominium Unit which may
be or become a nuisance or annoyance to owner or
tenants. Owners and/or other tenants, shall exercise
extreme care not to disturb other owners or tenants
with excessive noise.
h. There shall be no obstruction of any common elements.
Nothing shall be stored on any common elements
(excepting those areas designated for storage of
personal property by the owners of the condominium
units) without the approval of the Association.
Vehicular parking upon general common elements may be
regulated or assigned by the Association. Repair or
maintenance of automobiles in the garage or any other
general common element is strictly prohibited.
i. Except for such signs as may be posted by the developer
for promotional or marketing purposes, no signs of any
character which are visible from the outside of a
condominium Unit shall be erected, posted or displayed
upon, from or about any condominium Unit, unless first
reviewed and approved by the Association provided,
however, any holder of a first mortgage which acquires
possession of a Unit by foreclosure or by deed in lieu
of foreclosure shall have the right to post signed for
16 EMK PAGE
the sale or rental of such Unit until such Unit is sold
or a rental is entered into.
j . The halls and passageways of all buildings shall be
used only for ingress and egress.
k. No burning of any trash and no unreasonable or
unsightly accumulation or storage of litter, new or
used materials, or trash of any other kind shall be
permitted within any condominium Unit or be permitted
to remain in public view, but shall be deposited in the
receptacles provided for that purpose.
1. No structure of a temporary character, trailer, tent,
shack, boat, or other recreational vehicle shall be
maintained upon any common elements at any time.
M. No owner or other person shall install any electrical
or telephone wire, television antenna, or other
antenna, air-conditioning Unit or other machine or
device on the exterior of the building.
n. Nothing shall be altered in, constructed in, or removed
from the common elements, except upon written consent
of the Board of Directors of the Association.
o. No activity shall be allowed which unduly interferes
with the peaceful possession and use of the property by
the Unit owners nor shall any fire hazard or unsightly
accumulation of refuse be allowed.
p. Nothing shall be done or kept in any Unit or in the
common area which will increase the rate of insurance
on the common area, without the prior written consent
of the Association. No owner shall permit anything to
be done or kept in his Unit or in the common area which
will result in the cancellation of insurance on any
Unit or any part of the common area, or which would be
in violation of any law.
q. Agents of or contractors hired by the Association may
enter any Unit when necessary in connection with any
maintenance, landscaping, or construction for which the
Association is responsible, provided such entry shall
be made with as little inconvenience to the owners as
practicable.
r. A Unit owner shall give notice to the Association of
every lien against his Unit other than permitted
mortgages, taxes, and Association assessments, and of
any suit or other proceeding which may affect the title
to his Unit, within 10 days after the lien attaches or
the owner receives notice of such lien.
17 BOOK PAGE
S. Unit owners are reminded that alteration and repair of
the building is the responsibility of the Association,
except for the interior of the units. No work of any
kind is to be done upon the exterior building walls or
upon interior boundary walls or doors without first
obtaining the approval of the Association. Work inside
a Unit will be coordinated with the Association before
proceeding.
t. Each Unit occupant shall keep his Unit and balcony or
patios to which he has sole access in a good state of
presentation and cleanliness, and shall not sweep or
throw or permit to be swept or thrown therefrom, or
from the doors, windows, balcony or patio thereof, any
dirt or other substance.
U. No vehicle belonging to a Unit occupant or to a member
of his family or guest, tenant or employee of a Unit
occupant shall be parked in such a manner as to impede
or prevent ready access to any entrance to or exit from
the building by another vehicle. Further, bicycles and
mopeds shall not be taken to the units nor be stored in
common elements except in the parking areas designed by
the Association.
V. Complaints regarding the services of the building shall
be made in writing to the Board of Directors or to the
managing agent or to the manager.
2. The Association shall have the authority to amend and adopt
reasonable rules and regulations governing the use of the
property and such rules shall be observed and obeyed by the
owners, their guests, and licensees. Such rules after being
properly adopted shall have the same force and effect as if
contained in this Declaration.
ARTICLE IX
CONDEMNATION
1. Taking by Eminent Domain. Payment for the taking of a
portion of a Unit or of the common elements by eminent
domain or the conveyance under threat thereof shall be
deemed to be proceeds from insurance on account of casualty
and shall be deposited with the Insurance Trustee. Even
though the awards may be payable to owners, the Unit owners
shall deposit the awards with the Insurance Trustee. And,
in the event of failure to do so, in the discretion of the
Association a special assessment shall be made against a
defaulting owner in the amount of his award, and the amount
of such award shall be set off against the sums hereinafter
made payable to such owner. The proceeds of the award shall
be distributed or used in a manner heretofore provided for
insurance proceeds except that when the Horizontal Property
18 B �PAGE�
Regime is not to be terminated, and one or more units are
taken in part, the taking shall have the following effects:
a. If the Unit is Reduced But Tenable. If the Unit taking
reduces the size of the Unit, and the remaining portion
of the Unit can be made tenable, the award for the
taking of a portion of the Unit shall be sued for the
following purposes in order stated, and the following
changes shall be effected in the Horizontal Property
Regime:
(i) The Unit shall be made tenable. If the cost
of such work exceeds the amount of the award,
the additional funds required shall be
assessed against the owners of the
condominium Unit.
(ii) The balance of the award, if any, shall be
distributed to the owner of the Unit and to
each mortgagee of the Unit of record, the
remittance being payable jointly to the owner
and the mortgagees.
(iii) If the taking reduced the gross area of the
units, the ownership Unit shall be reduced on
an equitable basis to be determined by the
Association.
b. Unit Made Untenable. If the taking destroys or so
reduces the size of the Unit that it cannot be made
tenable, the awards for the taking of the Unit shall be
used for the following purposes in the order stated,
and the following changes shall be effected in the
Horizontal Property Regime:
(i) The market value of such Unit immediately
prior to the taking shall be paid to the
owner of the Unit and to each mortgagee of
the Unit of record, the remittance being
payable jointly to the owner and the
mortgagees.
(ii) The remaining portion of such Unit, if any,
shall become a part of the common elements
and shall be placed in condition for use by
all of the Unit owners in a manner approved
by the Association; provided, if the cost of
such work shall exceed the balance of the
fund from the award for the taking, such work
shall be paid for by assessment as a common
expense among all remaining units.
19 BOOK -PAGE
(iii) If the amount of the award for the taking is
not sufficient to pay the market value of the
condemned Unit to the owner, and to condition
the remaining portion of the Unit for use as
part of the common elements, the additional
funds required for such purposes shall be
raised by assessments against all of the Unit
owners who will continue as co-owners of
condominium units after the changes in the
Horizontal Property Regime affected by the
taking. In the event that the market price
cannot be determined by negotiations, it
shall be determined by binding arbitration in
accordance with Chapter 679 of the Code of
Iowa.
(iv) If the amount of the award for the taking
exceeds the amounts necessary to pay the
market value of the condemned Unit to the
owners as provided in sub-paragraph (i) above
and to condition the remaining portion of the
Unit for use as part of the common elements
as provided in sub-paragraph (ii) above, the
excess funds shall be payable to the owner of
the condemned Unit.
C. The Association shall thereafter have the right to file
among the land records an amendment to this Declaration
to incorporate all necessary changes.
ARTICLE X
DESTRUCTION, CASUALTY AND REPAIRS
1. In the event less than one-half of the entire project is
damaged or destroyed by fire or other peril, it shall be
deemed that the Association shall have immediately voted
unanimously to repair, reconstruct or rebuild and the same
shall be promptly repaired or reconstructed in substantial
conformity with the original plans and specifications using
the proceeds of insurance available for that purpose, if
any. Provided, however, if 75% or more of the ownership
units within 20 days from such damage and destruction notify
the Board of Directors in writing, requesting a vote of the
Association members concerning the question of rebuilding,
repairing or reconstructing the damage or destruction, the
Association shall hold such a meeting and shall commence
such rebuilding, repairs or reconstruction upon the
affirmative vote of 51% of the ownership units.
2. In the event the proceeds of insurance are not sufficient to
repair damage or if destruction is caused by any peril not
herein required to be insured against, then the repair or
reconstruction of the damaged common elements shall be
20 BOOK_PAGE
accomplished promptly by the Association at its Common
Expense and the repair or reconstruction of any condominium
Unit shall be accomplished promptly by the Association at
the expense of the owner of the affected condominium Unit.
The ratable share of the expense of such repairs or
reconstruction may be assessed and the lien for the same
shall have all the priorities heretofore provided for in
this Declaration and by the By-Laws of the Association.
3. In the event that one-half (1/2) or more of the entire
project is substantially damaged or destroyed by fire or
other casualty and 75% or more of the ownership units do not
within 30 days resolve to proceed with repair or
reconstruction, then and in that event the project shall be
deemed to be owned in common by the owners of all of the
condominium units in the same proportions as that previously
established for ownership of appurtenant undivided interests
in the common elements, and the project shall be subject to
an action for partition at the suit of the owner of any
condominium Unit or the holder of any lien thereon, in which
event the net proceeds of sale, together with the net
proceeds of any insurance paid to the Association or its
members in common, shall be considered as one fund and shall
be divided among the owners of all the condominium units as
herein provided, after first paying out of the share of the
owner of any condominium Unit, to the extent such share is
sufficient for the purpose, all liens upon such condominium
Unit.
ARTICLE XI
INSURANCE
1. The Association shall obtain and maintain at all times, to
the extent available, at least, the following insurance
(hereinafter referred to as "Condominium Property
Insurance") :
a. Insurance on the Condominium Project in an amount equal
to full replacement value of the Condominium Project
(as determined annually by the Association) and with a
replacement cost endorsement which provides for the
payment of all losses without deduction or allowance
for depreciation. Such coverage shall afford
protection against, at least, the following:
(i) loss or damage by fire or other hazards
covered by the standard extended coverage
endorsement and additional extended coverage
endorsement;
(ii) such other risks as shall customarily be
covered with respect to projects similar in
construction, location and use, including,
21 /Q 3g
BOOK PAGE��_____
but not limited to, vandalism, malicious
mischief, machinery explosion or damage, and
such other insurance as the Association may
from time to time determine; and
b. Public liability insurance in such amounts and in such
forms as may be considered appropriate by the
Association including, but not limited to, water
damage, legal liability, hired automobile, non-owned
automobile and any and all other liability incident to
the ownership and/or use of the Condominium Project or
any portion thereof; and
C. Workmen's compensation insurance to the extent
necessary to comply with any applicable law; and
d. Non-conforming structure endorsement to the extent
necessary.
e. Such other policies of insurance, including insurance
for other risks of a similar or dissimilar nature, as
are or shall hereafter be considered appropriate by the
Association.
2. The premiums for the insurance coverage shall be a common
expense to be paid by monthly assessments levied by the
Association against owners of each of the units. The
premiums attributable to coverage on the condominium units
and the Common Elements shall be apportioned among the
units.
3. The Association, or its designee, shall have the exclusive
authority to adjust losses under the insurance policies.
4. In no event shall the insurance coverage obtained and
maintained by the Association be brought into contribution
with insurance purchased by owners of units or their
mortgagees.
5. Each Unit owner may obtain additional insurance at his own
expense upon his condominium Unit provided that no owner
shall maintain insurance coverage which will tend to
decrease the amount which the Association owners may realize
under any insurance policy which it may have in force.
6. All policies shall provide that such policies may not be
cancelled or substantially modified without at least 30 days
prior written notice to any and all insureds named thereon,
including any and all mortgagees of the condominium units.
7. The Association shall from time to time designate an
Insurance Trustee. The Association shall be responsible for
fees and expenses of the Insurance Trustee which shall
constitute a common expense of the Association.
22 BOOK Af-PAGE�--
8. Except as hereinafter provided, the Insurance Trustee named
in the condominium property endorsement shall receive and
hold the amount payable under the Condominium Project
Insurance and apply the same to the cost of reconstruction
or repair of a damaged or destroyed condominium Unit. The
work of repairing or reconstruction of the damaged or
destroyed condominium Unit shall be commenced within 30 days
from the date of the damage or destruction. The work shall
be accomplished in accordance with the same plans and
specifications by which the condominium units were
originally constructed, subject, however, to the prior
written approval of the Association. The Insurance Trustee
shall make available and pay to the owner the amount of
insurance proceeds received by the Insurance Trustee for the
reconstruction and repair of the condominium Unit. The
payment of the proceeds of insurance shall be made as the
work progresses at such time and upon compliance by the
owner with such conditions as the Insurance Trustee shall
impose, in order to assure full restoration or repair of the
damaged portions of the condominium Unit in a workmanlike
manner, free and clear of any mechanic's and materialmen's
liens and any encumbrances, liens, claims or charges other
than a first mortgage lien. If the cost of the
reconstruction or repair exceeds the amount paid to the
Insurance Trustee, the excess shall be paid by the owner;
provided, however, that in the 'event a decision to
reconstruct is not made according to the terms of Article
X(3) hereof, PARKWAY TOWNHOMES shall be considered
terminated. In the event of such termination, the Board of
Directors shall have the responsibility of closing out the
affairs of the Condominium Project in an orderly manner.
All damaged or destroyed condominium units must be repaired
or restored if:
a. less than 1/2 of the project is damaged or destroyed as
described in Article X paragraph 1 above; or
b. More than 1/2 of the project is damaged or destroyed
and a decision to reconstruct or rebuild damaged or
destroyed condominium units is made as provided for
hereinabove.
9. Any insurance obtained pursuant to the requirements of this
Article, except under subsection h. hereof, shall be subject
to the following provisions:
a. All policies shall be written with a company or
companies licensed to do business in the State of Iowa
and holding a rating of "A-XI" or better, by Best's
Insurance Reports and a policyholder's rating of "A" or
better.
b. Exclusive authority to negotiate losses under said
policies shall be vested in the Board of Directors or
23 �PAGE�
SOOK
its authorized representative, including any trustee
with which the Association may enter into 2.ny Insurance
Trust Agreement, or any successor trustee, each of
which shall herein elsewhere be referred to as the
"Insurance Trustee" and all proceeds covering any loss
shall be payable to the Insurance Trustee, or to his
successor. All proceeds from an insured loss under
such policy shall be held for the use and benefit of
the Association and the owners of all units and their
respective mortgagees as interest may appear. Such
insurance proceeds shall be applied and distributed in
accordance with the articles relating to insurance in
the Declaration and By-Laws.
C. In no event shall the insurance coverage obtained and
maintained pursuant to the requirements of this Article
be brought into contribution with insurance issued in
the name of any individual Unit owner purchased as
herein permitted by such owner of a condominium Unit or
their mortgagee. Any "no other insurance" or similar
clause in any policy obtained by the Association
pursuant to the requirements of this Article shall
exclude such policies from consideration.
d. All policies shall provide that such policies may not
be cancelled or substantially modified without at least
30 days prior written notice to any and all insureds
named thereon, including any and all mortgagees of the
condominium units.
e. All fire and other hazard insurance policies shall
provide that, notwithstanding any provisions thereof
which give the carrier the right to erect or restore
damage in lieu of making a cash settlement, such option
shall not be exercisable when in conflict with the
provisions of the Declaration and the By-Laws.
f. All policies shall contain a waiver of subrogation by
the insurer as to any and all claims against the
Association, the Board of Directors, their agents and
employees, the respective condominium Unit owners,
their residence employees and agents. Independent
contractors shall not be considered agents, employees
or servants of the Association or of the: respective
condominium Unit owners within the meaning of said
waiver.
g. The insurance policy shall contain a provision that the
insurance shall not be prejudiced:
M By any act or neglect of any occupants or
owners of the building when such act or
neglect is not within the control of the
condominium Unit owners collectively; or
24
BOOK.c-...PAGE
(ii) By failure of the condominium Unit owners
collectively to comply with any warranty or
condition with regard to any portion of the
premises over which the condominium Unit
owners collectively have no control.
h. The owner of any condominium Unit (including the holder
of any mortgage thereon) may obtain additional
insurance (including a "condominium unit-owner's
endorsement" for improvements and betterments to the
condominium Unit made or acquired at the expense of the
owner) at his own expense. Such insurance shall be
written either by the same carrier as that purchased by
the Association pursuant to this Article of if written
by another carrier, shall provide that it shall be
without contribution as against the same. Such
insurance shall contain the same waiver of subrogation
provisions as set forth in Section 9(f) of this
Article. The Developer recommends that each owner of a
condominium Unit in the project obtain, in addition to
the insurance hereinabove provided to be obtained by
the Association, a "Tenant's Policy", or equivalent, to
insure against loss or damage to personal property,
including but not limited to decorated surfaces of
walls, floor coverings, plumbing and electrical
fixtures, non-load bearing walls and appliances used or
incidental to the occupancy of the condominium Unit,
vandalism or malicious mischief, theft, personal
liability and the like. Such policy should include a
"condominium Unit owner's endorsement" covering losses
to improvements and betterments to the condominium Unit
made or acquired at the expense of the owner.
ARTICLE XII
AMENDMENTS
1. Procedure. Except as otherwise provided in this
Declaration, this Declaration may be amended and such
amendment shall be made in the following manner:
a. In the case of an amendment to this Declaration by
reason of an amendment to the By-Laws of the
Association, in the manner specified in such By-Laws,
such amendment shall be effective upon its execution
and recordation by the President or other officer of
the Association, authorized therefor by Resolution.
b. In the case of all other amendments to this
Declaration, by written agreement of two-thirds of the
Unit owners, provided holders of a first mortgage of
record which have notified the Association of such
25 'LJ
BOOK .._..PAGE_42_1 .._
•
interest shall receive notice of each amendment 30 days
prior to its effective date.
C. Developer may, until July 15, 1991 , make minor
amendments to this Declaration without the approval of
the Unit owners. Such amendment shall be for the
purpose of clarification or correction of errors in the
Declaration and shall not affect the substantive rights
of a Unit owner.
2. Effectiveness. Upon its recordation at the Story County
Courthouse by the President or other officer appointed for
that purpose, an amendment adopted in the manner specified
in Section 1 of this Article shall be effective against any
persons having an interest in a Unit or the regime
regardless of whether said person had such interest at the
time said amendment was adopted in accordance with Section 1
of this Article.
3. Ownership Units. No amendment shall change the number of
ownership units appurtenant to a Unit, nor the share of the
common elements appurtenant to it, nor increase the owner's
share of the common expense, unless the record owner of the
Unit concerned and all record owners of mortgages thereon
shall affirmatively join in the adoption of such amendment.
No amendment shall change or affect the provisions of this
paragraph 3 of this Article.
IN WITNESS WHEREOF, we have hereunto set our hands this
18 day of JULY , 1988.
MIDLAND FINANCIAL SAVINGS AND
LOAN ASSOCIATION
By:��11 &--\kk
VICE-PRESID NT Title
� 73
Ir • \Y
Q PAGE_�
26 BOOK����.�.---
STATE OF IOWA )
) ss:
COUNTY OF POLK )
On this 18 day of JULY 1988, before me, the
undersigned, a Notary Public in and for the State of Iowa,
personally appeared TED A GROB to me personally
known, who, being by me duly sworn, did say that the person is
the VICE-PRESIDENT of Midland Financial Savings and
Loan Association executing the within and foregoing instrument to
which this is attached, that the seal affixed hereto has been
procured by said corporation (4o--seal-l►as-beerp �ec -�y-fie__
se4A-eor-po-r-ati-m�); that said instrument was signed (and sealed)
on behalf of said corporation by authority of its Board of
Directors; and that the said TED A GROB as such
officer acknowledged the execution of said instrument to be the
voluntary act and deed of said corporation, by it and by the
person voluntarily executed.
0
�adb /Lwl
�.;. Nota Public for the Sat of
Iowa
LYNELLE E MEYER
%��.••;;; � �'`c4 �� MY COMMISSION EXPIRES AUGUST 27, 1990
40
27 8WK. PAGE�
CERTIFICATION
The undersigned , Barry A . Bishop , hereby certify that I
am a licensed professional engineer and registered land surveyor
in the State of Iowa , Reg . No . 3169 and that the attached
Exhibit A , B-1 and B-2 have been prepared by me and under my
direct supervision and represent the floor plans and various
matters so designated on each exhibit .
Dated J��y �/ ���� , 1988 .
Bar Bis op
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EXHIBIT C
PARKWAY TOWNHOMES
UNDIVIDED OWNERSHIP INTERESTS AND VOTES
Unit Undivided Number of
Number Address Ownership Interests Votes
1 1/14 1
2 1/14 1
3 1/14 1
4 1/14 1
5 1/14 1
6 1/14 1
7 1/14 1
8 1/14 1
9 1/14 1
10 1/14 1
11 1/14 1
12 1/14 1
13 1/14 1
14 1/14 1
TOTAL 1 14
BOOK. PAGE_!21
' EXHIBIT D
ARTICLES OF INCORPORATION
OF
PARKWAY TOWNHOMES ASSOCIATION
The undersigned, acting as incorporator of a corporation pursuant
to the provisions of the Iowa Nonprofit Corporation Act, under Chapter
504A of the Code of Iowa, adopts the following Articles of
Incorporation for such condominium.
ARTICLE I
The Corporation shall be known as PARKWAY TOWNHOMES ASSOCIATION
and its principal offices shall be located in Ames, Story County,
Iowa.
ARTICLE II
The existence of this Corporation shall commence with the date
these Articles are filed with the Secretary of State, and the period
of its duration is perpetual.
ARTICLE III
A. The purpose and objective of the Corporation is to provide an
entity to act as a "Condominium Management Association" within
the meaning of Section 528 of the Internal Revenue Code of 1954
to conduct the business and affairs of, and to act as or for, the
co-owners of that horizontal property regime (condominium)
created and submitted, pursuant to the provisions of Chapter 499B
of the Code of Iowa, known as Parkway Townhomes, a Condominium
(hereinafter sometimes referred to as "regime") and to be located
on the real estate situated in Story County, Iowa described as
follows:
Lot 1 in BLUE RIDGE PLAT NO. 2, an Official
Plat, Ames, Iowa.
B. The Corporation shall have all powers and purposes granted or
implied to a council of co-owners under the provisions of Chapter
P P
499B of the Code of Iowa and as are granted or implied by the
Declaration of Condominium establishing said condominium regime,
and all of such powers shall constitute lawful purposes of the
Corporation.
C. The purposes of the Corporation are exclusively not for private
profit or gain and no part of its activities shall consist of
carrying on political propaganda or otherwise attempting to
influence legislation, and the Corporation shall make no
distribution of income to its members, directors or officers.
D. The Corporation shall have unlimited power to engage in and do
any lawful act concerning any and all lawful businesses for which
BOOKPAGE
corporations may be organized under this Act and consistent with
the provisions herein.
ARTICLE IV
The address of the initial registered office of the Corporation
is 206 Sixth Avenue, Des Moines, Iowa 50309, and the name of its
initial registered agent at such address is Ted Grob.
ARTICLE V
The members of this Corporation shall be those persons described
as members in the Bylaws of the Corporation. The voting rights of the
members shall be as provided in the Declaration of Condominium and the
Bylaws of the Corporation.
ARTICLE VI
The number of directors constituting the initial Board of
Directors of the Corporation is one (1) . The names and addresses of
the persons who are to serve as the initial directors are:
NAME ADDRESS
Ted Grob 206 Sixth Avenue
Des Moines, IA 50309
The terms of office of the initial Board of Directors shall be until
successor Directors shall have been elected and shall have qualified.
Until the terms of the initial Board of Directors expire, they shall
be subject to removal only by Midland Financial Savings and Loan
Association as provided in the Declaration and Bylaws. Thereafter, a
Director may be removed from office at a special meeting of the
members of the Corporation in such manner as may be provided in the
Bylaws. Persons other than members of the Corporation may be members
of the Board of Directors.
ARTICLE VII
The initial Bylaws of the Corporation and amendments thereto
shall be adopted by its initial Board of Directors, but the power to
thereafter alter, amend or repeal the same or adopt new Bylaws is
reserved to the members of the Corporation, subject to the
restrictions contained in the initial Bylaws and amendments thereto
and the restrictions contained in the Declaration.
ARTICLE VIII
In the event of liquidation, assets of the Corporation, if any
remain, shall be distributed to the members in accordance with their
proportionate share of undivided interests in the common elements
existing in the condominium regime, as determined by the Declaration
and the Bylaws.
-2- BOOK- PAGE �?5
ARTICLE IX
All transfers, conveyances, leases, mortgages or assignments of
real estate or of any interest therein shall be executed by any two of
the following officers: President or Vice President and Secretary or
Treasurer. All transfers, conveyances, leases or encumbrances of
personal property or any interest therein shall be executed by any
officer of the Corporation or any agent authorized by the Board or
Directors. All judgments or other liens shall be satisfied,
discharged, released or assigned by any officer of the Corporation.
ARTICLE X
Neither the members, the Board of Directors, nor their private
property shall be liable for corporate debts, obligations or
undertakings.
ARTICLE XI
This Corporation shall indemnify any present or former director,
officer, employee, member or volunteer of this Corporation, and each
such person who is serving or who has served, at the request of this
Corporation, as a director, officer, partner, trustee, employee or
agent of another corporation, partnership, joint venture, trust, other
enterprise or employee benefit plan to the fullest extent possible
against expenses, including attorneys' fees, judgments, fines,
settlements and reasonable expenses, actually incurred by such person
relating to his conduct as a director, officer, employee, member or
volunteer of this Corporation or as director, officer, partner,
trustee, employee or agent of another corporation, partnership, joint
venture, trust, other enterprise or employee benefit plan, except that
the mandatory indemnification required by this sentence shall not
apply (i) to a breach of the duty of loyalty to the Corporation, (ii)
for acts or omissions not in good faith or which involve intentional
misconduct or knowing violation of the law, or (iii) for a transaction
from which such person derived an improper personal benefit.
ARTICLE XII
Any purported amendment to these Articles of Incorporation in
conflict with or contrary to the provisions of the Declaration of
Condominium, including supplements and amendments thereto, which
submit lands and units to the regime, shall be void and of no force
and effect.
ARTICLE XIII
The name and address of the incorporator is Ted Grob, 206 Sixth
Avenue, Des Moines, Iowa 50309.
tti
Dated at Des Moines, Iowa, this 3 a- day of June, 1988.
Ted Grob
-3- BOOK a;Vof PAGE._.__A..-
t
STATE OF IOWA )
ss.
COUNTY OF POLK)
On this 3Q day of June, 1988, before me, a Notary Public in and
for the State of Iowa, personally appeared Ted Grob, to me known to be
the person named in and who executed the foregoing Articles of
Incorporation and acknowledged that he executed the same as his
voluntary act and deed.
J.HUESNER y
Q rIOCejRES NOTARY PUBLIC AND FOR SAID
�,��. COUNTY AND STATE
_4_ BOOK PAGE
EXHIBIT E
BY-LAWS
OF
PARKWAY TOWNHOMES ASSOCIATION
These are the By-laws of Parkway Townhomes Association (hereinafter
referred to as "Association"), a corporation organized pursuant to
Chapter 504A of the Code of Iowa for the purpose of administering
Parkway Townhomes, a horizontal property regime (condominium) established
under Chapter 499B of the Code of Iowa (hereinafter sometimes referred
to as "Regime") located upon the following described real property in
the City of Ames, County of Story, Iowa:
Lot 1 in BLUE RIDGE PLAT NO. 2, an Official Plat,
Ames, Iowa
I.
MEMBERS AND VOTING RIGHTS
1. The owners shall constitute the member of the corporation and a
membership shall automatically cease upon termination of all interests
which constitute a person an owner. Developer shall be and have the
right of members with respect to unsold units.
2. An owner of record shall be recognized as a member without
further action for so long as he holds an ownership interest. If
ownership is acquired but not of record, or if acquired other than by
way of conveyance or other formal instrument of transfer (such as by
death, judicial ct or dissolution) , the person acquiring or succeeding
to ownership shall present to the Association evidence satisfactory to
it of facts evidencing lawful ownership status prior to exercise of any
rights as a member of the Association. (Failure to provide such
evidence shall not, however, relieve any owner of his membership
obligations). A fiduciary or other official acting in a representative
capacity shall exercise all membership rights and privileges of the
owner which he represents.
3. If more than one person is an owner of the same unit, all such
owners shall be members and remain jointly and severally liable for all
membership obligations. In such cases, or if more than one fiduciary or
other official is acting in the premises, the votes entitled to be cast
by the owner of that unit shall be cast by the person named for that
purpose on a certificate signed by all such owners or fiduciaries or
other officials and filed with the Association and such person shall be
deemed to hold ownership units appurtenant to such unit for purposes of
voting and determining the representation of such ownership unit at any
meeting or for purposes otherwise provided herein. If such certificate
is not executed and filed with the Association, such membership shall
not be in good standing and the votes appurtenant to that unit shall not
be considered in determining a quorum or any vote or for any other
purpose until this By-law is complied with. Such certificate shall
BQGK A��
'l g PAGE
2
continue in force until revoked in writing and filed with the
Association Secretary.
4. The owners of each unit shall be entitled to as many votes on
all matters to be determined by the members of the Association as
contemplated by Chapter 499B, Code of Iowa and as there are ownership
units appurtenant to that unit and determined by the Declaration,
including any supplements or amendments thereto, submitting the property
to the Regime. All votes appurtenant to a unit shall be cast as a block
and may not be divided.
II.
MEMBERS' MEETINGS
1. The annual and any special meeting shall be held at a time and
at a place within Story County, Iowa, chosen by the Board of Directors,
and all such meetings, annual or special, shall be held at such
particular time and place as is set forth in the Notice thereof.
2. A special meeting shall be held whenever called by the
President, or, in his absence or disability, the Vice President, or by a
majority of the Board of Directors, and must be called by such officers
upon receipt of a written request from members entitled to cast 33 1/3%
of the votes of the entire membership.
3. The Secretary or his designate shall give written notice to
each member of the annual meeting. The person or persons calling a
special meeting pursuant to paragraph 2 shall give like written notice
of such special meeting. All notices shall set forth the time and place
and purpose or purposes for which the meeting will be held. No action
shall be taken at a special meeting which is not directly related to the
purpose or purposes stated in the notice of meeting for which such
meeting is held.
4. Notice of a members' meeting shall be given by mailing or
delivering the same not less than ten (10) , nor more than thirty (30) ,
days prior to the date of the meeting. Notice shall be deemed duly
given if mailed by first class mail to the member at the address of his
unit within the Regime, unless at the time of giving such notice he has
given written direction, delivered to an officer or member of the Board
of Directors, specifying a different mailing address to be carried on
the rolls of the Association. If more than one person is an owner of the
same unit or if more than one fiduciary or other official is acting in
the premises, notice shall be deemed given when given in accordance with
this paragraph to the person named in the certificate filed with the
Association in accordance with paragraph 3 of Article I. Notice of any
meeting may be waived in writing by the person entitled thereto. Notice
given pursuant hereto shall be sufficient if given to all such owners of
record with the Association Secretary as of the date of mailing.
5. A quorum at a members' meeting shall consist of the presence of
members or other persons in person or by proxy, holding a majority of
the ownership units outstanding. The acts carried or approved by a vote
of a majority of the ownership units represented at a meeting at which a
BOOK PAGEa�----
3
quorum is present shall constitute the acts of the members unless a
different rule is provided herein or by the Articles of Incorporation,
the Declaration, or other agreement to which the Association is a party.
The President, or, in his absence or disability, the Vice President
shall preside at each members' meeting; if neither the President or the
Vice President is available to preside, a chairman shall be elected by
the members present at such meeting. If the required quorum is not
forthcoming at any meeting, another meeting may be called subject to the
notice requirements herein and the required quorum at any such
subsequent meeting shall be one-half (1/2) of the required quorum at the
preceding meeting, provided such subsequent meeting shall be held sixty
(60) days following such preceding meeting.
6. At any membership meeting, the presence of a person holding
ownership units and the exercise of the voting rights of an owner or
person entitled to cast votes, by proxy shall be permitted and
recognized provided such proxy must be in writing and signed by the
person holding ownership units or entitled to cast votes and shall set
forth the unit with respect to which such rights are appurtenant, the
number of ownership units appurtenant thereto and the period for which
the proxy is to be in force and effect. The decision of the Board of
Directors as to the sufficiency of any proxy for recognition shall be
final and not subject to appear to the members.
7. At all meetings the order of business shall consist of the
following:
A. Election of chairman, if required.
B. Calling roll and certifying of proxies.
C. Proof of notice of meeting or waiver of notice.
D. Reading and disposal of unapproved minutes.
E. Reports of officers, if applicable.
F. Reports of committees, if applicable.
G. Election of Directors, if applicable.
H. Unfinished business.
i. New business.
III.
BOARD OF DIRECTORS
1. The affairs of the Association shall be managed by a Board of
three (3) directors. The initial Board shall consist of one person as
the developer may appoint and need not be members of the Association.
The initial Board shall serve until the first annual members' meeting
following the sale of all units or the 15th day of October, 1996,
whichever first occurs. From and after such first annual meeting of the
members, the Board of Directors shall be selected from the members of
the Association. An officer or designated agent of a corporate member
qualifies to serve as a Director.
2. At the first annual members' meeting and each meeting
thereafter, three (3) Directors shall be elected and the term
of office of each Director shall extend until the next
annual meeting of the members and thereafter until his
BOOK.r V--PAGE�....s�--
t �
4
successor is duly elected and qualified or until he is removed in the
manner as elsewhere provided.
3. Each Director shall be elected by ballot (unless dispensed by
unanimous consent) and by a plurality of the votes cast at the annual
meeting of the members of the Association. Each person entitled to vote
shall be entitled to vote for as many nominees as there are vacancies to
be filled by election and each member shall be elected by separate
ballot (unless provided otherwise by unanimous consent of the members) .
4. Except as provided in Paragraph 5 of this Article, vacancies in
the Board of Directors may be filled until the date of the next annual
meeting by a vote of a majority of the Directors remaining in office
regardless of whether those remaining constitute a quorum.
5. The initial Directors shall be subject to removal only by the
developer. Thereafter a Director may be removed by concurrence of
two-thirds (2/3) of the members of the Association at a special meeting
called for that purpose. The vacancy in the Board of Directors so
created shall be filled by the persons entitled to vote at the same
meeting.
6. The initial- Directors, and officers selected by the initial
Directors, shall serve without compensation; thereafter, Directors shall
receive such compensation and expenses as is approved by the persons
entitled to vote at any annual or special meeting.
7. An organization meeting of a newly elected Board of Directors
shall be held within ten (10) days of their election at such place and
time as shall be fixed by the directors at the meeting at which they
were elected. No further notice of the organization meeting shall be
necessary.
8. A majority of the Board may, by resolution, set the time and
place for regular meetings of the Board and no notice thereof shall be
required until such resolution is modified or rescinded. Special meeting
of the Directors may be called by the President, Vice President, or any
two Directors provided not less than two days' notice shall be given,
personally or by mail, telephone, or telegraph, which notice shall state
the time, place and purpose of the meeting.
9. A quorum, at a Directors' meeting shall consist of a majority
of the entire Board of Directors. The acts approved by a majority of
those present at a meeting duly called at which a quorum is present
shall constitute the acts of the Board of Directors, except where
approval by a greater number of Directors is required by Declaration or
these By-Laws.
10. The presiding officer of a Directors' meeting shall be the
President or in his absence, the Vice President. In the absence of the
President and Vice President, the Directors present shall designate one
of their number to preside.
BOOK PAGE
h[ ri4
X
v
5
11. The Board of Directors, by resolution approved by all members
thereof, may designate from among its members such committees as it
deems advisable and by resolution provide the extent and manner to which
the same may have and exercise the authority of the Board.
IV.
POWERS AND DUTIES OF THE BOARD OF DIRECTORS
All of the powers and duties of the Association shall be exercised
by the Board of Directors including those existing under the common law
and statutes, the Articles of Incorporation, and the documents
establishing the Regime. Such powers and duties of the Directors shall
be exercised in accordance with the provisions of the Declaration of
Condominium which governs the use of the land, and shall include in
addition to those elsewhere provided for but shall not be limited to the
following:
1. To make and collect assessments against members for all common
expenses.
2. To use the proceeds of assessments in the exercise of its
powers and duties.
3. The maintenance, repair, replacement, and operation of the
Regime property,including all common areas, elements, and
facilities, and unit as applicable, and making or providing
for payment for all such work and approving or delegating to
the officers ',authority to approve vouchers therefor.
4. The reconstruction, repair, restoration, or rebuilding of the
Regime property and of any unit as applicable after casualty;
the construction of new improvements or alterations if
authorized; to make and amend regulations respecting the use
and occupancy of the property in the Regime and to permit or
forbid an action or conduct within the discretion committed to
them in the Declaration, By-Laws, and Resolutions of the
members.
5. To enforce by legal means the provisions of the Horizontal
Property Act, the Articles of Incorporation, the By-Laws of
the Association, the Declaration, and the regulations for the
use of the property in the Regime; and to take legal action in
the name of the Association and on behalf of its members.
6. To contract for management of the Regime and to delegate to
such contractor any or all powers and duties of the
Association except such as are specifically required by the
Declaration, By-Laws, or Resolution of the members to have
approval of the Board of Directors or the membership of the
Association.
7. To employ, designate, and remove personnel to perform the
services required for proper operation of the Regime.
�a0it'- _..PAGE.
` 6
8. To carry insurance upon the property subject to the Regime and
insurance for the protection of unit owners, occupants,and the
Association.
9. To pay the cost of all power, water, sewer, and other utility
or other services rendered to the Regime and not billed
directly to owners of the individual units.
10. To conduct all votes or determinations by members other than
at a membership meeting.
11. To borrow money from any bank, lending institution or agency
for the use and benefit f the Association, and to secure the
loan or loans by pledge of the assets of the Association, and
from time to time to renew such loan and give additional
security.
12. To do such other acts as are necessary and proper to effect
the purpose of the Regime as stated in the Declaration and
By-Laws provided such acts are not otherwise prohibited.
V.
OFFICERS
1. The officers of the Association shall be the President, who
shall be a Director, a Vice President, who shall be a Director, a
Treasurer and a Secretary, all of whom shall be elected annually by the
Board of Directors and may be pre-emptorily removed and replaced by vote
of the Directors at any meeting. The initial officers and their
successors until the first annual meeting shall be chosen by the initial
Board of Directors and shall serve until the first annual membership
meeting. The Board of Directors may from time to time create and fill
other offices and designate the powers and duties thereof. Each officer
shall ha
ve the powers and duties usuallyvested in such office, and such
authority as is committed to the office by the By-Laws or by specific
grant from the Board, but subject at all times to the provisions of the
By-Laws and to the control of the Board of Directors.
2. The President shall be the chief executiv
e officer of
the
Association. He shall preside at all membership meetings and meetings
of the Board of Directors and shall have power to appoint committees
from among the members to assist in the conduct of the affairs of the
Association and Regime.
3. The Vice President shall preside over membership meetings in
the absence or disability of the President, and shall otherwise exercise
the powers and duties of the President in the event of the absence or
disability of the President, and shall generally assist the President
and exercise such other powers and duties as are prescribed by the
Directors.
4. The Secretary shall keep the minutes of all proceedings of
membership and meetings and Directors' meetings and shall have custody
and control of the minute book of the Association, and shall keep or be
BOOK A2Y____PAGE_62fL--
7
in charge and control of the records of the Association except those of
the Treasurer.
5. The Treasurer shall have control of the funds and other
property of the Association and shall keep the financial books and
records thereof.
6. The compensation of all officers and employees shall be fixed by
the Directors. This provision shall not preclude the Board of Directors
from employing a Director as an employee, nor the contracting with a
Director for the management of the Regime.
7. Any instrument affecting an interest in real estate shall be
executed pursuant to the terms of Article I% of the Articles of
Incorporation.
VI.
FISCAL MANAGEMENT
1. The Board of Directors shall adopt a budget for each fiscal
year (which shall be the same as the Association's fiscal year for
income tax purposes) which shall include the estimated funds required to
defray the common expenses and to provide and maintain funds for the
following accounting categories according to good accounting practices:
a) Current expenses which shall include all funds and
expenditures to be made within the year for which the funds
are budgeted, .including a reasonable allowance for the
contingencies and working funds, except expenditures
chargeable to reserves or to additional improvements. The
balance of this fund at the end of each year shall be applied
to reduce the assessments for current expenses for the
succeeding year.
b) Reserve for deferred maintenance, which shall include funds-
for maintenance items which occur less frequently than
annually.
c) Reserve for replacement which shall include funds for repair
or replacement required because of damage, destruction,
depreciation or obsolescence.
2. The Board of Directors shall assess against each unit, and the
owners thereof only shall be liable for, a share of the items in the
budget adopted pursuant to Paragraph 1 which bears the same ratio to the
total budget as the ownership units appurtenant to such unit bear to the
total ownership units of all units subject to the Regime. Such share
shall be assessed for the fiscal year for which the budget was prepared
annually in advance and notice of such assessments shall be mailed or
delivered not less than thirty (30) days prior to the first day of such
fiscal year. Such assessment shall be due and payable from the
respective unit owner or owners in 12 equal installments, each
installment being due and payable the first day of each calendar month,
which day falls within such fiscal year. In the event notice of such
POCK_aVM PAGE aY46-
I
•
8
assessment is not timely given the amount of such assessment shall not
change, but the due date for each installment which would otherwise be
due and payable less than 30 days from the giving of such notice shall
be due and payable on the due date of the first installment which is due
not less than 30 days from the date such notice is mailed or delivered.
In the event the annual assessment proves to be insufficient, the budget
and assessments therefor, maybe amended at any time by the Board of
Directors if the total amount of the budget as amended does not exceed
105% of the total amount of the budget as originally adopted for the
said fiscal year. In the event the budget as amended exceeds the
limitation of the previous sentence, such budget may be adopted at a
special members' meeting upon an affirmative vote of a majority of the
ownership units represented at such meeting. The additional amount so
budgeted shall be assessed to each unit in the same manner as
assessments for the annual budget and shall be prorated along the
remaining installments due and payable in such year.
3. Assessments for common expenses for emergencies and
extraordinary expenditures, which cannot be paid from the annual
assessments for common expenses or the maintenance reserve fund shall be
made only after notice of the need thereof to the unit owners concerned.
After such notice and upon approval in writing by persons entitled to
cast more than one half of the votes appurtenant to the units concerned,
the assessment shall become effective, nd it shall be due in such manner
as the Board of Directors may require after thirty (30) days' notice
thereof. In the event any expenditure for repair or replacement of any
unit or common elements cannot be paid from annual assessments but can
be at least 90% paid from insurance proceeds therefor, such expenditures
may be made upon approval of the Board of Directors without approval of
the members and an amended budget and assessment may be made therefor if
necessary.
4. If an owner shall be in default in the payment of an
installment upon an assessment, the Board of Directors may accelerate
the remaining installment of the assessment upon notice thereof to such
owner, and thereupon the unpaid balance of the assessment shall come due
upon the date stated in the notice, but not less than ten (10) days
after delivery thereof to such owner either personally or by registered
or certified mail. Interest shall be computed and due on balance due
under this paragraph but upon on such due date at the maximum rate of
interest allowable by law from the date such balance becomes due and
payable in accordance with the preceding sentence; such interest shall
be in addition to any other payments for which said owner is liable.
5. The holder of a mortgage on any unit, upon its filing written
request with the Association, shall be given written notice from the
Association of any default by the mortgagor in the performance of the
mortgagor's obligations under these By-Laws, the Declaration of
Condominium or other condominium documents which is not cured within
thirty (30) days.
6. All sums assessed but unpaid including, but not limited to,
interest with respect to a unit or against a unit owner shall constitute
a lien on such unit prior to all other liens except (1) tax liens on the
. 9
unit in favor of any assessing unit and special district, and (2) all
sums unpaid on the first mortgage of record. Such lien may be foreclosed
by the Association in the manner and with the consequences provided in
Section 499B.17 Code of Iowa in which event the unit owner shall be
required to pay a reasonable rental for the unit. The Association may
sue for money judgment for unpaid assessment and interest or sums due
without foreclosing or waiving anylien which it holds.
7. If a mortgagee or purchaser of a unit obtains possession as a
result of foreclosure of a first mortgage, or deed in lieu of
foreclosure, such mortgagee or purchaser, his successors and assigns,
shall not be liable for the assessments chargeable to such unit due
prior to the acquisition of possession and such unpaid assessments shall
thereafter be deemed to be common expenses collectible from all unit
owners including the mortgagee or purchaser, his successors and assigns,
all without prejudice to the right of the Association to collect the
same from the defaulting unit owner personally. The owner of a unit
pursuant to a voluntary conveyance or by inheritance or devise shall be
jointly and severally liable with the grantor or prior owner for all
unpaid assessment against the grantor or prior owner but without the
prejudice to the right of such grantee or devisee to recover from
grantor the amounts paid therefor. The grantee or other successor
interest of an individual subject to a levy of assessment on account of
default shall be liable for any such special assessment.
8. The depository of the Association shall be such bank or banks
as shall be designated from time to time by the Directors and in which
the moneys of the Association shall be deposited. Withdrawal of moneys
from such accounts shall be only by checks signed by such persons as are
authorized by the Directors.
9. An accounting of the Association's books shall be made annually
and a copy of the report shall be made available for inspection by each
member not later than sixty (60) days after the close of the fiscal year
for which the report is made.
VII.
REFERENDUM
Any vote or determination required or permitted to be made by the
members of the Association and not required by law or any of the
condominium documents to be made at a meeting of the members may be
taken or made pursuant to a referendum ballot. Such ballot may be
initiated by one-third of the Board of Directors, or upon the written
petition of members owning collectively 33 1/3% of the total membership
and voting units. If such referendum is initiated, the Secretary shall
forthwith prepare and mail to each member a ballot returnable in not
less than ten nor more than thirty days from the date of mailing. If
prior or subsequent to such petition, but not subsequent to such tally,
a special membership meeting has been called to consider the same
subject matter, the special meeting shall prevail and the referendum
vote shall not be tallied.
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VIII.
AMENDMENT
1. These By-Laws may be amended, altered, repealed or new By-Laws
adopted by the members at a regular or special meeting of or upon a
referendum ballot by the members upon the affirmative vote of 66 2/3% of
the ownership units outstanding.
2. No amendment may be adopted at either a special or regular
membership meeting or by referendum not included in the notice thereof,
except if notice of the proposed amendment has been given, a different
amendment relative to the same subject matter may be adopted by those
present, in person or by proxy and possessing the requisite percentage
of membership and voting units, provided further no vote by proxy may be
counted unless the proxy expressly provides for such contingency. Notice
referred to herein shall be given in the manner prescribed in Article II
Section 3 of these By-Laws and shall be given to the persons described
in Article II Section 4 and the holder of any first mortgage of record
which has notified the Association of his interest. More than one
proposed amendment may be included in the notice of a meeting.
3. To the extent provided by Section 499B.14, Code of Iowa, no
modification or amendment of these By-Laws shall be effective unless set
forth in an amendment to the Declaration of Condominium, executed and
recorded in the manner set forth in the Declaration, and an amendment to
these By-Laws shall constitute an amendment to the Declaration as
provided for by law. Upon such recording such amendment shall be
effective against all persons having an interest in a unit or the Regime
regardless of whether such person had such interest at the time the
amendment was adopted.
4. Unless required by the specific provisions of the Regime
documents or by law, a supplemental Declaration of Condominium
submitting further lands and units to the Regime, or an amendment to the
Declaration of Condominium not overlapping or affecting the subject -
matter of these By-Laws shall not be considered an amendment of these
By-Laws.
IX.
MERGER OR CONSOLIDATION
The Association shall have the power to merge with or consolidate
with another condominium owners' association or council of co-owners so
as to provide for management of the regime in connection with another
condominium regime. Merger and consolidation shall be in accordance
with the procedures set forth in Chapter 504A, Code of Iowa.
X.
GENERAL PROVISIONS
1. The invalidity of any portion or provision of these By-Laws
shall not affect the validity of the remaining provisions or portions
hereof.
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2. The association shall not have a corporate seal.
3. The Board of Directors may require fidelity bonds from all
directors, officers, or agents handling or responsible for Association
funds and the expense of such bonds shall be a common expense of the
Association.
4. The Association shall at all times maintain complete and
maintain accurate written records of each unit and owner and the address
of each, and setting forth the status of all assessments, accounts and
funds pertinent to that unit and owner. Any person may rely on a
certificate made from such records by an officer or agent of the
Association as to the status of all assessments and accounts.
5. Each member shall have the obligations as such member as are
imposed upon him by the Regime documents as an owner, and no member
shall have any power or authority to incur a mechanic's lien or other
lien effective against the Regime property, except as the same may
attach only against his appurtenant interest therein and be removable as
such.
6. The Board of Directors may in its discretion issue written
evidence of membership but the same shall be evidence thereof only and
shall in no manner be transferrable or negotiable, and the share of the
member in the assets of the Association cannot be assigned,
hypothecated, or transferred in any manner except as an appurtenance to
such assignment, hypothecation, or transfer of the unit.
7. No provision or restriction otherwise void by reason of
application of the rules against perpetuities or Section 558.68 of the
Code of Iowa shall continue for a period longer than the life of the
last to survive of the owners and shareholder of the developer and their
children in being at the time of the initial recording of the
Declaration of Condominium to the Regime and twenty-one (21) years
thereafter.
8. Each owner or the lessee of his unit as applicable shall have a
right to use and enjoy the common elements provided such use shall be
limited to the use permitted by the Declaration of Condominium and other
governing documents of the Regime.
XI.
DEFINITIONS
Unless the context otherwise requires, the teL used herein shall
have the meanings stated in the Horizontal Property Act, and as follows:
1. Person -- the term "person" shall include an individual, a
corporation, or other legal entity or its representative.
2. Owner -- the term "owner" for purposes of these By-Laws shall
mean any person who owns or holds for himself an interest in
one or more units subject to the Regime provided that the
holder of a leasehold interest in a unit shall not be an owner
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f 12
and further provided that the holder of an equitable title
shall be an owner.
3. Unit -- the term "unit" shall mean and refer to each of the
condominium units located in the buildings situated upon the
property designed, numbered and intended for use as a
residence separately or in conjunction with other units and
not owned in common with other owners in the Regime.
4. Ownership units -- the term "ownership units" means the number
of ownership units assigned to each condominium unit by the
Declaration of Condominium for purposes of voting, assessment,
and determination of each unit's appurtenant share of the
common elements (provided, however, that such ownership units
maybe used for other purposes) .
5. Common expenses -- common expenses include:
a) expenses of administration, expenses of maintenance,
operation, repair or replacement of common elements, and
the portions of units to be maintained by the
Association.
b) expenses declared common expenses by the Declaration or
these By-Laws.
c) any valid charge against the Regime as a whole.
6. Singular, plural gender -- whenever the context so permits or
requires the use of the singular shall include the plural, the
plural the singular,and the use of any general shall include
all genders.
7. Developer -- the term "developer" means Midland Financial
Savings and Loan Association, an Iowa corporation.
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