Lori Burgess - (435) 673-1113 - Saint George Utah - … · 2018. 4. 1. · DOC # 20170002630 Restrictive Page1of 39 RussellShirtsWashingtonCountyRecorder 01/201201711:59:56AMFee$96.00

DOC # 20170002630Restrictive Page 1 of 39RussellShirtsWashingtonCountyRecorder01/201201711:59:56AM Fee$ 96.00By SOUTHERNUTAHTITLECO

HIIIELROMMWWWR HI III

NEIGHBORHOOD DECLARATION FOR

THE LEDGES OF ST. GEORGE

SAND COVE

A residential subdivision located in

LEDGES EAST

a master planned community

TABLE OF CONTENTS

ARTICLE 1DEFINITIONS AND CONCEFIS.......................................................................................................1

ARTICLE 2 PROPERTY RIGHTS.............................................................................................................................4

2.1. Owner's Acknowledgment; NoticetoPurchasers..............................................................................4

2.2. Units..........................................................................................................................................................4

2.3. Common Area..........................................................................................................................................5

2.4. LimitedCommon Area...........................................................................................................................6

2.5. DelegationofUse ....................................................................................................................................7

2.6. Declarant'sReasonableRightstoDevelop ...................................................................................------7

ARTICLE 3 NEIGHBORHOOD ASSOCIATION, MEMBERSHIP AND VOTING RIGHTS...........................7

3.1. Membership .............................................................................................................................................7

3.2, VotingRights...........................................................................................................................................7

3.3. Declarant'sVotingRightsinExpansionArea.....................................................................................8

3.4. VotingRightsintheMasterAssociation..............................................................................................8

3.5. Change ofCorporateStatus...................................................................................................................8

3.6. ValidityofVotesand Consents.............................................................................................................8

3.7. Indemnification........................................................................................................................................8

3.8. Rulemaking Authority............................................................................................................................9

3.9. Notice;PromulgationofRules...............................................................................................................9

3.10. Managem entA greeme nt;PropertyManager ......................................................................................9

ARTICLE 4 FINANCES AND ASSESSMENTS......................................................................................................9

4.1. Assessments;Authority..........................................................................................................................9

4.2. CreationofLienand PersonalObligationofAssessments..............................................................10

4.3. PurposeofAssessments.......................................................................................................................10

4.4. InitialAnnual Assessments..................................................................................................................10

4.5. Annual Assessments;Budgeting.........................................................................................................10

4.6. SpecialAssessments..............................................................................................................................11

4.7. SpecificAssessments.............................................................................................................................12

4.8. Emergency Assessments......................................................................................................................12

4.9. Uniform RateofAssessment................................................................................................................12

4.10. Declarant'sOption toFund Budget Deficits......................................................................................12

4.11. Payment;Due Dates..............................................................................................................................13

4.12. EffectofNon-Payment ofAssessment;Remedies oftheNeighborhood Association.................13

4.13. Exempt Property....................................................................................................................................15

4.14. SubordinationofLientoMortgages...................................................................................................15

4.15. TerminationofLien...............................................................................................................................15

4.16. Assessmentsand OtherChargesLeviedby theMasterAssociation.............................................15

4.17. Books,Records,and Audit...................................................................................................................15

ARTICLE 5 INSURANCE .......................................................................................................................................16

5.1. CasualtyInsuranceon InsurableCommon Area..............................................................................16

5.2. ReplacementorRepairofProperty.....................................................................................................17

5.3. LiabilityInsurance.................................................................................................................................17

5.4. FidelityInsurance..................................................................................................................................17

5.5. Annual Review ofPolicies...................................................................................................................17

ARTICLE 6 ARCHITECTURAL CONTROLS AND STANDARDS..................................................................18

6.1. ArchitecturalCommittee......................................................................................................................18

6.2. ArchitecturalCommittee Approval....................................................................................................18

6.3. Rules,Regulations,Guidelinesand Procedures...............................................................................18

ARTICLE 7 PARTY WALLS ...................................................................................................................................18

7.1. GeneralRulesofLaw toApply ...........................................................................................................18

7.2. SharingofRepairand Maintenance....................................................................................................18

7.3. Destructionby FireorOtherCasualty...............................................................................................18

7.4. ExposuretoElements...........................................................................................................................18

7.5. RighttoContributionRuns withLand...............................................................................................19

7.6. Arbitration..............................................................................................................................................19

ARTICLE 8 MAINTENANCE ................................................................................................................................19

8.1. Neighborhood Association'sResponsibility.....................................................................................19

8.2. Owner's Responsibility.........................................................................................................................19

8.3. AccessatReasonableHours.................................................................................................................19

8.4. OtherServicesProvidedby Neighborhood Association.................................................................19

8.5. AlterationofCertainMaintenanceDutiesby Rule...........................................................................20

ARTICLE 9 CONDEMNATION; PARTITION ....................................................................................................20

9.1. Condemnation.......................................................................................................................................20

9.2. No Partition............................................................................................................................................20

ARTICLE 10USE AND CONDUCT RESTRICTIONS AND REQUIREMENTS.............................................20

10.1. GeneralUse Restrictions.......................................................................................................................20

10.2. Use ofUnitsasShort-termRentals.....................................................................................................21

10.3. TimesharesProhibited..........................................................................................................................21

10.4. Parking....................................................................................................................................................21

10.5. Commercial Activity.............................................................................................................................22

10.6. Smoking ..................................................................................................................................................22

10.7. Petsand Animals...................................................................................................................................22

ARTICLE 11 LEASES AND LEASING..................................................................................................................23

11.1. Purposeand IntentofLeaseRestrictions...........................................................................................23

11.2. NotificationofNeighborhood Board..................................................................................................23

11.3. LeasingRestrictions..............................................................................................................................23

11.4. EnforcementAgainstOwner ...............................................................................................................23

11.5. CumulativeNatureofRemedies.........................................................................................................23

11.6. AdministrativeFee................................................................................................................................24

ARTICLE 12SAFETY AND SECURITY................................................................................................................24

ARTICLE 13EASEMENTS......................................................................................................................................24

13.1. Police,Fireand Ambulance Service....................................................................................................24

13.2. Maintenanceby Neighborhood Association.....................................................................................24

13.3. Owners' EasementsofEnjoyment ......................................................................................................24

13.4. Easement forDeclarant.........................................................................................................................25

13.5. ReservationofEasementsby Declarant.............................................................................................25

13.6. EasementsofRecord.............................................................................................................................25

13.7. Limitationson Easements....................................................................................................................25

ARTICLE 14SPECIAL DEVELOPMENT RIGHTS..............................................................................................25

14.1. Intentand PurposeofSpecialDevelopment Rights.........................................................................25

14.2. ExpansionoftheProperty....................................................................................................................25

14.3. Withdrawal ofProperty........................................................................................................................26

14.4. No ObligationtoExpand orDevelop.................................................................................................26

14.5. Mun icipalZoning and SubdivisionAp provaIs.................................................................................26

14.6. DedicationofCommon Area...............................................................................................................26

14.7. DeclarantBusiness,Marketing,and Sales..........................................................................................26

14.8. AdditionalDevelopment Rights.........................................................................................................27

14.9. Assignment ofDeclarant'sRights.......................................................................................................27

ARTICLE 15 AMENDMENT..................................................................................................................................27

15.1. By ClassA Members.............................................................................................................................27

15.2. By Declarant...........................................................................................................................................27

15.3. By theNeighborhood Board................................................................................................................27

15.4. MasterAssociationApproval..............................................................................................................28

15.5. Validity...................................................................................................................................................28

15.6. EffectiveDate.........................................................................................................................................28

ARTICLE 16ENFORCEMENT...............................................................................................................................28

16.1. ViolationsDeemed a Nuisance............................................................................................................28

16.2. LegalActionAuthorized......................................................................................................................28

16.3. Finesand Penalties................................................................................................................................28

16.4. AttorneyFeesand Costs.......................................................................................................................29

16.5. NonexclusiveRemedies........................................................................................................................29

16.6. Non-Liability..........................................................................................................................................29

16.7. Arbitration;Mediation..........................................................................................................................29

ARTICLE 17GENERAL PROVISIONS.................................................................................................................29

17.1. ImpliedRights;Neighborhood Board Authority..............................................................................29

17.2. DisclaimerofLiability...........................................................................................................................29

17.3. Datesand Times ....................................................................................................................................30

17.4. InterpretiveCon flicts............................................................................................................................30

17.5. EffectofMasterDeclaration.................................................................................................................30

17.6. Severability.............................................................................................................................................30

17.7. Duration..................................................................................................................................................30

17.8. Notices....................................................................................................................................................30

17.9. Gender and Grammar...........................................................................................................................30

17.10. Waivers...................................................................................................................................................31

17.11. TopicalHeadings...................................................................................................................................31

NEIGHBORHOOD DECLARATION FOR

SAND COVE AT LEDGES EAST

THIS ISA NEIGHBORHOOD DECLARATION ofCovenants,Conditions,and Restrictionswhich

establishesa planneddevelopmentknown asSand Cove atLedgesEast.

RECITALS

A. Sand Cove at Ledges Eastislocatedon certainrealpropertyin Washington County,

Utah,which ismore particularlydescribedon Exhibit"A,"attachedhereto(the"Property").

B. The PropertyislocatedwithinLedges East,a masterplannedcommunity inWashington

County,Utah,asidentifiedon thevicinitymap containedon thePlatand suchotherdocuments ofrecord

relatingtoLedges East.

C. The MasterDeclarationforLedges Eastcontemplatesthedivisionofrealpropertythatis

subjectto the Master Declarationintodifferenttractsor neighborhoods,which may have itsown

declarationestablishingcovenants,conditions,and restrictionsspecifictotheparticularneighborhood.

D. Declarantdesiresand intendstoprotectthevalueand desirabilityof thePropertyas a

harmonious and attractiveresidentialcommunity. Therefore,the Propertywillbe subjectto the

followingcovenants,conditions,restrictions,and easements,which,alongwith theMasterAssociation's

Articlesand Bylaws,providefora governancestructureand a system of standardsand proceduresfor

development,maintenance,and preservationofthePropertyasa residentialcommunity.

E. Thisprojectisnota cooperative.

DECLARATION

Declaranthereby declaresthatallofthe Propertydescribedin Exhibit"A" shallbe held,sold,

conveyed and occupied subjectto the following covenants,conditions,restrictions,easements,

assessments,chargesand liens,and to the Platrecordedconcurrentlyherewith. This NeighborhoodDeclarationand the Platshallbe construedas covenantsof equitableservitude;shallrun with the

Propertyand be binding on allpartieshaving any right,title,or interestin the Propertyor any part

thereof,theirheirs,successorsand assigns;and shallinuretothebenefitofeachOwner thereof.

ARTICLE 1

DEFINITIONS AND CONCEPTS

The followingdefinitionsand conceptsshallcontrolin thisNeighborhood Declaration.Anyterms used in thisNeighborhood Declarationthatarenot definedshallhave theirplainand ordinary

meaning. In the eventthe same term isdefinedinthisNeighborhood Declarationand in theMaster

Declaration,theterm shallhave themeaning setforthinthedeclarationbeingreferredto.

1.1 "AdditionalProperty"means and refersto any realpropertywhich isadjacentor

contiguousto,or otherwisewithinthevicinityoftheProperty,whether ornot so describedhereinor on

NEIGHBORHOOD DECLARATION FOR SAND CovE AT LEDGES EAST 1

thePlat.When AdditionalPropertyisannexed tothisNeighborhood Declaration,itshallbecome partof

theProperty.

1.2 "ArchitecturalCommittee" means thecommitteeestablishedpursuanttoArticle7 ofthe

MasterDeclaration.

1.3 "Articles"means and referstotheArticlesofIncorporationofSand Cove atLedges East

Owners Associationand any amendments thereto.The purpose of the Articlesisto establishthe

Neighborhood Associationasa non-profitcorporationunder Utah law.

1.4 "Bylaws" means and refersto the Bylaws of Sand Cove at Ledges East Owners

Association.The purpose of theBylaws isto govern the Neighborhood Association'sinternalaffairs,suchas(forpurposesofexample butnotlimitation)voting,elections,and meetings.

1.5 "Common Area" means and refersto allrealproperty,includingthe improvementstheretoand facilitiesthereon,which the Neighborhood Associationowns, leases,or otherwiseholds

possessoryor use rightsin,at any given time,forthe common use and enjoyment of the Owners.

Common Area may be designatedon the Plat or otherwiseestablishedas provided for in this

Neighborhood Declaration.Common Area asdefinedinthisNeighborhood Declarationisnotpartof,or

includedwithin,theCommon Area definedintheMasterDeclaration.

1.6 "Common Expenses" means theactualand estimatedexpensesincurred,or anticipatedtobe incurred,by the Neighborhood Associationforthegeneralbenefitof the Owners, includinganyreasonablereserve,as the Neighborhood Board may findnecessaryand appropriatepursuantto the

Governing Documents. Common Expenses shallnot includeany expensesincurredby the Declarant

duringtheDeclarantControlPeriodforinitialdevelopment or otheroriginalconstructioncostsunlessa

majorityoftheClassA Members approve.

1.7 "Community AssociationAct" or "Act" means the Utah Community AssociationAct,

Title57,ChapterSaoftheUtah Code, and any amendments thereto.

1.8 "Declarant"means The Ledges atSnow Canyon LLC, and itssuccessorsand assignswho

areassignedDeclarant'srights,inwhole orinpart,toactasDeclarantforthisNeighborhood. Theremaybe a divisionof Declarant'srightsdepending on which rightshave been assignedas provided inanyrecordedassignmentofDeclarant'srights.The DeclarantestablishedintheMasterDeclarationmust giveitswrittenapprovalbeforeany assignmentofDeclarant'srights,inwhole orinpart,iseffective.

1.9 "DeclarantControlPeriod"means the periodof time during which theDeclaranthas

ClassB membership statusasprovidedforinSection3.2(b),below.

1.10 "Directors","Neighborhood Board ofDirectors",or"Neighborhood Board" means the

governingbody of the Neighborhood Association.When any actioniscontemplatedor takenby the

Neighborhood Association,itshallbe done throughtheNeighborhood Board ofDirectors.

1.11 "EntireMembership" means allMembers, regardlessofclassofmembership. When a

voteof the EntireMembership isreferenceditmeans allpotentialvotesforboth ClassA and ClassB

NEIGHBORHooD DECIARATION FOR SAND COVE AT LEDGES EAST 2

members; providedhowever,thattheterm EntireMembership shallexcludetheClassB member when it

relatestoorcallsforan assessmentorchargetotheEntireMembership.

1.12 "Governing Documents" means, collectively,this Neighborhood Declaration,the

Articles,theBylaws,thePlat,and any amendments orsupplementstothosedocuments,and includesanyrules,regulations,and resolutionsestablishedpursuant to the authorityof the NeighborhoodDeclaration,Articles,orBylaws.

1.13 "LimitedCommon Area" means and referstoa portionoftheCommon Area which has

been designatedfortheprimary or exclusiveuse ofa particularOwner or Owners. Generally,Limited

Common Area,as a portionofCommon Area,isowned by theNeighborhood Associationbut reserved

fortheuse and enjoymentoftheOwner orOwners towhose UnittheLimitedCommon Area isadjacentor appurtenant. Limited Common Area may be designatedon the Plator otherwiseestablishedas

providedforinthisNeighborhood Declaration.

1.14 "MasterAssociation"means and referstotheLedges EastMasterOwners Association,a

Utah non-profitcorporation,itssuccessorsand assigns.

1.15 "Master Declaration"means and refersto the Master Declarationof Covenants,

Conditions,and RestrictionsofLedges East,recordedintheOfficeoftheWashington County Recorder

on February3,2015,as DOC # 20150003650.The Master Declarationwas establishedby itsdeclarant,

Ledges Planningand Management, LLC, a Utah limitedliabilitycompany, and any successorsorassignsasreferencedorprovidedforintheMasterDeclaration.

1.16 "Member" means and issynonymous withtheterms"Owner" and "UnitOwner" and is

used hereinand intheBylaws and Articlesas a means to identifytheUnit Owners asMembers ofthe

Neighborhood Association.

1.17 "Mortgage" means a mortgage,a deed oftrust,a deed tosecurea debt,orany otherform

ofsecurityinstrumentaffectingtitletoany Unit.

1.18 "Mortgagee" means and referstoa lenderholdinga firstMortgage ordeed oftrust.

1.19 "Neighborhood Association"means Sand Cove atLedges EastOwners Association,a

Utah non-profitcorporation,itssuccessorsand assigns. The Neighborhood Associationis a Sub-

AssociationoftheMasterAssociationassetforthinand establishedby theMasterDeclaration.

1.20 "Neighborhood Declaration" means this instrument and any amendments,

restatements,supplements,or annexationsthereto,which arerecordedintheofficeof theWashington

County Recorder.The Neighborhood DeclarationissubordinatetotheMasterDeclaration.

1.21 "Owner" means theentity,person,or group ofpersonsowning feesimpletitleto anyUnitwhich iswithintheProperty.Regardlessofthenumber ofpartiesparticipatinginownershipofeach

Unit,thegroup of thosepartiesshallbe treatedas one "Owner." The term "Owner" includescontract

purchasersbut does not includepersonswho hold an interestmerelyas securityfortheperformanceof

an obligationunlessand untiltitleisacquiredby foreclosureor similarproceedings.Membership is

appurtenanttoand may notbe separatedfrom Unitownership.

NEIGHBORHooD DECLARATION FOR SAND CovE AT LEDGEs EAST 3

1.22 "Plat"means thesubdivisionPlatrecordedconcurrentlyherewithforSand Cove which

was preparedand certifiedby a Utah RegisteredLand Surveyorand any amendments or replacementsthereof,oradditionsthereto.

1.23 "Property" means that certainreal property hereinbeforedescribed,and such

annexationsand additionstheretoas may hereafterbe subjectedtothisNeighborhood Declaration,and,

where thecontextrequires,includesany improvements thereon.

1.24 "Short-termRental" means a Unit used by any person or entityforresortor other

transientlodging uses where the term of occupancy,possession,or tenancy of the Unit is for 29

consecutivecalendardaysorless,fordirectorindirectremuneration.

1.25 "Unit" means a residentialdwelling,with or withoutwallsor roofsin common with

othersinglefamilydwellings,and any appurtenantgarage.When theterm "Unit"isused itincludesfee

titletotherealpropertylyingdirectlybeneaththesinglefamilydwelling,withinlotboundary linesthis

may not,however, be allthelotin some instances.Ownership and Unit boundariesaredepictedand

describedon thePlat.Where thecontextrequires,suchasprovisionson lienrightsand enforcement,the

termUnitshallincludeany lotdepictedon a Plataspartofa Unit.

1.26 "UnitOwner" means and issynonymous withtheterm "Owner."

1.27 "Voting Representative"means thepersonelectedby theMembers tocastthevotesof

allMembers on MasterAssociationmattersthatrequirevotingthroughtheVotingRepresentative.

ARTICLE 2

PROPERTY RIGHTS

2.1. Owner's Acknowledgment; NoticetoPurchasers.AllOwners aregivennoticethatthe

use of theirUnits and the Common Area and Limited Common Area islimitedby the covenants,

conditions,restrictions,easements,and otherprovisionsinthe Governing Documents, as theymay be

amended, expanded,or modifiedfrom timetotime,aswellastheMasterDeclaration.Each Owner, by

acceptanceofa deed,acknowledges and agreesthattheuse and enjoyment and marketabilityofhisor

herUnitcanbe affectedby saidcovenants,conditions,restrictions,easements,and otherprovisionsinthe

Governing Documents, aswellastheMasterDeclaration.AllpurchasersofUnitsareon noticethatthe

Neighborhood Associationmay have adopted changes to theGoverning Documents thatmight differ

from thosethatany purchasermight receivefrom,orthatmight have been disclosedby,theOwner from

whom the purchaserispurchasinghisor her Unit. Copies of currentGoverning Documents may be

obtainedfrom the Neighborhood Association.Copies of the currentGoverning Documents forthe

MasterAssociationmay be obtainedfrom theMasterAssociation.Any issueor questionconcerningthe

MasterDeclarationand any rule,regulation,orothermatterconcerningtheGoverning Documents ofthe

MasterAssociationshouldbe referredtotheMasterAssociation.

2.2. Units.

(a) Ownershio. Each Unit isowned in fee simple by the Owner, subjectto the

covenants,conditions,restrictions,and easementsin thisNeighborhood Declarationand other

provisionsoftheGoverningDocuments.


(b) AdditionalPortionsof theUnit. Covered decks and patiosas depictedon the

Platshallbe consideredpartoftheUnitbut shallbe subjecttoregulationby theNeighborhoodAssociationinthesame manner asLimitedCommon Area.

(c) ActivitieswithinUnits. No ruleshallinterferewith the activitiescarriedon

withintheconfinesofUnits,exceptthattheNeighborhood Associationmay prohibitactivities

notnormallyassociatedwithpropertyrestrictedtoresidentialuse,and itmay restrictorprohibit

any activitiesthatcreatemonetary costsfortheNeighborhood AssociationorotherOwners, that

createa dangertothehealthorsafetyofoccupantsofotherUnits,thatgenerateexcessivenoiseor

traffic,that createunsightlyconditionsvisibleoutside the dwelling,or that createan

unreasonablesourceofannoyance,allasmay be determinedby theNeighborhood Board or anycommittee designatedby the Neighborhood Board or thisNeighborhood Declarationto make

suchdeterminations,intheirsolediscretion.

(d) Household Composition.No ruleshallinterferewiththefreedom ofOwners to

determinethecompositionof theirhouseholds,exceptthattheNeighborhood Associationshall

have thepower torequirethatalloccupantsbe members of a singlehousekeepingunitand to

limitthetotalnumber ofoccupantspermittedineachUniton thebasisofthesizeand facilitiesof

theUnitand itsfairuseoftheCommon Area.

(e) ExteriorsofUnits.The exteriorsofUnits,includingexteriorwallsand roofs,are

hereby designatedas Limited Common Area for purposes of architecturalcontroland are

thereforesubjecttotherules,regulations,and approvalsoftheArchitecturalCommittee and the

MasterAssociation.

2.3. Common Area.

(a) Ownership; Conveyance. Upon recordingof the Plat the Common Area,

includingLimitedCommon Area which isa portionoftheCommon Area,isdeemed conveyed

by DeclaranttotheNeighborhood Association,freeand clearofallfinancialencumbrances and

liens,but subjecttothisNeighborhood Declaration,and easementsand rights-of-wayofrecord.

The Neighborhood AssociationherebyacceptstheconveyanceoftheCommon Area. Common

Area may alsobe conveyed by separatedeed,by a supplementaldeclaration,orasdepictedon an

amended plat.

(b) RightsofUse and Rulesand ResulationsConcerningtheCommon Area. EveryOwner has a rightand easement of use and enjoyment in and to theCommon Area which is

appurtenanttoand shallpasswith thetitletoeveryUnit,subjecttotheGoverning Documents.

The Neighborhood Board shallhave the rightto establishand enforcerulesand regulations

governingtheuse oftheCommon Area,includingbut notlimitedtorightsofuse,hours ofuse,

delegationofuse,and standardsofconduct.Additionalrightstoestablishrulesand regulations

governing the Common Area may be setforthand establishedelsewherein the GoverningDocuments.

(c) Neighborhood Board Authority and Rights in the Common Area. The

Neighborhood Board shallhave theright,forand on behalfoftheNeighborhood Association,to:


(i) enterintoagreementsor leaseswhich provideforuse of the Common

Area by a similarassociationinconsiderationforuse ofthecommon areasand facilities

of the otherassociationor forcash consideration,or foruse by thirdpartiesforcash

consideration;

(ii) with the approval of at least75% of Owners to sell,exchange,

hypothecate,alienate,mortgage,encumber,dedicate,releaseor transferallor partofthe

Common Area to any privateindividual,corporateentity,publicagency,authority,or

utility;

(iii) granteasementsforpublicutilitiesor otherpublicpurposesconsistent

withtheintendeduseoftheCommon Area;

(iv) takesuch stepsas arereasonablynecessaryor desirableto protectthe

Common Area againstforeclosure;and

(v) takesuch otheractionswith respectto the Common Area which are

authorizedby orotherwiseconsistentwiththeGoverningDocuments.

Notwithstandingany rightauthorizedin (i)through (v)above,in the event

Common Area isimmediatelyadjacentto and forallpracticalpurposesconstitutesthe

frontor sideyard ofa particularUnit,theNeighborhood Board shallnottaketheaction

describedin(i)and (ii)abovewithrespecttosuchdesignatedCommon Area.

(d) Declarant'sRightofUse. As partoftheoverallprogram ofdevelopment ofthe

Propertyintoa residentialcommunity and to encouragethe marketingthereof,theDeclarant

shallhave therightof use of theCommon Area,includingany community buildings,without

chargeduringtheDeclarantControlPeriodtoaidinitsmarketingactivities.

2.4. LimitedCommon Area.

(a) Designation.The Declarant,duringtheDeclarantControlPeriod,shallhave the

rightto restrictportionsof the Common Area, whether owned by Declarantor by the

Neighborhood Association,inthenatureofan easementfortheprimaryor exclusiveuse ofone

or more particularOwners, by designatingsuch portionsof the Common Area as Limited

Common Area. Thisdesignationmay be made by: (i)indicatingor designatingon thePlatthe

Limited Common Area appertainingto one or more Units or (ii)designating,depicting,or

describingsuch LimitedCommon Area in any supplementaldeclarationor any exhibitthereto.

The Declarantreservesthe rightto re-designateLimitedCommon Area and the maintenance

obligationsthereofasitdeems necessaryfrom timetotime.

(b) Rightsof Use and Rules and ResulationsConcerning the Limited Common

Areas.Each Owner isherebygrantedan irrevocableand exclusivelicensetouse and occupy the

Limited Common Areas reservedand designatedexclusivelyforthe use of hisor her Unit,

subjecttotherightsoftheDeclarantand theNeighborhood Board assetforthintheGoverningDocuments. The rightof exclusiveuse and occupancy does not includethe rightto repaint,remodel,erectstructuresupon orattachany apparatustotheLimitedCommon Area withoutthe

NEIGHBORHooD DECLARATION FOR SAND CovE AT LEDGES EAST 6

expresswrittenconsentoftheNeighborhood Board ortheArchitecturalCommittee oftheMaster

Association,asthecasemay be.

(c) Neichborhood Board Authorityand Rightsin Limited Common Area. The

Neighborhood Board'srightof regulationin the LimitedCommon Area includesallrightsit

possesseswith respectto theCommon Area which arenot inconsistentwith exclusiveuse toa

particularUnittowhich theLimitedCommon Area isassigned,and includes,but isnotlimited

to,therighttoregulate,repair,maintain,and controlarchitecturaland aestheticappearancesof

theLimitedCommon Area.

2.5. DelegationofUse. Any Owner may delegatehisrightofenjoymentoftheCommon Area

tothemembers ofhisfamily,histenants,guests,licenseesand invitees,but onlyinaccordancewith the

applicablerulesand regulationsoftheNeighborhood Associationand otherGoverningDocuments. The

Neighborhood Board may, by rule,requireOwners toforfeittheirrightofuse intheCommon Areas for

so longastheOwner.has delegatedhisrightofuse intheCommon Areas tohisorhertenant.Damagecaused to the Common Area and facilities,includingpersonalpropertyowned by the Neighborhood

Association,by a Member, or by a person who has been delegatedthe rightto use and enjoy such

Common Area and facilitiesby a Member, shallcreatea debt to theNeighborhood Association.Such

debtsowed totheNeighborhood Associationas a resultof damage totheCommon Area and facilities

shallbe a specificassessmentchargedtotheOwner.

2.6. Declarant'sReasonableRightsto Develop. No ruleor actionby the NeighborhoodAssociationshallunreasonablyimpede Declarant'srighttodeveloptheProperty.

ARTICLE 3

NEIGHBORHOOD ASSOCIATION, MEMBERSHIP AND VOTING RIGHTS

3.1. Membership. Every Owner of a Unit subjectto the Neighborhood Declarationisa

Member oftheNeighborhood Association.Membership intheNeighborhood Associationautomaticallytransfersupon transferoftitleby therecordOwner toanotherpersonorentity.

3.2. Voting Rights.The Neighborhood Associationhas two classesof votingmembership,ClassA and ClassB.

(a) ClassA. Every Owner isa ClassA Member with theexceptionoftheDeclarant,

untilDeclarant'smembership convertstoClassA membership as providedforherein.ClassA

Members areentitledtoone voteforeach Unit owned. When more thanone personholdsan

interestinany Unit,thegroup ofsuchpersonsshallbe a Member. The voteforsuchUnitshallbe

exercisedastheyamong themselvesdetermine,but inno eventshallmore thanone votebe cast

with respecttoany Unit. A votecastatany Neighborhood Associationmeetingby any ofsuch

co-Owners,whether inpersonorby proxy,isconclusivelypresumed tobe thevoteattributable

totheUnitconcernedunlesswrittenobjectionismade priortothatmeeting,orverbalobjectionis

made atthatmeeting,by anotherco-Owner ofthesame Unit.Intheeventan objectionismade,

thevoteinvolvedshallnotbe counted forany purpose excepttodeterminewhether a quorumexists.


(b) ClassB. The ClassB member istheDeclarant.Declarant'sClassB membershipstatusis not dependent or contingentupon Declarant'sownership of any Unit within the

Property.The ClassB member isentitledto 100 votes.ClassB membership willceaseand be

convertedtoClassA membership, and theDeclarantControlPeriodwillend,on thehappeningofone ofthefollowingevents,whicheveroccursearlier:(i)theexpirationof20 yearsfrom the

dateofrecordingof thisNeighborhood Declaration;or (ii)by Declarant'sexpresssurrenderof

ClassB membership status,which stirrendermust be ina writteninstrumentsignedby Declarant

and recordedintheofficeoftheWashington County Recorder.Unlesstheinstrumentspecifiesa

differentdate,thedateofsurrenderofClassB membership shallbe thedateofrecordingofthe

instrument.

3.3. Declarant'sVoting Rightsin Expansion Area. In the caseof expansion(asprovidedunder thisNeighborhood Declaration),Declarantshallhave Class B Membership and receivethe

equivalentoffivevotesperUnitconstructedintheAdditionalProperty.

3.4. Voting Rights in the Master Association. The Members shall electa Voting

Representativeand an alternatein the manner provided for in the Master AssociationGoverningDocuments. The VotingRepresentativeshallbe responsibleforcastingallvotesallocatedtotheMembers

on allMasterAssociationmattersthattheMasterAssociationBoard,by resolution,determinesshouldbe

votedon by theMasterAssociationMembers.

3.5. Change of Corporate Status. The Neighborhood Associationhas been set up and

establishedas a non-profitcorporationunder Utah law. However, as provided in the CommunityAssociationAct,Utah Code 5 57-8a-221,the continuingexistenceand viabilityof the NeighborhoodAssociationisnot vested in itscorporatestatus.During any period in which the NeighborhoodAssociationis not incorporatedor otherwisehas a change of corporatestatus(e.g.,involuntarydissolutionunder the Utah NonprofitCorporationAct for failureto fileforcorporaterenewal),the

Governing Documents shallneverthelesscontinueto be effectiveas theGoverning Documents of the

Neighborhood Association,and theNeighborhood Association,theNeighborhood Board,and allofficers

and committeesoperatingunder theauthorityoftheGoverning Documents shallhave allrights,power,and authoritygrantedtherein,and no Owner may escapeor avoidany assessment,charge,lien,ruleor

othermattercontainedintheGoverning Documents by virtueofsuch change ofcorporateofstatus.In

thecaseofnon-incorporation,theNeighborhood Board isauthorized,totheextentitdeems necessary,and without approval of the Members, to re-incorporateunder a same or similarname and such

corporationshallbe deemed the successorto the Neighborhood Association. In the event the

Neighborhood Board does not reincorporate,the Neighborhood Associationshallcontinueto operateand functionunder theGoverningDocuments asan unincorporatedassociation.

3.6. ValidityofVotesand Consents.Any consentorvotegivenby an Owner on any matter

in the Governing Documents shallbe validfor a period of 90 days,and shallbe binding on any

subsequentOwner who takestitleoftheUnitduringthatperiodoftime.

3.7. Indemnification.The Neighborhood Board, and each member thereof,shallbe

indemnifiedby the Neighborhood Associationagainstany loss,damage, claimsor liability,includingreasonableattorneyfees,sufferedor incurredby reason of such position,exceptto the extentsuch

damage, claim,lossor liabilityiscoveredby any type of insurance;provided,however, thatno such

NEIGHBORHoon DECLARATION FOR SAND CovE AT LEDGEs EAST 8

personshallbe indemnifiedagainst,orbe reimbursedforany expenseincurredinconnectionwith,anyclaimorliabilityarisingoutofthatperson'sown willfulmisconductorgrossnegligence.

3.8. Rulemaking Authority.The Neighborhood Board may, from timetotime,subjecttothe

provisionsof theGoverning Documents and Utah law,adopt,amend and repealrulesand regulations

governing,among otherthings,Short-termRentals,use of any LimitedCommon Area and Common

Area,parkingrestrictionsand limitations,limitationsupon vehiculartravelwithinthe Property,and

restrictionson other activitiesor improvements on the Property which, in the opinion of the

Neighborhood Board, createa hazard,nuisance,unsightlyappearance,excessivenoise,or offensive

smell.

3.9. Notice;Promulgationof Rules. A copy of therulesand regulations,as theymay from

time to time be adopted,amended or repealed,shallbe mailed or otherwisedeliveredto each Unit

Owner within15 days afterthedateoftheNeighborhood Board meetingwhere thechangeswere made

and may, but need not be,recorded.Upon such mailingor otherdelivery,saidrulesand regulationsshallhave thesame forceand effectas iftheywere setforthinand were a partofthisNeighborhoodDeclaration.Inadditiontoor inlieuofprovidingnoticeby mail,theNeighborhood Board may providenoticeby electronicmeans such as electronicmail (e-mail)toUnit Owners and may requirethatUnit

Owners, in additionto keepingtheNeighborhood Board informed as to theircurrentmailingaddress,maintaina currente-mailaddresswiththeNeighborhood Board forsuchpurpose.

3.10. Management Agreement:PropertyManager. The Neighborhood Board may engage for

theNeighborhood Associationtheservicesofa propertymanager toperformsuch dutiesand servicesas

the Neighborhood Board shallauthorize.-The Neighborhood.Board may delegateto and otherwise

authorizethepropertymanager toperform thoseservicestowhich theNeighborhood Board itselfmay

perform under the Governing Documents or the Act,and thoseservicesto which the Act otherwise

authorizesa manager to perform. Any contractor agreement for servicesentered into by the

Neighborhood Board forand on behalfoftheNeighborhood Associationand thepropertymanager shall

notexceeda term oftwo years.Fees,costs,and otherchargesofthepropertymanager shallbe Common

Expenses. The propertymanager may alsoprovide servicesto individualOwners, such as leasingindividualUnitsasmay be determinedbetween thepropertymanager and theOwner; providedhowever,thatservicesperformed for individualOwners which are not performed for allthe NeighborhoodAssociationshallnot be Common Expensesbut shallbe chargedtosuch Owners astheOwners and the

property manager may determine. Nothing in this Neighborhood Declarationprohibitsthe

Neighborhood Associationfrom contractingforany servicewith any personor entityaffiliatedwith,or

in common ownership with,Declarant,but any such contractmust be forpricesand terms thatare

competitiveinthelocalmarketand inno caseshallthecontracttermexceedone year.

ARTICLE 4

FINANCES AND ASSESSMENTS

4.1. Assessments:Authority.The Neighborhood Associationishereby authorizedto levyand collectassessmentsagainstthe Owners as provided forherein. The followingare the typesof

assessmentsthatmay be leviedand collectedby the Neighborhood Association,which are more

particularlydescribedbelow: (1)annual assessmentsor charges;(2)specialassessments;(3)specific

assessments;(4)emergency assessments;(5)any otheramount or assessmentleviedor chargedby the

Master Associationpursuantto the Master Declaration;(6)any otheramount of assessmentleviedor

NFacHBoRHooD DECLARATION Fox SAND CovE AT LEDGES EAST 9

chargedby theNeighborhood Board pursuanttothisNeighborhood Declaration;and (7)interest,costsof

collectionand reasonableattorneyfees,ashereinafterprovided.

4.2. Creationof Lien and PersonalOblicationof Assessments. ExceptingDeclarant,each

Owner ofany Unitby acceptanceofa deed therefor,whether ornot itshallbe so expressedinany such

deed orotherconveyance,covenantsand agreestopay totheNeighborhood Associationallassessments

and charges,however denominated,which are authorizedin the Governing Documents. All such

amounts shallbe a chargeon theUnit and shallbe a continuinglienupon theUnit againstwhich each

such assessmentor amount ischarged,which lienshallarisewhen theOwner failsor refusestopay an

assessmentwhen due. Such assessmentsand otheramounts shallalsobe thepersonalobligationofthe

personwho was theOwner ofsuch Unitatthetimewhen theassessmentbecame due. No Owner may

exempt himselffrom liabilityforassessmentsby non-useofCommon Area,abandonment ofhisUnit,or

any othermeans. The obligationtopay assessmentsisa separateand independentcovenanton thepartofeachOwner. No diminutionorabatementofassessmentsorset-offshallbe claimedorallowedforany

allegedfailureof the Neighborhood Association,theNeighborhood Board,or Declarantto takesome

actionor perform some functionrequiredof it,or forinconvenienceor discomfortarisingfrom the

making orrepairsorimprovements,orfrom any otheractionittakes.

4.3. Purpose ofAssessments.The assessmentsleviedby theNeighborhood Associationshall

be used toadvance thepurposesforwhich theNeighborhood Associationwas formed,as setforthand

articulatedintheGoverning Documents. The assessmentsmay providefor,but arenot limitedto,the

payment of taxes on Neighborhood Associationproperty and insurance maintained by the

Neighborhood Association;thepayment ofthecostofrepairing,replacing,maintainingand constructingor acquiringadditionsto the Common Area and LimitedCommon Area; the payment of the costof

repairing,replacing,and maintainingany roadways; payment of feesfor recreationalfacilitiesand

amenitiesthat the Neighborhood Board contractsfor on behalfof the Owners; the payment of

administrativeexpensesoftheNeighborhood Association;thepayment ofinsurancedeductibleamounts

totheextentnototherwiserecoverablefrom a thirdparty;thepayment ofassessmentsleviedagainstthe

Neighborhood Associationby theMasterAssociationpursuanttotheauthorityoftheMasterDeclaration;

theestablishmentof capitaland operationalreserveaccounts;thepayment of any professionalservices

deemed necessaryand desirableby the Neighborhood Board; and other amounts requiredby this

Neighborhood Declarationor thattheNeighborhood Board shalldeterminetobe necessarytomeet the

primarypurposesoftheNeighborhood Association.The assessmentsmay provide,atthediscretionof

theNeighborhood Board,forthepayment ofotherchargesincluding(withoutlimitation)maintenance,

management, and utilitycharges.

4.4. InitialAnnual Assessments. The Declarantshallinitiallyestablishthe amount of the

annual assessments.Thereafter,the establishmentof annual assessmentsshallbe accordingto the

proceduresand requirementsofSection4.5.

4.5. Annual Assessments;Budgeting.

(a) Adoption ofBudget.At least60 daysbeforethebeginningofeachfiscalyear,the

Neighborhood Board shallpreparea budget of theestimatedCommon Expensesforthatfiscal

year,forthepurpose ofcalculatingand establishingtheannual assessmentsforthatfiscalyear.Annual assessmentsforCommon Expenses shallbe based upon the estimatednet cash flow

requirementsoftheNeighborhood Associationtocoveritemsincluding,withoutlimitation,the

NEIGHBoRHooD DECLARATION FOR SAND CovE AT LEDGES EAST 10

costof routinemaintenance and operationof the Common Area; expenses of management;

premiums for insurancecoverage as deemed desirableor necessaryby the Neighborhood

Association;landscaping,careof grounds,and common lightingwithin the Common Area;

routinerenovationswithintheCommon Area;wages;common waterand utilitychargesforthe

Common Area; legaland accountingfees;management fees;expensesand liabilitiesfrom a

previous assessment period;the supplementing of the reservefund for general,routine

maintenance,repairs,and replacementoftheCommon Area asrequiredby section57-8a-211of

theCommunity AssociationAct,Utah Code g 57-8a-211.

(b) NoticeofBudget and Assessment.The Neighborhood Board shallsend a copy of

the finalbudget,togetherwith noticeof the amount of the annual assessmentto be levied

pursuanttosuchbudget,toeachOwner atleast30 dayspriortotheeffectivedateofsuchbudget.The budget shallautomaticallybecome effectiveunlessdisapprovedin writingby Members

representingatleast51% ofalleligiblevotesintheNeighborhood Association.Any suchpetitionmust be presentedto the Neighborhood Board within10 days afternoticeof thebudget and

assessment.There shallbe no obligationto calla meeting forthepurpose of consideringthe

budget excepton petitionof the Members as provided forspecialmeetingspursuant to the

Bylaws. Unlessthebudget fortheassessmentisdisapprovedby theMembers assetforthabove,theNeighborhood Board isthereafterauthorizedtolevytheassessmentas providedforherein.

During theDeclarantControlPeriod,theOwners may notdisapproveany budget.

(c) Failureor Delay inAdopting Budget. The failureor delayoftheNeighborhoodBoard toprepareoradopt a budget forany fiscalyearshallnotconstitutea waiveror releasein

any manner ofan Owner's obligationtopay hisallocableshareoftheCommon Expensesand in

theeventofsuchfailureordelay,allOwners shallcontinuetopay assessmentson thesame basis

asduringthelastyearforwhich an assessmentwas made untilnotifiedoftheamount ofthenew

annualassessmentwhich isdue on thefirstday ofthenextpayment periodwhich beginsmore

than thirtydays aftersuch new annual or adjustedbudget isadopted and theOwners receive

noticeasprovidedherein.

(d) Automatic Budget Approval. Notwithstandingthe foregoing,ifthe budget

proposed by theNeighborhood Board willincreasetheannual assessmentno greaterthan five

percentmore thanthepreviousannualassessment,thensuch budget and correspondingannual

assessmentshallbe automaticallyapproved and effectiveupon a 30-daynotice.

(e) Adjustment of Budget and Assessment. The Neighborhood Board may revise

thebudget and adjusttheannual assessmentfrom time to time during theyear,subjectto the

noticerequirementsand therightoftheMembers todisapprovetherevisedbudget assetforthin

thisSection4.5(b),provided,however,thatsuch an adjustmentisexempt from therequirementsof

Section4.5(b)ifthe adjustmentwould eitherdecreasethe annual assessmentor increasethe

annualassessmentby no greaterthan3.25%.

4.6. SpecialAssessments. In additionto theannual assessments,the Neighborhood Board

may levyinany assessmentyeara specialassessment,applicabletothatyearonlytocoverunbudgeted

expensesor expensesinexcessofthosebudgeted,includingbut not limitedtodefraying,inwhole or in

part,thecostof any construction,reconstruction,repairor replacementof Common Area or Limited

Common Area and any structures,fixturesand personalpropertyrelatedthereto,ortopurchase,acquire,

NEIGHaoRHoon DECLARATION FOR SAND COVE AT LEDGES EAST 11

or otherwiseadd additionalCommon Area. Any such specialassessmentmay be leviedagainstthe

EntireMembership (excludingDeclarant)ifsuch specialassessmentisforCommon Expenses.Exceptas

otherwise provided in thisNeighborhood Declaration,any specialassessment shallrequirethe

affirmativevote or writtenconsentof a majorityof the EntireMembership, ifa Common Expense.

Specialassessmentsshallbe payable in such manner and at such times as determined by the

Neighborhood Board,and may be payableininstallmentsextendingbeyond thefiscalyearsinwhich the

specialassessmentisapproved.

4.7. SpecificAssessments. The Neighborhood Associationshallhave the power to levy

specificassessmentsagainsta particularUnittocovercostsincurredinbringingany Unitintocompliancewith the Governing Documents, or costsincurredas a consequenceof the conduct of the Owner or

occupants of the Unit, theiragents,contractors,employees, licensees,invitees,or guests. The

Neighborhood Board shallgive an Owner priorwrittennoticeand an opportunityfora hearing,in

accordancewiththeBylaws,beforelevyingany specificassessmentunder thissubsection.

4.8. Emergency Assessments. Notwithstandinganythingcontainedin thisNeighborhoodDeclaration,the Neighborhood Board,withoutMember approval,may levyemergency assessmentsin

responseto an emergency situation.Priortothe impositionor collectionof any assessmentdue toan

emergency situation,theNeighborhood Board shallpassa resolutioncontainingthewrittenfindingsas

tothenecessityofsuch expenditureand why theexpenditurewas notorcouldnothave been reasonablyforeseenor accuratelypredictedinthebudgetingprocessand theresolutionshallbe distributedto the

Members with the noticeof the emergency assessment. If such expenditurewas createdby an

unbudgeted utility,maintenanceor similarexpenseor increase,theassessmentcreatedtherebyshallbe

discontinuedby the Neighborhood Board by a similarresolutionifsuch expense is subsequentlyreduced,or totheextentthenextsucceedingannualbudget incorporatessaidincreaseintotheannual

assessment.An emergency situationisone inwhich theNeighborhood Board finds:(a)an expenditure,initsdiscretion,requiredby an orderofa court,todefendtheNeighborhood Associationinlitigation,or

to settlelitigation;(b)an expenditurenecessaryto repairor maintainthePropertyor any partof itfor

which theNeighborhood Associationisresponsiblewhere a threattopersonalsafetyon thePropertyis

discovered;(c)an expenditurenecessarytorepair,maintain,or coveractualNeighborhood Association

expenses for the Propertyor any part of itthatcould not have been reasonablyforeseenby the

Neighborhood Board in preparingand distributingthe pro forma operatingbudget (forexample:increasesinutilityrates,landscapeormaintenancecontractservices,attorneyfeesincurredinthedefense

of litigation,etc.);or (d)such othersituationsin which the Neighborhood Board findsthatimmediate

actionisnecessaryand inthebestinterestsoftheNeighborhood Association.

4.9. Uniform Rate of Assessment. Unless otherwiseprovided for in thisNeighborhoodDeclarationorelsewhereintheGoverningDocuments, assessmentsmust be fixedata uniformrateforall

Units. No assessmentsshallaccrueagainstUnits owned by Declarantduring the DeclarantControl

Period.

4.10. Declarant'sOption to Fund Budget Deficits.During the DeclarantControlPeriod,Declarantmay, but is not obligatedto,fund any budget deficitof the Neighborhood Association,

including,without limitation,funding any initialcapitalor operationalreservefund. In the event

Declarantfunds any budget deficit,itshallnotestablishany obligationby Declaranttocontinuetofund

any futuredeficits.To theextentnot prohibitedby law,theDeclarantmay be reimbursedforfunding

any budgetdeficit.


4.11. Payment;Due Dates.

(a) The assessmentsand chargesprovided for hereinshallcommence to accrue

againsta Unitupon theearlierof:(1)conveyanceofa Unittoa bona fidepurchaserotherthana

developeror builderwho takesor owns titleto the Unit for the purpose of development,

construction,and saleofsuchUnit;or(2)on thelastday ofthemonth followingtheissuanceofa

certificateof occupancy correspondingto a Unit,adjustingthe amount of such assessment

accordingtothenumber ofmonths remaininginthefiscalyear.But theforegoingassessments

shallnot begin to accrueagainstany Unit thatisowned by the developeror builderand is

activelyused as a fullyfurnishedmodel home for marketing purposes and continuously

unoccupiedand regularlyopen tothepublicformarketingpurposes

(b) Due dates shallbe establishedby resolutionof the Neighborhood Board.

Installmentsofassessmentsmay be leviedand collectedon a monthly,quarterly,semi-annual,or

annualbasis,asdeterminedby resolutionoftheNeighborhood Board.

(c) The Neighborhood Board may requireadvance payment of assessmentsat

closingofthetransferoftitletoa Unit.

(d) Payment ofassessmentsshallbe appliedfirsttoany accruedinterest,thentoanyaccruedcosts,charges,and fees,and thentotheprincipalamount oftheassessment.No Owner

shallhave therighttodirecttheNeighborhood Associationor itsagentsor employees toapply

payments inany othermanner ormethod and any such attempttodo sowillnotbe recognized.

4.12. EffectofNon-Payment ofAssessment:Remedies oftheNeichborhood Association.Anyassessmentor installmentthereofnot paidwithin10 days afterthedue datethereforshallbe delinquentand shallbear interestfrom the due date at the rateof 18% per annum (orsuch lesserrateas the

Neighborhood Board shalldetermineappropriate)untilpaid.Inaddition,theNeighborhood Board mayassessa latefeeforany unpaid balanceafterthe10-daygraceperiodfrom thedue date.The amount of

thelatefeeshallbe setforthina scheduleof finesthattheNeighborhood Board adoptsand publishesfrom timetotime.

(a) Remedies. To enforcethisArticle,theNeighborhood Board may, inthename of

theNeighborhood Association:

(i) bringan actionatlaw againsttheOwner personallyobligatedtopay anysuch delinquentassessmentwithout waiving Neighborhood Association'slienforthe

assessment;

(ii) aftergivingnoticeby certifiedmail as requiredby section57-8a-303of

the Community AssociationAct,Utah Code g 57-8a-303,foreclosethe lienagainstthe

UnitinaccordancewiththelawsoftheStateofUtah applicabletotheexerciseofpowersof salein deeds of trustor to the foreclosureof mortgages,or in any othermanner

permittedby law,tothesame extentasthough theNeighborhood Associationlienwas a

trustdeed;


(iii) restrict,limit,or totallyterminateany or allservicesperformed by the

Neighborhood Associationon behalfofthedelinquentOwner;

(iv) terminate,in accordance with section57-8a-309of the CommunityAssociationAct,Utah Code 5 57-8a-309,theOwner's righttoreceiveutilityservicespaidas a Common Expense and/or terminatethe Owner's rightof accessand use of anyrecreationalfacilities;

(v) iftheOwner isleasingorrentinghisUnit,theNeighborhood Board may,inaccordancewith section57-8a-310oftheCommunity AssociationAct,Utah Code 5 57-

8a-310,demand thattheOwner's tenantpay totheNeighborhood Associationallfuture

leasepayments due from theOwner, beginningwith thenextmonthly or otherperiodic

payment,untiltheamount due totheNeighborhood Associationispaid;

(vi) exerciseany otherrightsauthorizedby theCommunity AssociationAct

fornon-payment ofassessmentsand othercharges;

(vii) suspend thevotingrightsoftheOwner forany periodduringwhich anyassessmentorportionthereofagainsttheOwner's Unitremainsunpaid;

(viii) accelerateallassessmentinstallmentsthatwillbecome due withinthe

subsequent12 months so thatallsuch assessmentsfor thatperiod become due and

payableatonce.Thisaccelerationprovisionmay onlybe invokedagainstan Owner who

has been delinquentinpayingany assessmentorinstallmenttwo ormore timeswithina

12month period;and/or

(ix) Record alienagainsttheUniton any installmentpayment more than60

dayspastdue withcostofsuchbeingadded totheOwner's account.

(b) AttorneyFeesand Costs.Thereshallbe added totheamount ofany delinquentassessmentthecostsand expensesofany action,saleorforeclosure,and reasonableattorneyfees

incurredby theNeighborhood Association,togetherwith,where applicable,an accountforthe

reasonablerentalforthe Unit from time to time of commencement of the foreclosure.The

Neighborhood Associationshallbe entitledtotheappointmentofa receivertocollecttherental

income orthereasonablerentalwithoutregardtothevalueoftheothersecurity.

(c) Power of Sale. A power of saleishereby conferredupon the NeighborhoodAssociationwhich itmay exercise.Under thepower ofsaletheUnitofan Owner may be soldin

the manner provided by Utah law pertainingto deeds of trustas ifsaid NeighborhoodAssociationwere beneficiaryunder a deed of trust. The Neighborhood Associationmay

designateany personorentityqualifiedby law toserveastrusteeforpurposesofpower ofsale

foreclosure.The Declarantherebyconveysand warrantspursuanttoUtah Code Sections57-1-20

and 57-8a-302toSouthernUtah TitleCompany or otherqualifiedtrusteewhich isnamed inany

supplementalrecordingwith power of sale,theUnitsand Unitsand allimprovements to the

Unitsand Unitsforthepurpose of securingpayments of assessmentsunder theterms of this

Neighborhood Declaration.


4.13. Exempt Property.The followingpropertysubjectto thisNeighborhood Declarationis

exempt from theassessmentscreatedherein:(a)allpropertydedicatedto and acceptedby any local

publicauthority;(b)allCommon Area;(c)allUnitsor otherrealpropertyowned by Declarant;and (d)

any otherpropertydeclaredexempt assetforthinthisNeighborhood Declarationorwithinany Plat.

4.14. Subordinationof Lien to Mortgages. The lienof the assessmentsprovided forherein

shallbe subordinateto:(1)alien or encumbrance recordedbeforethe Neighborhood Declarationis

recorded;(2)a firstorsecondsecurityinterestsecuredby a Mortgage ortrustdeed thatisrecordedpriortoany noticeoflienfiledby or on behalfoftheNeighborhood Association;and (3)alienforrealestate

taxesorothergovernmentalassessmentsorchargesagainsttheUnit.

4.15. Terminationof Lien. Saleor transferof any Unit shallnot affectthe assessmentlien.

However, thesaleortransferofany Unitpursuanttoforeclosureofa firstMortgage orany proceedingin

lieuthereof,shallextinguishtheassessmentlienastopayments which became due priortosuch saleor

transfer.No saleor transfer,however, shallrelievean Owner from personalliabilityforassessments

coming due aftertakingtitleorfrom thelienofsuchlaterassessments.

4.16. Assessmentsand Other Charges Levied by theMaster Association.Any assessments,

fees,or other charges leviedby the Master Associationpursuant to the authorityof the Master

Declarationagainstany individualOwner shall,ifnot leviedspecificallyagainstthe NeighborhoodAssociationand passed through to the Members as a Common Expense, be paid to the Master

Associationas requiredby theMaster Declaration.Each Owner hereby designatesand authorizesthe

Neighborhood Associationto:(a)receivenoticesof assessmenton behalfof such Owner; (b)collect

Master Associationassessmentsfrom such Owner; and (c)remit such collectedMaster Association

assessmentstotheMasterAssociation.The Neighborhood Associationshallupon requestoftheMaster

Associationincludethe Master Associationassessmentswith the Neighborhood Associationdues and

assessmentsand providetotheMasterAssociationwith thenames and addressesofallOwners within

the Neighborhood Associationtogetherwith a statementlistingthoseOwners who have not paid an

assessmentowed to the Master Association,and the amount of such non-payment. The Master

Associationmay, in itsdiscretion,send noticesto and collectMaster Associationassessmentsdirectlyfrom any Owner in lieuof the Neighborhood Association.Owners shallreceiveno offsetin anyassessmentsby theNeighborhood Associationasa resultofany assessment,fee,orchargeleviedagainstthem,individually,by theMasterAssociation.

4.17. Books,Records,and Audit.

(a) The Neighborhood Associationshallmaintaincurrentcopiesof theGoverningDocuments and other similardocuments, as well as itsown books, recordsand financial

statementswhich shallallbe availableforinspectionby Owners and insurersas well as by

holders,insurersand guarantorsof firstmortgages during normal businesshours uponreasonablenotice.Charges shallbe made for copying,researchingor extractingfrom such

documents. An Owner orholder,insurer,orguarantorofa firstMortgage may obtainan auditof

Neighborhood Associationrecordsat itsown expense so long as the resultsof the auditare

providedtotheNeighborhood Association.

(b) The Neighborhood Associationshallpreparea rosterofOwners inthePropertyand theassessmentsapplicabletheretoatthesame timethatitshallfixtheamount oftheannual


assessment,which rostershallbe kept by theTreasureroftheNeighborhood Association,who

shallrecord-payments ofassessmentsand shallallowinspectionoftherosterby any Member at

reasonabletimes.

(c) The Neighborhood Associationshall,upon writtenrequest,and fora reasonable

chargenot toexceedtheamounts providedintheAct,furnisha writtenstatementsignedby an

officeroftheNeighborhood Associationsettingforthwhether theassessmenton a specifiedUnit

hasbeen paid.Such writtenstatement,when properlyissued,shallbe conclusiveevidenceofthe

payment ofany assessmentorfractionalpartthereofwhich isthereinshown tohave been paid.

ARTICLE 5

INSURANCE

5.1. CasualtyInsuranceon InsurableCommon Area.

(a) The Neighborhood Board shallkeep allinsurableimprovements and fixturesof

theCommon Area insuredagainstlossor damage by fireforthefullinsurancereplacementcost

thereof,and may obtain insurance against such other hazards and casualtiesas the

Neighborhood Associationmay deem desirable.The Neighborhood Associationmay alsoinsure

any otherpropertywhether realor personal,owned by theNeighborhood Association,againstlossor damage by fireand such otherhazards as the Neighborhood Associationmay deem

desirable,with theNeighborhood Associationas the Owner and beneficiaryofsuch insurance.

The insurancecoveragewithrespecttotheCommon Area shallbe writteninthename of,and the

proceedsthereofshallbe payableto,theNeighborhood Association.Insuranceproceedsshallbe

used by theNeighborhood Associationfortherepairor replacementof thepropertyforwhich

theinsurancewas carried.Premiums forallinsurancecarriedby theNeighborhood Association

areCommon Expenseswhich shallbe includedin theregularannual assessmentsmade by the


(b) Inadditiontocasualtyinsuranceon theCommon Area,theNeighborhood Board

may electtoobtainand continueineffect,on behalfofallOwners, adequateblanketcasualtyand

fireinsuranceinsuchform astheNeighborhood Board deem appropriateinan amount equalto

thefullreplacementvalue,withoutdeductionfordepreciationor coinsurance,ofalloftheUnits

includingthe structuralportionsand fixturesthereof.Insurancepremiums from any such

blanketinsurancecoverage,and any otherinsurancepremiums paid by the NeighborhoodAssociationshallbe a common expenseof theNeighborhood Associationtobe includedinthe

regularannualassessmentsasleviedby theNeighborhood Association.The insurancecoveragewith respectto the Units shallbe writtenin the name of,and the proceedsthereofshallbe

payable to the Neighborhood Associationas trusteefor the Owners. Ifthe NeighborhoodAssociationbecomes aware thatsuch insuranceisnot available,theNeighborhood Association

shall,withinseven calendardays afterbecoming aware of thatfact,giveallOwners noticeas

providedinUtah Code (g57-8a-214.

(c) The Neighborhood Associationpoliciesmay containa reasonabledeductibleand

the amount thereofshallnot be subtractedfrom thefaceamount of thepolicyin determiningwhether thepolicylimitssatisfytherequirementsherein.In theeventof an insuredloss,the

deductibleshallbe treatedas a Common Expense in thesame manner as thepremiums forthe

NEIGHBoRHooD DECLARATION FOR SAND CovE AT LEDGES EAsT 16

applicableinsurancecoverage. However, ifthe Neighborhood Board reasonablydetermines,afternoticeand opportunitytobe heard,thatthelossistheresultofthenegligenceor willful

misconduct of one or more Owners, theirguests,invitees,or tenants,then the NeighborhoodBoard may assessthefullamount ofsuch deductibleagainstsuch Owner and theOwner's Unit,tobe collectedasan assessmentagainsttheOwner's Unit.

5.2. Replacementor RepairofProperty.Intheeventofdamage toor destructionofany partoftheCommon Area improvements,theNeighborhood Associationshallrepairorreplacethesame from

theinsuranceproceedsavailable,unlessthisDeclarationisterminatedand theNeighborhood Association

dissolved,therepairwould be illegaloratleast75% oftheallocatedvotinginterestsvotenottorebuild.

Ifsuch insuranceproceedsare insufficientto coverthecostsof repairor replacementof the property

damaged or destroyed,theNeighborhood Associationmay make a reconstructionassessmentagainstall

Owners tocovertheadditionalcostofrepairor replacementnot coveredby theinsuranceproceeds,in

additionto any othercommon assessmentsmade againstsuch Owner. In the event of damage or

destructionby fireor othercasualtytoany portionofthePropertycoveredby insurancewritteninthe

name ofthe Neighborhood Association,theNeighborhood Board isempowered to and shallrepresentthe Members in any proceedings,negotiations,settlementsor agreements. The NeighborhoodAssociationisappointedattorney-in-factofeachOwner forthispurpose.

5.3. LiabilityInsurance.The Neighborhood Board shallobtaina comprehensivepolicyof

publicliabilityinsurancecoveringallof theCommon Area foratleast$2,000,000.00per occurrencefor

personalorbodilyinjuryand propertydamage thatresultsfrom theoperation,maintenanceoruseofthe

Common Areas. Liabilityinsurancepoliciesobtainedby theNeighborhood Associationshallcontaina

"severabilityofinterest"clauseorendorsement-whichshallprecludetheinsurerfrom denyingtheclaim

ofan Owner becauseofnegligentactsoftheNeighborhood AssociationorotherOwners.

5.4. FidelityInsurance. The Neighborhood Board may electto obtainfidelitycoverage

againstdishonestactson thepartofmanagers,Directors,officers,employees,volunteers,management

agentsor othersresponsibleforhandlingfunds held and collectedforthe benefitof the Owners or

Members. In procuringfidelityinsurancethe Neighborhood Board shallseeka policywhich shall:(1)name theNeighborhood Associationasobligeeor beneficiary;(2)be writteninan amount not lessthan

thesum of (i)threemonths' operatingexpensesand (ii)the maximum reservesof the NeighborhoodAssociationwhich may be on depositatany time;and (3)containwaiversofany defensebased on the

exclusionofpersonswho servewithoutcompensationfrom any definitionof"employee."

5.5. Annual Review ofPolicies.The Neighborhood Board shallreviewallinsurancepoliciesatleastannuallyinordertoascertainwhether thecoveragecontainedinthepoliciesissufficienttomake

any necessaryrepairsor replacementsof the propertywhich may be damaged or destroyed,and to

ensurethatinsurancecoveragecomplieswith currentlyexistinglegalrequirements.The NeighborhoodBoard may, to the extentitdeems necessaryto more fullyprotectand insurethe NeighborhoodAssociationand itsproperty,or to otherwisecomply with evolvinglaws and insurancestandards,

modify the coverage standardsset forthin thisArticle5 without the necessityof amending this

Neighborhood Declaration.


ARTICLE 6

ARCHITECTURAL CONTROLS AND STANDARDS

6.1. ArchitecturalCommittee. The PropertyissubjecttotheArchitecturalCommittee created

pursuanttoArticle7 oftheMasterDeclaration.

6.2. ArchitecturalCommittee Approval. No Owner orotherpersonmay attach,erect,install,or placeanythingon theexteriorofUnitsor theinteriorofUnitswhere thesame might be visiblefrom

outsidetheUnit,or otherbuildingsand structuresinthePropertywithoutfirstobtainingapprovalfrom

theArchitecturalCommittee. Inthisregard,no structure,building,fence,wall,orthingshallbe placed,erected,orinstalledupon any Unitortoany Unitand no improvements orotherwork (includingexterior

alterationsofexistingimprovements,or plantingor removal oflandscaping)shalltakeplacewithinthe

Propertyuntiltheplansand specificationsshowing,withoutlimitation,thenature,kind,shape,height,

materials,colorsand locationof thesame shallhave been submittedto and receivedpriorapprovalin

writingby theArchitecturalCommittee inaccordancewiththeprovisionsoftheMasterDeclarationand

any rulesand regulationsadopted by theArchitecturalCommittee. ArchitecturalCommittee approvalshallbe requiredregardlessof whether the structure,building,fence,wall,or thingto be constructed,

placed,erected,or installedisnew, or an addition,extensionor expansion,change or alteration,or re-

construction,replacement,re-erection,orre-installationofany oftheforegoing.

6.3. Rules,Resulations,Guidelinesand Procedures. The ArchitecturalCommittee mayestablishrules,regulations,guidelinesand proceduresto govern the Property,includingArchitectural

GuidelinesprovidedforintheMasterDeclaration.

ARTICLE 7

PARTY WALLS

7.1. GeneralRulesofLaw toApply. Each wall,includingany floororceiling,thatisbuiltasa

partof the originalconstructionupon the Propertywhich servesand/or separatesany two adjoiningUnitsshallconstitutea partywall.To theextentnotinconsistentwith theprovisionsofthisArticle,the

generalrulesoflaw regardingpartywallsand liabilityforpropertydamage due tonegligenceor willful

actsoromissionsshallapplythereto.

7.2. SharingofRepairand Maintenance.The costofreasonablerepairand maintenanceofa

partywallshallbe sharedequallyby theOwners who make useofthewall.

7.3. Destructionby FireorOtherCasualty.Ifa partywallisdestroyedordamaged by fireor

othercasualty,then,totheextentsaiddestructionor damage isnot coveredby insuranceand repairedoutoftheproceedsofthesame,any Owners who sharethewallshallrestoreitand shallcontributetothe

costofrestorationthereofinproportiontotheiruse,withoutprejudice,however,totherightofany such

Owners to callfora largercontributionfrom theothersunder any ruleof law regardingliabilityfor

negligentorwillfulactsoromissions.

7.4. Exposure toElements. Notwithstandingany otherprovisionof thisArticle,an Owner

who by negligentorwillfulactionscausesa partywalltobe exposedtotheelementsshallbearthewhole

costoffurnishingthenecessaryprotectionagainstsuch elementstotheextentthatsaidprotectionisnot

coveredby insuranceand paidforoutoftheproceedsofthesame.

NEIGHBORHooD DECLARATION FOR SAND Cove AT LEDGES EAST 18

7.5. RighttoContributionRuns withLand. The rightofany Owner tocontributionfrom anyother Owner under thisArticleshallbe appurtenantto the land and shallpass to such Owner's

successors-in-title.

7.6. Arbitration.In theeventof any disputearisingconcerninga partywall,or under the

provisionsofthisArticle,each partyshallchooseone arbitrator,and such arbitratorsshallchooseone

additionalarbitratorwithin10 days oftheirselection,and thedecisionshallbe by a majorityofallthe

arbitrators.Should any partyrefusetoappointan arbitratorwithin10 daysafterwrittenrequesttodo so,theNeighborhood Board shallselectan arbitratorfortherefusingparty.

ARTICLE 8

MAINTENANCE

8.1. Neighborhood Association'sResponsibility. The Neighborhood Associationis

responsiblefor maintenance of the Common Area and the Limited Common Area which is not

designatedto any particularUnit. The costof such maintenanceshallbe a Common Expense. This

maintenanceincludesbut isnot limitedto upkeep of alllandscaping,upkeep and maintenanceof all

roadways,streetlights,sidewalks,and parkingareas,and upkeep and maintenanceofallbuildingsand

facilitieswhich constitutepartoftheCommon Area and LimitedCommon Area which isnot designatedtoany particularUnit.The Neighborhood Associationshallnothave any responsibilityforupkeep and

maintenance of the Units,unlessexpresslyrequiredby thisNeighborhood Declarationor expresslyassumed by theNeighborhood AssociationpursuanttotheauthorityofthisNeighborhood Declaration.

8.2... .Owner'sResponsibility.Each Owner shallbe responsibleformaintenanceand repairof

hisorherUnitand any LimitedCommon Area designatedfortheexclusiveuse and occupancyofhisor

her Unit includingthe roof,exteriorwalls,and deck and patioareas,and the area designatedand

describedin Section2.2(e),in a manner consistentwith allapplicableprovisionsof the GoverningDocuments, unless such maintenance responsibilityis otherwiseassumed by or assignedto the

Neighborhood Associationby the Governing Documents. Ifan Owner failsto perform maintenance

which istheOwner's responsibility,theNeighborhood Board may, after10 days writtennotice(whichnoticeshallnotbe requiredintheeventofemergency orthreattolife,health,propertyorsafety),provideexteriormaintenanceupon eachUnit and theLimitedCommon Area adjacentand appurtenantthereto

(asdesignatedon thePlatorby theDeclarant)and chargetheOwner thecostsofsuch maintenanceasa

specificassessment.

8.3. Access at ReasonableHours. For the solepurpose of performing the maintenance

requiredor otherwiseauthorizedby thisArticle,the Neighborhood Association,through itsdulyauthorizedagentsor employees,shallhave theright,afterreasonablenoticetotheOwner, toenterupon

any UnitorLimitedCommon Area atreasonablehours.Thisprovisiondoesnotauthorizeentryintothe

interiorofany Unit.

8.4. Other ServicesProvidedby Neishborhood Association.To theextentdeterminedtobe

necessaryor desirableby the Neighborhood Board, the Neighborhood Associationmay provideadditionalservicestotheOwners asa Common Expenseorspecificassessment,asappropriate.

NEIGHBORHOOD DECLARATION FOR SAND CovE AT LEDGESEAST 19

8.5. AlterationofCertainMaintenanceDutiesby Rule.The duty ofmaintenanceforthearea

ofa UnitoutsidethewallsoftheUnit,and theLimitedCommon Areas adjacentand appurtenantthereto

may be alteredby ruleoftheNeighborhood Association.

ARTICLE 9

CONDEMNATION: PARTITION

9.1. Condemnation. Whenever allor any part of the Common Area shallbe taken (or

conveyed inlieuofand under threatofcondemnationby theMasterAssociationBoard and,ifitiswithin

theDeclarantControlPeriod,by theDeclarant)by any authorityhaving thepower ofcondemnation or

eminentdomain,eachOwner shallbe entitledtonoticethereof.The award made forsuchtakingshallbe

payabletotheMasterAssociationastrusteeforallOwners tobe disbursedasfollows:

(a) Ifthe takinginvolvesa portionof theCommon Area on which improvementshave been constructed,then,unlesswithin60 days aftersuch takingtheDeclarant,duringthe

DeclarantControl Period,and Members representingat least75% of the totalvote of the

Neighborhood Associationshallotherwiseagree,theNeighborhood Associationshallrestoreor

replacesuch improvements so takenon theremaininglandincludedintheCommon Area tothe

extentlands are availabletherefor,in accordancewith plans approved by the NeighborhoodBoard. Ifsuch improvements aretobe repairedor restored,theabove provisionsinSection5.2

regardingthedisbursementoffundsinrespecttocasualtydamage ordestructionwhich istobe

repairedshallapply.

(b).. .Ifthe takingdoes not involveany improvements.on the Common Area,or if

thereisa decisionmade nottorepairorrestore,oriftherearenetfundsremainingafterany such

restorationor replacementiscompleted,thensuch award or netfundsshallbe disbursedtothe

Neighborhood Associationand used for such purposes as the Neighborhood Board shall

determine.

9.2. No Partition.Except as otherwisepermittedin thisNeighborhood Declaration,the

Common Area shallremainundividedand no personor entityshallbringany actionforthepartitionof

any portionof the Common Area without the writtenconsentof allOwners and Mortgagees. This

sectionshallnotbe construedtoprohibittheNeighborhood Board from acquiringand disposingoftitle

torealpropertywhich may or may not be subjecttothisNeighborhood Declaration.Owners may not

partitionany Unit.

ARTICLE 10

USE AND CONDUCT RESTRICTIONS AND REOUIREMENTS

In additiontotheuse restrictions,requirementsand permissionscontainedinArticle10 of the

Master Declaration,and thosewhich may be setforthelsewherein the Governing Documents, the

followinguse and otherrestrictionsshallapplytotheProperty,includingtheuse restrictionsrelatingto

Short-termRentalsassetforthinSection10.2.

10.1. General Use Restrictions.All of the Propertywhich issubjectto thisNeighborhoodDeclarationisherebyrestrictedtoresidentialdwellingsand buildingsinconnectiontherewith,includingbut notlimitedtocommunity buildingson theCommon Area,ifany. Allbuildingsor structureserected


on thePropertyshallbe ofnew constructionand no buildingsor structuresshallbe removed from other

locationsto theProperty.Afterthe initialconstructionof a Unit,no subsequentbuildingor structure

dissimilartothatinitialconstructionshallbe builton thatlot.No buildingor structureofa temporary

character,trailer,basement,tent,camper,shack,garage,barnorotheroutbuildingshallbe placedorused

on any portionofa lotatany time.Thereshallbe no directaccessfrom any lotorUnittothegolfcourse

thatabutstheProperty.No Owner may installa gateorallowany othermeans ofdirectaccesstothegolfcoursefrom theOwner's lotand Unit.

10.2. Use ofUnitsasShort-termRentals. Owners may renttheirUnitsasShort-termRentals.

Owners optingto renttheirUnitsas Short-termrentalsarerequiredto use the servicesof a property

management company thatis(1)licensedin accordancewith statelaw and localordinances,and (2)

approved by theNeighborhood Associationand theMaster Associationto manage Short-termRentals

within the Neighborhood. The Neighborhood Board shallestablishthe procedures,rules,and

regulationsforany Short-termRentals,includingcheck-in,accessto Unitsand common amenitiesand

facilities,etc.Any such procedures,rules,and regulationsmust be approved by theMasterAssociation.

The Owner shallat alltimesthe Unit isrentedassurecompliancewith the Master Declaration,the

GoverningDocuments, and any rulesand regulationsfortheProperty.

10.3. TimesharesProhibited.No Owner shallofferor sellany interestin hisUnit under a

"timesharing"or "intervalownership"plan.Thisprohibitionon timesharesdoesnot includeShort-term

RentalsasprovidedforinthisNeighborhood Declaration.

10.4. P_grkg.

(a) No motor vehiclewhich isinoperableshallbe allowed within the Property.There isno overnightparking on the privatestreetsin the Property. Any motor vehiclein

violationofthisrestrictionissubjecttoremovalby theNeighborhood Association,atthevehicle

owner'sexpense. Any vehiclethatatany time inhibitsthe flow oftrafficon thestreetsinthe

Propertyissubjecttoremoval by theNeighborhood Association,atthevehicleowner'sexpense.

Upon demand, theowner of thevehicleshallpay any expense incurredby theNeighborhoodAssociationinconnectionwiththeremovalofthatowner'svehicle.Ifthevehicleisowned by an

Owner, any amounts payabletotheNeighborhood Associationshallbe securedby theUnitand

the Neighborhood Associationmay enforcecollectionof said amounts in the same manner

providedforinthisNeighborhood Declarationforthecollectionofassessments.

(b) Ifparkingspacesaredesignatedon thePlatwithnumbers correspondingtoUnit

numbers, eachsuch spaceisfortheexclusiveuse oftheOwner with thecorrespondingnumber.

Ifparkingareasarenot designatedon thePlatwithUnitnumbers,theNeighborhood Board may

assignvehicleparkingspaceforeachUnit,ifapplicable.ParkingspaceswithinthePropertyshall

be used forparkingof motor vehiclesactuallyused by the Owner or theOwner's immediate

familyorguestsforpersonaluse,and notforcommercialuse.

(c) Recreationalvehicles,boats,traveltrailersand similarpersonalpropertyshall

notbe parked withinthePropertyunlessthereisa designatedRV parkingarea,or aspermitted

by ruleoftheNeighborhood Association.The Neighborhood Board may chargea feeforuse of

any RV parkingarea,which feeshalltakeintoaccountthereasonablecostsofmaintenanceand

repairassociatedwith theparkingarea.The feechargedforany such parkingshallconstitutea

NEIGHBORHOOD DECLARATION FOR SAND CovE AT LEDGEs EAST 21

lienupon theUnitoftheOwner usingsaidparkingand may be collectedby theNeighborhoodAssociationinthemanner providedforcollectionofany assessmentherein.

10.5. Commercial Activity.No commercialactivitiesofany kind whatevershallbe conducted

on any portionof the Property,includingany in-home businessas definedby localordinances.The

foregoingrestrictionsshallnot apply to the commercial activities,signsand billboards,ifany,of the

Declarantor itsagentsduringtheconstructionand salesperiodorby theNeighborhood Associationin

furtheranceof itspowers and purposes setforthin the Governing Documents, as the same may be

amended from timetotimeortoany on-sitepropertymanager under contracttoperformservicesforthe


10.6. Smoking. The Neighborhood Board isauthorizedto,by ruleor resolution,prohibittobaccosmoking withinoraround theCommon Areas and any otherportionoftheProperty,includingoutsideUnitsor on around LimitedCommon Areas (includingUnitpatios),when itisdeterminedthat

thesmoke orthesmellfrom thesmoking might filterordriftintootherUnitsorinterferewiththeuse and

enjoyment of the Propertyby otherOwners. In addition,the Neighborhood Board isauthorizedto

enforceand otherwisebringan actionfornuisanceunder theprovisionsof Title788,Chapter6 of the

Utah Code forand on behalfofany Owner againstany otherOwner or occupantwhose smoking creates

orconstitutesa nuisanceunder saidprovisionoftheUtah Code.

10.7. Petsand Animals.

(a) Restrictions.The Neighborhood Board has therighttoregulateand restrict,byrule,thekeepingand harboringofpetsand animalswithintheProperty,includingthekeepingand harboringofpetsand animalswithintheUnitsor on any Unit.Thisrightincludestherighttorestrictthetype,breed,or speciesofanimal,thenumber of animalswhich may be kept,the

areasinwhich theanimalsmay be keptor taken,and tocompletelyeliminatethekeepingand

harboringof pets. Untilsuch time as the Neighborhood Board adopts a policyexpressly

authorizingthekeepingof petsand animals,thesame shallbe prohibitedwithintheProperty.The Neighborhood Board may alsoestablishproceduralrulesand regulationsto implement its

ruleswhich shouldincludeprovisionsfornoticeand hearing,and therighttochargean impactfee which shallbe in accordancewith a schedule of feesadopted and publishedby the

Neighborhood Board from timetotime.Commercial breedingofpetsand animalsisprohibitedwithinthePropertyand may notbe allowedor authorizedby Neighborhood Associationruleor

resolution.

(b) Owner Responsibility.In the event the Neighborhood Board authorizesthe

keepingofpetsand animals,Owners must takedue caretoensurethattheirpetsand animalsdo

notmake excessivenoises,causeany offensivesmell,orcreateany physicalthreattothesafetyof

any otherOwner or personwithintheProperty,or thesafetyofany guests,tenants,or invitees,

particularlyamong children.Owners are responsiblefor any propertydamage, injury,or

disturbancethattheirpetmay causeor inflictanywhere withintheProperty.To theextentthe

Neighborhood Associationissubjectedor otherwiseexposed to any liability,claims,damages,costs,losses,orexpenseasa resultoftheactionsofan animal,theNeighborhood Associationhas

the rightto make a claim againstthe Owner. Owners shallindemnify the NeighborhoodAssociationfrom any claims,damages, or causesofactionthatarisefrom or otherwiserelateto


the conduct of theirpets. This indemnificationshallincludeany attorneyfees,costs,and

expensesincurredby theNeighborhood Association.

ARTICLE 11

LEASES AND LEASING

11.1, Purpose and Intentof Lease Restrictions.The purpose of thisArticleisto further

Declarant'sintentto protectthevalueand desirabilityof thePropertyas a harmonious and attractive

community by regulatingtheleasingofUnitswithintheProperty.Any leasewitha term oflessthansix

months isdeemed a Short-termRentaland issubjecttotheprovisionssetforthinSection10.22.

11.2. Notificationof Neichborhood Board. An Owner who entersintoa leaseor rental

agreementmust firstnotifytheNeighborhood Board inwritingand pay a refundablesecuritydepositnot

to exceed $1,000.00.A copy of any such leaseor rentalagreement must be submitted to the

Neighborhood Board within15 days afterexecution.Failuretoprovidenoticeand a copy oftheleaseto

the Neighborhood Board may resultin a fineof $250.00.An Owner must comply with theforegoingnoticeprovisionforeachtenantwithwhich itentersintoa leaseorrentalagreementand foreachrenewal

ofany existingleaseorrentalagreement.

11.3. LeasingRestrictions.SubjecttotheprovisionsofUtah Community AssociationAct,Utah

Code 6 57-8a-209,any leaseorrentalagreementshallbe inwritingand shallprovidethatthetermsofthe

leaseshallbe subjectin allrespectsto theprovisionsof thisNeighborhood Declarationand the other

Governing Documents and thatany failureby tenanttocomply withthetermsofsuch documents shall

be a defaultunder thelease.Unitsmay be leasedonlyintheirentirety.There shallbe no subleasingof

Unitsor assignmentofleaseswithoutpriorwrittenapprovaloftheNeighborhood Board. Any leaseor

rentalagreement,whetheran initialagreementorany renewalthereof,shallprovidefora minimum lease

term ofnot lessthansixmonths;providedhoweverthattheNeighborhood Board shallhave thepower to

allowleasesfora term oflessthansixmonths upon a showing by theOwner thatsucha leaseisrequiredtoavoidundue hardship,and may issueexemptionsforcertainUnitOwners asrequiredby law.

11.4. EnforcementAgainstOwner. Notwithstandingany otherrightsof enforcementunder

thisNeighborhood Declarationand otherGoverningDocuments, orby applicablelaw,theNeighborhoodAssociationmay impose a fine,nottoexceed50% oftheamount ofthemaximum annualassessment,on

theOwner, which shallconstitutealienupon suchOwner's Unit,foreachviolationby Owner's tenantof

thisNeighborhood DeclarationorotherGoverning Documents. Such fineshallbe imposed aftera 10-daynoticeisgiventotheOwner ofsuch violation.The Neighborhood Associationmay impose an additional

fineon theOwner foreach day such violationcontinuesafterthe10-daynoticeperiodprovidedherein,which additionalfinesshallconstitutealien upon such Owner's Unit. The Neighborhood Association

need notprovideany additionalnoticepriortofiningan Owner fora continuingviolation.Thereshallbe

added toany such finereasonableattorneyfeesand costsincurredby theNeighborhood Associationin

enforcingthisArticle.Any fineleviedpursuanttothisArticleshallbe recoverableby theNeighborhoodAssociationinthesame manner as an assessmentunder Article4,and shallcreatealieninfavorofthe

Neighborhood AssociationagainsttheOwner's Unitinthesame manner asan assessment.

11.5. Cumulative Nature ofRemedies. The remediesprovidedinthisArticlearecumulative

and inadditiontoany remediesprovidedinthisNeighborhood Declarationoratlaw orinequity.


11.6. AdministrativeFee. The Neighborhood Board may establisha monthly administrative

feethatitmay levyagainstOwners who leasetheirUnitsor do not occupy theirUnitsas a primaryresidence.The administrativefeeshallnot exceed20% of the amount of theannual assessment.The

Neighborhood Board shallprovide30 days priorwrittennoticeoftheamount ofsuchadministrativefee

priortolevyingthesame againstan Owner. The administrativefeeshallconstitutea specificassessment

againstsuchOwners.

ARTICLE 12

SAFETY AND SECURITY

Each Owner and occupantofa Unit,and theirrespectiveguestsand invitees,shallbe responsiblefortheirown personalsafetyand securityof theirpropertywithintheProperty.The NeighborhoodAssociationmay, but shallnot be obligatedto,maintainor supportcertainactivitieswithintheProperty

designedtoenhance thelevelof safetyor securitywhich each person providesfortheirselfand their

property,such as contractingwith a privatesecuritycompany or courtesypatrol. Neither the

Neighborhood Associationnor Declarantshallinany way be consideredinsurersorguarantorsofsafetyorsecuritywithintheProperty,nor shalleitherbe heldliableforany lossor damage by reasonoffailure

toprovideadequatesecurityorineffectivenessofsecuritymeasuresundertaken.

No representationor warrantyismade thatany systemsor measures,includingany mechanism

orsystemforlimitingaccesstotheProperty,cannotbe compromised orcircumvented,nor thatany such

systemsor securitymeasuresundertakenwillinallcasespreventlossor providedetectionor protectionforwhich thesystem isdesignedor intended. Each Owner acknowledges,understands,and shallbe

responsibleforinformingitstenantsand other-occupantsofhisUnitthattheNeighborhood Association,itsNeighborhood Board and committees,and Declarantarenot insurersor guarantorsof securityor

safetyand thateachpersonwithinthePropertyassumes allrisksofpersonalinjuryand lossordamage to

property,includingUnitsand theircontents,resultingfrom theactsofothers.

ARTICLE 13

EASEMENTS

These easementsare in additionto thosewhich may be setforthelsewherein the GoverningDocuments,orintheMasterDeclaration.

13.1. Police,Fireand Ambulance Service.An easement ishereby grantedto allpolice,fire

protection,ambulance servicesand allsimilarpersonstoenterupon thestreetsand Common Area and

LimitedCommon Area intheperformanceoftheirduties.

13.2. Maintenance by Neighborhood Association.An easement is hereby granted to the

Neighborhood Association,itsofficers,agents,employees and toany maintenancecompany selectedbytheNeighborhood AssociationtoenterinortocrossovertheCommon Area and LimitedCommon Area,ifany,and any Unittoperformthedutiesofmaintenanceand repair.

13.3. Owners' Easements of Enioyment. Every Owner has a rightand easement of use and

enjoyment inand totheCommon Area and LimitedCommon Area,ifany,which isdesignatedby the

Declarantfortheexclusiveuse ofan Owner's Unit.Thiseasementisappurtenanttoand passeswiththe


titletoeveryUnit,subjecttotheprovisionsoftheGoverning Documents and such rulesand regulations

adoptedby theNeighborhood Board.

13.4. Easement forDeclarant.The Declarantshallhave a transferableeasement over and on

theCommon Areas and facilitiesand utilitiesforthepurpose ofmaking improvements on thePropertyor on any additionalland under the Neighborhood Declaration,or any development, relatedor

unrelated,on land describedhereinor adjacenttothePropertyand forthepurpose of doing allthings

reasonablynecessaryand properinconnectionwiththesame.

13.5. Reservationof Easements by Declarant.The Declaranthereby reservesto itselfduringthe DeclarantControlPeriodtherightto reserveeasementsover,beneath,and through the Property,

includingover theCommon Area and LimitedCommon Area and relatedfacilities,forthepurpose of

making improvements toand developingthePropertyor on any additionalland submittedunder the

Neighborhood Declaration,includingbutnot limitedtoconstruction,marketing,installationand upkeepoflandscapingfeatures,entrancefeatures,projectsignage,streetlights,paths,trailsorsidewalksorother

facilitiesor thingsbenefitingtheProperty.The DeclarantreservestoitselfduringtheDeclarantControl

Periodtherighttomake any dedicationsand toreserve,grant,vacate,orterminateany easements,rights-

of-waysand licensesas may be reasonablyrequiredby any governmentalauthorityor tocarryout the

intentand design of the Declarant'splan for development of the Property,without compensationtherefor.

13.6. Easementsof Record. The easementsprovidedforinthisArticleshallinno way affect

any otherrecordedeasement.

13.7. Limitationson Easements.Inno eventshallany easementgrantedorreservedhereinbe

construedtoorhave theeffectofpermittingentryintotheinteriorportionofany Unit.

ARTICLE 14

SPECIAL DEVELOPMENT RIGHTS

14.1. Intentand Purpose of SpecialDevelopment Rights. In additionto any otherrights

granted or reservedto the Declarantin thisNeighborhood Declarationand the other GoverningDocuments, and notwithstandingany covenants,conditions,restrictions,orotherprovisionsoflimitation

withinthisNeighborhood Declaration,theDeclarant,asthedeveloperoftheProperty,isgrantedspecial

development rights.These combinationsofrightsmaximize theflexibilityoftheDeclaranttoadjustthe

sizeand mix ofthePropertytothedemands ofthemarketplacebefore,during,and afterdevelopmentof

theProperty.ThisNeighborhood Declarationshallbe liberallyconstruedtoadvance Declarant'srightsand interestindevelopingtheProperty.

14.2. ExpansionoftheProperty.The Declarantshallhave therighttoexpand thePropertyby

unilaterallysubjectingany AdditionalProperty,inwhole, in part,or in phases,to thisNeighborhoodDeclarationduringtheDeclarantControlPeriod.

(a) Expansion Procedure. The Declarantshallindicateitsintentto have such

AdditionalPropertybound by thisNeighborhood Declarationon the platof such Additional

Propertyand shallrecorda declarationofannexationorsupplementaldeclarationincludingand

subjectingsuch AdditionalProperty to thisNeighborhood Declaration. Thereafter,such

NEIGHBORHOOD DECLARATION FOR SAND COVE AT LEDGES EAST 25

AdditionalPropertyshallbe consideredas partof thePropertyinallrespects,and lotstherein

shallconstituteUnitsunder thisNeighborhood Declaration.

(b) Use of Expansion Property. Any AdditionalPropertyannexed heretoby the

Declarantshallbe exclusivelyforresidentialdwellings,architecturallycompatibletotheexisting

Units,similartotheUnitsalreadyconstructed,constructedout ofsimilarmaterials,with similar

Unitsize.The Declarantshallhave thesolediscretionastodevelopmentoftheCommon Area in

any expansionareaand may includeany facilitiesor amenitiesthereonthatDeclarantdeems

necessaryand suchCommon Areasshallbe owned by theNeighborhood Association.

14.3. Withdrawal ofProperty.So longasithastherighttoexpand theProperty,Declaranthas

therighttoremove any portionofthePropertywhich has not yetbeen improved with structuresfrom

the coverageof thisNeighborhood Declaration.The procedureforsuch withdrawal shallfollowthe

procedureforexpansionasprovidedinthisArticle.

14.4. No Obligationto Expand or Develop. Declaranthas no obligationto annex anyadditionallandtothePropertyortodeveloporpreserveany portionofadditionallandinany particular

way oraccordingtoany particulartimeschedule.

14.5, Municipal Zoning and SubdivisionApprovals. The Declarantshallhave the rightto

furthersubdividethePropertyand toapply forany zoningorsubdivisionapprovalsorpermitsfrom the

Cityof St.George,or any otherapplicablegovernmentalauthoritywith respecttothePropertyor any

adjacentpropertyowned by Declarant,whether or not such adjacentpropertyisannexed intothe

Property.Thisrightincludesbutisnotlimitedtoapplyingforand obtainingzoningpermits,subdivision

approvals,platapprovals,or approvalsto amend the Plator any plats.Further,exceptforany such

approvalthatwould (a)affecttitletotheOwner's Unit or (b)altertheboundariesof an Owner's Unit,eachOwner herebywaiveshisorherrighttoobjecttoany suchapprovalsoughtby Declarant,and,tothe

extenttheapprovaland consentofany Owner isrequiredunder stateor locallaw eachOwner agreesto

signtheapplicationorotherdocuments requiredforsuchaction.

14.6. Dedicationof Common Area. Notwithstandinganything to the contraryin this

Neighborhood Declaration,duringtheDeclarantControlPeriodtheDeclarantshallhave theunilateral

righttoconvey,transfer,sell,assign,orotherwisededicateallorpartofany Common Area totheCityof

St.George or such othergovernmentalentityor any thirdpartyas itdeems necessaryand appropriate.In the event the Common Area has alreadybeen conveyed to the Neighborhood Association,the

Neighborhood Associationshallapproveand joininthededication.

14.7. DeclarantBusiness,Marketing,and Sales. Notwithstandingany provisionsto the

contrarycontainedin thisNeighborhood Declarationor any otherGoverning Documents, itshallbe

expresslypermissibleforDeclarant,or itswrittendesignee,tomaintainsuch facilitiesand conductsuch

activitiesasinthesoleopinionofDeclarantmay be reasonablyrequired,convenientor incidentaltothe

constructionand saleof Units during the DeclarantControl Period,and upon such portionof the

PropertyincludinglotsorCommon Area,ifany,asDeclarantdeems necessary,includingbutnotlimited

to,a businessoffice,storageareas,constructionyard,signs,model unitsand salesoffices.As partofthe

overallprogram of development of the Propertyintoa residentialcommunity and to encourage the

marketingthereof,theDeclarantshallhave therightofuseofany Unitswhich have notbeen conveyed to


purchasersor any Common Area thereon,includingany Common Area,community buildings,without

chargeduringtheDeclarantControlPeriodtoaidinitsmarketingactivities.

14.8. AdditionalDevelopment Rights.The Declarantshallhave therightto (a)dedicateanyaccessroadsand streetsservingthePropertyforand topublicuse,tograntroad easementswith respecttheretoand toallowsuch streetor road tobe used by owners ofadjacentland;(b)convertany partor

portionofthePropertytoa differentregimeofresidentialownership;or(c)createordesignateadditional

Common Area orLimitedCommon Area withintheProperty.

14.9. Assianment of Declarant'sRights. Any and allrightsand powers of the Declarant

containedin thisNeighborhood Declarationand other Governing Documents may be delegated,transferredor assignedby the Declarant,in whole or in part. To be effective,any such delegation,transfer,or assignmentmust be inwriting,signedby Declarant,indicatetheextentand natureof such

assignment,and be recordedin the Officeof the Washington County Recorder. The assignmentmaylimitDeclarant'srightstoparticularmattersand reserverightstotheassigningDeclarant,assetforthin

theinstrumentofassignment.The DeclarantestablishedintheMasterDeclarationmust giveitswritten

approvalbeforeany assignmentofDeclarant'srights,inwhole orinpart,iseffective

ARTICLE 15

AMENDMENT

15.1. By Class A Members. Except as otherwise specificallyprovided herein,this

Neighborhood Declarationmay be amended, modified,extended,orrevoked,inwhole orinpart,by the

affirmativevoteor-writtenconsent,obtainedby writtenballotor otherwise,or any combinationthereof,of Owners representingat least67% of the EntireMembership in the Neighborhood Association.

Notwithstandingtheabove,thepercentageofvotesnecessarytoamend a specificprovisionshallnotbe

lessthan the prescribedpercentageof affirmativevotes requiredforactionto be taken under that

provision.

15.2. By Declarant.Declaranthas therighttounilaterallyamend, modify,extend,or revoke

thisNeighborhood Declarationforany purpose during the DeclarantControlPeriod,with or without

noticeto the Class A Members. Thereafter,Declarantmay unilaterallyamend thisNeighborhoodDeclarationifsuch amendment is necessary(a)to bring any provisionintocompliance with any

applicablegovernmentalstatute,rule,regulation,or judicialdetermination;(b)toenableany reputabletitleinsurancecompany to issuetitleinsurancecoverageon any Unit;(c)toenableany institutionalor

governmentallender,purchaser,insurer,or guarantorof mortgage loansto make, purchase,insure,or

guaranteemortgage loanson any Unit;(d)to satisfythe requirementsof any local,state,or federal

governmentalagency;(e)tobringtheNeighborhood Declarationintocompliancewith theprovisionsof

theMasterDeclaration;or (f)tocorrectany scrivener'serror.However, any such amendment occurringaftertheDeclarantControlPeriodshallnot adverselyaffectthetitletoany UnitunlesstheOwner shall

consentinwriting.Declarant'srightto amend shallbe construedliberallyand shallinclude,without

limitation,therighttoamend and/orrestatethisNeighborhood Declarationinpartorinitsentirety.

15.3. By theNeighborhood Board. The Neighborhood Board has theright,aftertheDeclarant

ControlPeriod,tounilaterallyamend thisNeighborhood Declarationifsuch amendment isnecessaryto

bring any provisionintocompliance with any applicablegovernmental statute,rule,regulation,or

judicialdetermination.


15.4. MasterAssociationApproval. Notwithstandinganythinghereintothecontrary,any and

allamendments tothisNeighborhood Declarationorany otherGoverning Documents must be approvedin writingby the Master Association.No amendment shallbe effectivewithout writtenMaster

Associationapproval.

15.5. . No amendment made duringtheDeclarantControlPeriodshallbe effective

unlessthe Declarantprovidesitspriorexpresswrittenconsentto such amendment, which consentis

withinDeclarant'ssoleand absolutediscretion.Any proceduralchallengetoan amendment made by the

Neighborhood Board must be made withinsixmonths of itsrecordationor such amendment shallbe

presumed to have been validlyadopted. In no event shalla change of conditionsor circumstances

operatetoamend any provisionsofthisNeighborhood Declaration.

15.6. EffectiveDate. Unless a latereffectivedate is specifiedin the amendment, anyamendment shallbe immediatelyeffectiveupon recordingin the officeof the Washington CountyRecorder a copy of such amendment accompanied by a verifiedcertificateof the Secretaryof the

Neighborhood Associationstatingthattherequirednumber ofvotesorconsentswas obtainedand thata

recordofsuchvotesor originalsoftheconsentswillbe placedon fileintheNeighborhood Association's

office.Inthecaseofunilateralamendment by Declarantasprovidedforherein,suchamendment shallbe

immediatelyeffectiveupon recordingin theofficeof theWashington County Recordera copy of such

amendment signedand verifiedby theDeclarant.

ARTICLE 16

ENFORCEMENT

16.1. ViolationsDeemed a Nuisance.EveryviolationofthisNeighborhood Declarationoranyrule,regulation,or resolutionestablishedpursuanttotheauthorityofthisNeighborhood Declarationis

deemed a nuisanceand issubjectto allthe remediesprovided forthe abatementor correctionof the

violationprovidedforinthisNeighborhood Declaration,any rule,regulation,orresolution,orby law or

equity.

16.2. LegalActionAuthorized. The Neighborhood Association,through the NeighborhoodBoard,theDeclarant,and any Owner, shallhave therightto enforce,by any proceedingatlaw or in

equity,allprovisionsofthisNeighborhood Declarationor any rule,regulation,or resolutionestablished

pursuant to the authorityof thisNeighborhood Declaration,includingallchargesand liensnow or

hereafterimposed pursuant to the authorityof thisNeighborhood Declaration,againstany person,

persons,or entitiesviolatingor attemptingtoviolateany provisionofthisNeighborhood Declarationor

any rule,regulation,or resolutionestablishedpursuant to the authorityof this NeighborhoodDeclaration,torestrainor abateor otherwiserecoverdamages fortheviolation,and againstthelandto

enforceany chargeor liencreatedby thisNeighborhood Declaration.In additiontotakinglegalaction,theDeclarantand theNeighborhood Board shallhave therighttograntvariancesand stayenforcement

proceedingsagainstany Owner on a case-by-casebasiswhen theydeterminesuch actionisinthebest

interestsoftheNeighborhood Association.

16.3. Finesand Penalties.The Neighborhood Board may levya fineor penaltyagainstanyOwner when saidOwner, or the Owner's guests,tenantsor inviteesfailto refrainfrom violatingthis

Neighborhood Declarationor any rule or regulationestablishedpursuant to the authorityof this

Neighborhood Declaration.Such fineorpenaltyshallbe inan amount thatisspecificallyprovidedforin


a fine schedule adopted, and amended from time to time, by the Neighborhood Board. The

Neighborhood Board may establishtimeframesand requirementsforwrittennotice,hearings,and cure

periods(inaccordancewithUtah Code Ann $ 57-8a-208forOwners inviolationpriortolevyingsuchfine

orpenalty,which noticeshallbe atleast48 hours.Any fineorpenaltyleviedby theNeighborhood Board

thatisnot paid within30 days (suchtime period shallbe stayedshould the Governing Documents

requireany period to cure or for noticeand hearing)shallbe recoverableby the NeighborhoodAssociationinthesame manner as an assessmentunder Article4,and shallcreatealieninfavorofthe

Neighborhood AssociationagainsttheOwner's Unitinthesame manner asan assessment.

16.4. AttorneyFeesand Costs.Any fineor penaltyleviedagainstan Owner forany violation

shallincludeany attorneyfeesand costsincurredby theNeighborhood Associationwithrespecttosuch

violation.The prevailingpartyin any actionto enforcethisNeighborhood Declarationor any ruleor

regulationestablishedpursuanttotheauthorityofthisNeighborhood Declarationshallbe entitledtoan

award ofreasonableattorneyfeesand costsincurredinsuchaction.

16.5. NonexclusiveRemedies. AlltheremediessetforthinthisNeighborhood Declarationare

cumulativeand not exclusiveto any othersprovided elsewherein the Governing Documents, the

Community AssociationAct,orby otherapplicablelawsand ordinances.

16.6. Non-Liability.The Neighborhood Board, officers,or Members of the NeighborhoodAssociationshallnot be liableto any Owner, tenant,member or otherindividualfora mistake in

judgment,or forany negligenceor non-feasancearisingin connectionwith the performanceor non-

performanceofdutiesunder theGoverningDocuments ortheCommunity AssociationAct.

16.7. Arbitration:Mediation. The Neighborhood Board may, by ruleor resolution,establish

procedures for mandatory mediation or arbitrationto settledisputesbetween and among the

Neighborhood Associationand Owners. Any suchruleorresolutionshalloperateprospectivelyonly.

ARTICLE 17

GENERAL PROVISIONS

17.1. Implied Rights:Neighborhood Board Authority.The Neighborhood Associationmayexerciseany rightor privilegegiventoitexpresslyby theGoverning Documents, or reasonablyimpliedfrom or reasonablynecessaryto effectuateany such rightor privilege.All rightsand powers of the

Neighborhood Associationmay be exercisedby the Neighborhood Board without a vote of the

membership exceptwhere applicablelaw or theGoverning Documents specificallyrequirea voteofthe

membership.

17.2. DisclaimerofLiability.The Neighborhood Associationshallnotbe liableforany failure

of servicesto be obtainedby theNeighborhood Associationor paid foras a Common Expense,or for

personalinjuryor propertydamage causedby theelements,any Owner, or any otherpersonresultingfrom electricity,water,snow, oricewhich may leakorflowfrom oroverany ofthePropertyorfrom any

pipe,drain,conduit,appliance,or equipment,or any secondaryor consequentialdamages of any type.No diminution,offset,or abatementofany assessmentshallbe claimedor allowedforinconvenienceor

discomfortarisingfrom themaking of repairsor improvements to thePropertyby theNeighborhoodAssociationor from any actiontaken by the Neighborhood Associationto comply with any law,

ordinance,orwiththeorderordirectiveofany governmentalauthority.


17.3. Dates and Times. In computing any period of time prescribedor allowed by the

Governing Documents, the day of the act,event,or defaultfrom which thedesignatedperiodof time

beginstorun shallnotbe included.The lastday oftheperiodso computed shallbe included,unlessitis

a Saturday,a Sunday, or a stateor federalholiday,inwhich eventtheperiodrunsuntiltheend of the

nextday thatisnota Saturday,a Sunday,ora stateorfederalholiday.The deadlineofthelastday ofthe

periodsocomputed shallbe 5:00P.M.,Mountain Time.

17.4, InterpretiveConflicts.In theeventofany conflictbetween theprovisionsofany ofthe

Governing Documents, thedocuments shallcontrolinthefollowingorderofauthority:(1)thePlat;(2)

Neighborhood Declaration;(3)the Articles;(4)theBylaws;and (5)any rule,regulation,or resolution

passed pursuantto the authorityof the foregoingdocuments. A conflictexistswhen two provisions

coveringthesame subjectmatterhave differentconditionsorrequirementsthatcannotbe reconciled.In

the eventof a conflictbetween the Neighborhood Declarationand theMaster Declaration,theMaster

Declarationshallgovern,unlesstheMasterAssociationgivesapprovaltoa more restrictiveprovisionin

theNeighborhood Declaration.

17.5. Effectof Master Declaration. Notwithstanding anything in this NeighborhoodDeclarationtothecontrary,theGoverning Documents, theUnits,theNeighborhood Association,and all

Owners and Members aresubjectand subordinateto theMaster Declaration,theMaster Association's

articlesofincorporation,bylaws,architecturalcommitteeguidelines,and rulesand regulationsadopted

by theMasterAssociation.

17.6. Severability.Allofthetermsand provisionsofthisNeighborhood Declarationshallbe

construedtogether,but ifany one ofsaidtermsand provisions,or any partthereof,shallatany timebe

heldinvalid,orforany reasonbecome unenforceable,no othertermsand provisions,orany partthereof,shallbe therebyaffectedor impaired;and theDeclarant,Neighborhood Associationand Owners, their

successors,heirsand assignsshallbe bound by each term and provisionof thisNeighborhoodDeclaration,irrespectiveoftheinvalidityorenforceabilityofany otherterm orprovision.

17.7. Duration.The covenants,conditions,restrictions,and easementsof thisNeighborhoodDeclarationshallrun with and bind theProperty,and shallinuretothebenefitofand be enforceablebytheNeighborhood Association,ortheOwner ofany UnitsubjecttothisNeighborhood Declaration,their

respectivelegalrepresentatives,heirs,successors,and assignsfora term of twenty (20)yearsfrom the

datethisNeighborhood Declarationisrecorded,afterwhich timesaidcovenantsshallbe automaticallyextendedforsuccessiveperiodsoften(10)years.

17.8. Notices. Any noticerequiredto be sentunder the provisionsof thisNeighborhoodDeclarationshallbe deemed to have been properlysent when depositedin the U.S. Mail,postage

prepaid,tothelastknown addressofthepersonwho isentitledtoreceiveit.The Neighborhood Board

may, by resolution,adopt a policyfornotificationviaelectroniccommunication ortransmission(suchas

e-mail)to Owners in lieuof noticeby mail. In addition,the Neighborhood Board may requirethat

Owners maintain a current e-mail address with the Neighborhood Board for such purpose.

Notwithstandingtheseprovisions,a Unit Owner may, by writtendemand, requirethe NeighborhoodAssociationtoprovidenoticetotheUnitOwner by mail.

17.9. Gender and Grammar. The singular,wherever used herein,shallbe construedtomean

the pluralwhen applicable,and the necessarygrammaticalchanges requiredto make the provisions


hereofapplyeithertocorporationsorindividuals,men orwomen, shallinallcasesbe assumed asthoughineachcasefullyexpressed.

17.10. Waivers. No provisioncontainedinthisNeighborhood Declarationshallbe deemed to

have been waived by reasonofany failuretoenforceit,irrespectiveofthenumber ofviolationswhich

may occur.

17.11. TopicalHeadings. The topicalheadingscontainedinany article,section,orsubsectionof

thisNeighborhood Declarationareforconvenienceonlyand do notdefine,limit,orconstruethecontents

ofthisNeighborhood Declarationorany provisionhereof.

NEIGHooRHooo DECLARATION FOR SAND CovE AT LEDGES EAST 31

IN WI NESS WHEREOF, theundersigned,astheDeclarantherein,hashereuntosetitshand this

day of ( N /Y ,2016.

DECLARANT

By

STATE OF UTAH )

)ss.

COUNTY OF WASHINGTON )

The foregoinginstrumentwas acknowledged beforeme this day of

2016,by BrettBurgess,asManager ofThe LedgesatSnow Canyon LLC.

DAWN LEETIATIANotaryPublicStateofUtah

PUBLIC Comm.No.681515MyComm.ExpiresFeb16,2019

NEIGHBORHOOD DECLARATION FOR SAND CovE AT LEDGEs EAsT 1

CONSENT OF MASTER ASSOCIATION

The foregoingNeighborhood Declarationhasbeen reviewedinaccordancewithSection2.1ofthe

MasterDeclaration.The undersigned,beingtheMasterAssociationgoverningthePropertydescribedin

Exhibit"A", above,which Propertyisbeing developedby Ledges Management and Planning,LLC, a

Utah limitedliabilitycompany asDeclarant,herebyapprovestheform and consentstotherecordingof

the Neighborhood DeclarationforSand Cove at Ledges East (the"Neighborhood Declaration")and

furtherconsentsto the operationand effectof allcovenants,conditions,restrictionsand terms of said

Neighborhood DeclarationasitrelatestotheProperty.

DATED thisAqay of St-T&&.eet2016.

Ledges EastMaster Owners Association

a Utah non-profitcorporation

By

STATE OF UTAH )

)ss.

COUNTY OF WASHINGTON )

The for instrumentwas acknowledged beforeme this day of ,C 70/& ,

2016,by ////e //mw r ,asthePresidentofLedgesEastMasterOwners Association.

NOTARY PUBLIC

JEREMY LHIATTNOTARY PUBLICSTATEOF UTAH

COMMISSION#686967MY COMMISSIONEXPIRESON

FEBRUARY15.2020

STG 570498.1

EXHIBIT "A"

BEGINNING AT THE NORTHEAST CORNER OF THE LEDGES OF ST. GEORGE WHITE

ROCKS - PHASE 2 SUBDIVISION AS RECORDED AND ON FILE WITH THE WASHINGTON

COUNTY RECORDER'S OFFICE, SAID POINT BEING SOUTH 88048'45"EAST ALONG THE

SECTION LINE, A DISTANCE OF 1976.173FEET AND SOUTH 1030.573FEET FROM THE

NORTHWEST CORNER OF SECTION 26,TOWNSHIP 41 SOUTH, RANGE 16 WEST, SALT

LAKE BASE AND MERIDIAN, AND RUNNING THENCE SOUTH 75001'16"EAST 111.004

FEET, TO A POINT ON THE SOUTHERLY BOUNDARY OF THAT CERTAIN WARRANTY

DEED RECORDED NOVEMBER 19,2014,AS ENTRY NO. 20140035390 IN THE

WASHINGTON COUNTY RECORDER'S OFFICE; THENCE ALONG SAID SOUTHERLY

BOUNDARY THE FOLLOWING (3)THREE COURSES: (1)SOUTH 73024'07"EAST 77.416

FEET; (2)SOUTH 81030'40"EAST 73.760FEET; AND (3) SOUTH 73024'O7"EAST 14.241FEET;

THENCE SOUTH 78038'36"EAST 149.512FEET; THENCE SOUTH 87009'04"EAST 174.950

FEET; THENCE NORTH 84041'11"EAST 190.345FEET; THENCE SOUTH 86005'55"EAST

61.443FEET; THENCE SOUTH 77056'31"EAST 91.621FEET; THENCE SOUTH 04035'13"WEST

270.155FEET; THENCE SOUTH 34'41'04"WEST 562.912FEET TO A POINT ON THE ARC OF

A NON-TANGENT CURVE, (RADIUS POINT BEARS NORTH 27020'36"WEST); THENCE

ALONG THE ARC OF A 347.500FOOT RADIUS CURVE TO THE RIGHT, THROUGH A

CENTRAL ANGLE OF 81003'20",A DISTANCE OF 491.604FEET TO A POINT OF REVERSE

CURVATURE; THENCE ALONG THE ARC OF A 452.500FOOT RADIUS CURVE TO THE

LEFT, THROUGH A CENTRAL ANGLE OF 20055'30",A DISTANCE OF 165.258FEET TO A

POINT ON THE ARC OF A NON-TANGENT CURVE, (RADIUS POINT BEARS NORTH

81014'48"WEST), SAID POINT ALSO BEING AN EASTERLY BOUNDARY CORNER OF THE

LEDGES OF ST. GEORGE WHITE ROCKS - PHASE 3 SUBDIVISION, AS RECORDED AND

ON FILE WITH THE WASHINGTON COUNTRY RECORDER'S OFFICE; THENCE ALONG

THE EASTERLY BOUNDARY OF SAID SUBDIVISION AND THE EASTERLY BOUNDARY

OF THE LEDGES OF ST. GEORGE WHITE ROCKS - PHASE 1 SUBDIVISION, AS RECORDED

AND ON FILE WITH THE WASHINGTON COUNTRY RECORDER'S OFFICE THE

FOLLOWING (4)FOUR COURSES: (1)RUNNING NORTHERLY ALONG THE ARC OF A

305.000FOOT RADIUS CURVE TO THE LEFT, THROUGH A CENTRAL ANGLE OF 24024'59",

A DISTANCE OF 129.974FEET TO A POINT OF REVERSE CURVATURE; (2)RUNNING

NORTHERLY ALONG THE ARC OF A 470.000FOOT RADIUS CURVE TO THE RIGHT,

THROUGH A CENTRAL ANGLE OF 24047'00",A DISTANCE OF 203.299FEET; (3)NORTH

09007'13"EAST 120.935FEET; AND (4)NORTH 09006'13"WEST 178.846FEET TO THE POINT

OF BEGINNING.

CONTAINS 591,643SQ. FT.,(13.582ACRES)

STG 570498.1