WQ0018992_More Information (Received)_20200828

Zhong, Vivien
From:
Terry Barbour <[e-mail]>
Sent:
Friday, August 28, 2020 5:14 PM
To:
Zhong, Vivien
Subject:
[External] Southwinds Application # WQ0018992
Attachments:
Scan_20200828 (2).pdf, Soutwinds Bylaws.pdf, Southwinds Dec.pdf, Articles
Southwinds.pdf
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Hello Vivien,
Please see attached.
Coordinates for monitoring wells, you should have a site map on fill.
MW 1 34.69592 76.70397
MW 2 34.69576 76-70274
MW 3 34.69505 76.70304
Setback, Waivers, Easement, and Leases: There have been no changes since the last permit.
If you need a new operational agreement then I need to have one sent to me.
Finding forms are not easy on your website.
Terry K Barbour
Association Manager
Southwinds HOA
1

FILED ARTICLES OF INCORPORATION
00
t MAY *,Z kM'%j of
T W A D E U F,EPLACE AT THE BEACH - ATLANTIC BEACH, INC.
CRETARY OF STATE
1411RT11 CAROL n
the undersigned natural persons of the age of
eighteen (18) years or more, do make and acknowledge these
Articles of Incorporation for the purpose of forming a
non-profit corporation under and by virtue of the Laws of the
State of North Carolina.
ARTICLE I. The name of the Corporation is A Place
at the Beach - Atlantic Beach, Inc.
ARTICLE II. The period of duration of the
Corporation is perpetual.
ARTICLE III. The purposes for which the Corporation
is organized are:
(a) to operate and maintain buildings and property
to be used as condominium residences as defined in Chapter 47A
of the General Statutes of North Carolina;
(b) to buy, sell, mortgage, and hypothecate real,
personal and mixed property in order to carry out the purposes
of operating condominium facilities including recreational
facilities associated with said condominium use;
(c) to do such other and further acts necessary to
operate, maintain and improve properties used for condominium
purposes.
ARTICLE IV. The Corporation shall have members
which may be divided into such classes as shall be provided in
the bylaws. All members shall be accepted, appointed, elected
or designated in the manner provided in the bylaws.
ARTICLE V. The directors of the Corporation shall
be elected by the members in the manner provided in the
bylaws.
ARTICLE VI. No part of the net earnings of the
Corporation shall inure to the benefit of any officer,
director or member of the Corporation; and upon dissolution of
the Corporation, the assets thereof shall, after all of the

- 2 -
liabilities and obligations have been discharged or adequate
provision made therefore, be distributed to any association or
associations organized for purposes similar to those set forth
in Article III hereinabove, all as more particularly provided
by the bylaws of the Corporation.
ARTICLE VII. So long as Sands Investments No. 2,
Inc., a South Carolina Corporation, is a member of the Cor-
poration by reason of its owning units in the project known as
A Place at the Beach - Atlantic Beach, located on Bogue Banks,
Carteret County, North Carolina, said Sands Investments No. 2,
Inc. shall have the absolute right to sell, lease or assign
any of said units which it may own or control to any natural
person or other legal entity and upon such terms and
conditions as it shall deem to be in its own best interest,
and the approval by Sands Investments No. 2, Inc. of any
purchaser or tenant of any such condominium unit owned or
controlled by it shall be binding upon this Corporation and
its Board of Directors, and this Corporation shall be required
to recognize any such purchaser or tenant and shall perform
the necessary acts to validate all such transfers, sales and
assignments made by Sands Investments No. 2, Inc. of any unit
or units which it owns or controls. This right granted unto
Sands Investments No. 2, Inc. shall only terminate and expire
at such time as Sands Investments No. 2, Inc. no longer
retains any interest in any unit in the project known as A
Place at the Beach - Atlantic Beach and the provisions hereof
relating to the above right granted unto Sands Investments No.
2, Inc. may not be modified or amended in any way without the
express written consent of Sands Investments No. 2, Inc. being
first had and obtained.
ARTICLE VIII. The Address of the initial registered
office of the Corporation in the State of North Carolina is
105 North loth Street, Morehead City, North Carolina, County
of Carteret; and the name of the initial registered agent at
such address is H. Buckmaster Coyne, Jr.

- 3 -
ARTICLE IX. The number of directors constituting
the initial Board of Directors shall be three (3) and the
names and addresses of the persons who are to serve as the
initial directors are:
NAME ADDRESS
H. BUCKMASTER COYNE, JR. 105 N. 10th St.
Morehead City, N. C.
KENNETH M. KIRKMAN 105 N. 10th St.
Morehead City, N. C.
ARTICLE X. The names and addresses of the
Incorporators are:
NAME ADDRESS
H. BUCKMASTER COYNE, JR. 105 N. 10th St.
Morehead City, N. C.
KENNETH M. KIRKMAN 105 N. 10th St.
Morehead City, N. C.
IN WITNESS WHEREOF, we, have hereunto set our hands
and seals this llth day of Ma
STATE OF NORTH CAROLINA
COUNTY OF CARTERET
I, CATHY L. BALLARD , a notary public of the afore-
said County and State do hereby certify that H. Buckmaster
Coyne, Jr., and Kenneth M. Kirkman personally appeared before
me this day and acknowledged the due execution of the fore-
going Articles of Incorporation.
WITNESS my hand and notarial seal this llth day of
May, 1977.
Notary PUblic
�h4iiAfssion Expires:
Y: Com

Prepared By and Retum to:
MASON & MASON, PA.
EXHIBIT TO DECLARATION OF UNIT OWNERSHIP
RESTATED BY-LAWS OF
"A PLACE A'T. THE BEACH - ATLANTIC BEACH INC."
ARTICLE I
PLAN OF UNIT OWNERSHIP
1. The property described in the original Declaration of Unit
Ownership for A Place at the Beach - Atlantic Beach, as amended has
been submitted to the provisions of Chapter 47A of the North
Carolina General Statutes by said Declaration as the same relates
to Phases I, II, III, and IV, and these By -Laws and any Amendments
thereto shall apply to' said Phases I, II, III, and IV of said
property. "A Place at the Beach - Atlantic Beach" (hereinafter
referred to as the Condominium) consisted, initially,of Phase I as
shown on the plats recorded with the said original Declaration, and
on the exercise of the options of the Declarant, by respective
Amendments to the Declaration, shall also refer to Phase II, Phase
III, and Phase IV of said recorded plat.
2. The provisions of these By -Laws are applicable to the
property of the Condominium, initially Phase I, and later as to
Phase II, Phase III, and Phase IV, as the Declarant incorporated
Phase II, Phase III, and Phase IV by appropriate Amendment. The
term "property" as -used herein shall include the lands, buildings
and all improvements thereon (including the units, the common areas
and facilities and the limited common areas and facilities), owned
in fee simple absolute, and all easements, rights and appurtenances
belonging thereto, and all other property, personal or mixed,
intended for use in connection therewith, all of which were
submitted to the provisions of Chapter 47A of the North Carolina
General Statutes in the manner prescribed by the Declaration; as
amended, as to Phase I, II, III, and IV of said Condominium. ,
3. All present and future owners, mortgagees, lessees and
occupants of units and their employees, and any other persons who
may use the facilities of the property in any manner, are subject
to the Declaration, these By -Laws and Rules and Regulations made
pursuant hereto ind any Amendment to these By -Laws upon the same
being passed and duly set forth in the minutes of "A Place at the
Beach - Atlantic Beach, Inc." when duly recorded in the Office of
the Register of Deeds, Carteret County, North Carolina.
The acceptance of a deed of conveyance or the entering into of
a lease or the act of occupancy of a unit shall constitute an
agreement that these By -Laws (and any Rules and Regulations made
BGC1N q& PAGt__L-. D��

pursuant hereto) and the provisions of the Declaration, as they may
be amended from time to time, are accepted, ratified and will be
complied with.
ARTICLE II
MEMBERSHIP AND VOTING RIGHTS
1. All persons, firms, partnerships and corporations who shall
become owners of any unit or units within "A Place at the Beach -
Atlantic Beach" shall automatically become members of "A Place at
the Beach - Atlantic Beach, Inc.", a Corporation, and shall be
entitled to voting rights as hereinafter set forth.
2. There shall be one person with respect to each unit
ownership who shall be entitled to vote at any meeting of the unit
owners. Such person shall be known and hereafter referred to as the
"voting member". Such voting member may be the owner'or one of the
group composed of all of the owners of a unit or may be some person
designated by such owner or owners to act as proxy on his or their
behalf and who need not be an owner. Such designation shall be made
in writing to the Board and shall be revocable at any. time by
written notice to the Board by the owner or owners and the Board
shall note such revocation, when received, in the minutes of the
Board of Directors. Each voting member (including the Board of
Governors and SANDS INVESTMENTS NO. 2, INC., or its respective
designees, if either shall then hold title to one or more units)
shall be entitled to one vote, that is to say, there shall be one
vote per unit.
Any representative of SANDS INVESTMENTS NO. 2, INC. serving on
the Board of Governors, shall not be required to disqualify himself
upon any vote upon any management contract or other matter between
SANDS INVESTMENTS NO. 2, INC. and the Association, where SANDS
INVESTMENTS NO. 2, INC., may have a pecuniary or other interest.
Similarly, SANDS INVESTMENTS NO. 2, INC., as a member of the
Association, shall not be required to disqualify itself in any vote
which may come before the membership of the Association upon any
management contract or other matter between SANDS INVESTMENTS NO.
2, INC., and the'Association where SANDS INVESTMENTS NO. 2, INC.,
may have a pecuniary or other interest.
3. In all elections for members of the Board of Governors,
each voting member shall be entitled to vote on a cumulative voting
basis and the candidates receiving the highest number of votes with
respect to the number of offices to be filled shall be deemed to be
elected.
BOOK nl lG PAGE �/-a --

3
4. Any unit owner may, at any time, waive notice of any
meeting of the unit owners in writing, and such waiver shall be
deemed equivalent to, the giving of such notice. Attendance by a
unit owner at any meeting of the unit owners shall constitute a
waiver of notice by him of the time and place thereof except where
a unit owner attends,a meeting for the express purpose of objecting
to the transaction of any business because the meeting was not
lawfully called. If all the voting members are present at any
meeting of the unit owners, no notice shall be required and any
business may be transacted at such meeting.
5. Any action which may be taken at a meeting of the unit
owners may be taken without a meeting if a consent in writing,
setting forth the action so taken, shall be signed by ail of the
persons who would be entitled to vote upon such action at a meeting
(that is, the voting members, and filed with the Secretary of the
Condominium to be kept in the Condominium Minute Book.
6. If the annual meeting shall not be held on the day
designated by the By -Laws, a substitute annual meeting may be
called in accordance with the provisions of Section 7, of this
Article. A meeting so called shall be designated and treated for
all purposes as the annual meeting.
7. Special meetings of the unit owners may be called at any
time by the Board of Governors or upon the written request of the
unit owners owning at least twenty-five (25%) percent of the total
number of units.
8. Written or printed notice stating the place, day and hour
of the meeting shall be delivered or mailed not less than ten (10)
nor more than fifty (50) days before the date thereof, either
personally or by mail at the direction of the Board of Governors, or
voting members calling the meeting, to each person entitled to vote
at such meeting.
In the case of an annual or substitute annual meeting, the
notice of meeting need not specifically state the business to be
transacted thereat unless it is a matter other than the election of
Governors on which the vote of unit owners is expressly required by
the provisions of the North Carolina Unit Ownership Act. In the
case of a special meeting the notice of meeting shall specifically
state and set forth the purpose or purposes for which the meeting
is called.
When a meeting is adjourned for thirty (30) days or more,
notice of the: adjourned meeting shall be given as in the case of an
original meeting. When a meeting is adjourned for not less than
BOOK `16 PAGE 6 /A

thirty (30) days in any one adjournment, it is not necessary to
give any notice of the adjourned meeting other than by announcement
at the meeting at which the adjournment is effective.
9. The presence in person or by proxy at any meeting of 33
1/3% or more of the voting members (as defined in Article 2 of
these By -Laws) shall constitute a quorum, except that this quorum
requirement shall not affect higher voting requirements set out
elsewhere in the Declaration, the By -Laws or otherwise required by
law. Unless otherwise expressly provided herein, any action may be
taken at any meeting of the unit owners at which a quorum is
present upon the affirmative vote of the voting members having a
majority of the total votes present at such meeting. If there is no
quorum at the opening of the meeting of unit owners, such meeting
may be adjourned from time to time by the vote of a majority of the
voting members present, either in person or by proxy; and at any
adjourned meeting at which a quorum is present any business may be
transacted which might have been transacted at the original
meeting.
The voting members at a meeting at which a quorum is present
may continue to do business until adjournment, notwithstanding the
withdrawal of enough voting members to leave less than a quorum.
ARTICLE III
BOARD OF GOVERNORS
1. The business and property of the Condominium shall be
managed and directed by the Board of Governors or by such Executive
Committee as the Board may establish pursuant to these By -Laws.
2. The number of Governors of the Condominium shall be three
(3) to be elected by the unit owners at their initial meeting. The
size of the board of Governors may be increased or decreased.,from
time to time upon the affirmative vote of two-thirds of the total
votes of the voting members provided that said Board shall not be
less than three (3) in number. Effective December 16, 1978, and
until further changed as set out herein, the number of Governors
shall be five (5'). At the annual meeting in December 1978, five
Governors shall -be elected; those three receiving the highest
number of votes.lor a term'of two years and the remaining two for
a term of one year. In succeeding years, Governors will be elected
for terms of two years to replace those whose terms are expiring.
Each member of the Board shall be one of the owners or co-owner or
a spouse of an owner or co-owner of a unit; provided, however, that
in the event an owner is a Corporation, partnership, trust or other
legal entity other than a natural person or persons, then any
8 0 0 K_ 4/�� PAGF_ (��

5
officer or director of such Corporation, partner of such
partnership, beneficiary of such trust or manager of such other
legal entity, shall be eligible to serve as a member of the Board.
3. The Board of Governors shall elect a chairman and a vice
chairman, a secretary and a treasurer at the first meeting after
the annual meeting jof the unit owners, or at such time as the
death, resignation or disqualification of any of said officers so
requires.
4. Except as provided in Section 6. of this Article, the
Governors shall be elected at the annual meeting of unit owners;
and those persons who receive the highest number of votes shall be
deemed to have been elected.
5. Governors may be removed from office with or without cause
on affirmative vote of the voting members having a majority of the
total votes entitled to vote at an election of Governors. However,
unless the entire Board is removed, an individual Governor may not
be removed if the number of voting members voting against the
removal would be sufficient to elect a Governor, if such voting
members voted cumulatively at an annual election. If any Governors
are so removed, new Governors may be elected at the same meoting.
6. A vacancy occurring in the Board of Governors, including
Governorships not filled by the unit owners, may be filled by a
majority of the remaining Governors though less than a quorum, or
by the sole remaining Governor, but a vacancy created by an
increase in the authorized number of Governors shall be filled only
by election at an annual meeting or a special meeting of unit
owners called for that purpose. Voting members may elect a Governor
at any time to fill any vacancy not filled by the Governors.
7. The Board of Governors shall receive no compensation for
their services.
8. The Board of Governors may, by resolution adopted by a
majority of the number of Governors fixed by these By -Laws,
designate two or more Governors to constitute an Executive
Committee, which committee, to the extent provided in such
resolution, shall have and may exercise all of the authority of the
Board of Governors in the management of the Condominium.
9. The Board of Governors shall have the powers and duties
necessary for the administration of the affairs of the Condominium
and may do all such acts and things, except such acts as by law or
by the Declaration or by these by -Laws may not be delegated to the
Board of Governors. Such powers and duties of the Board of
Q I f
k3{)OK— L l�{IAG E (P/A

6
Governors shall include, but shall not be limited to, the
following:
a. Operation, care, upkeep and maintenance of the common areas
and facilities,
b. Determination of the common expenses required for the
affairs of the Condominium, including, without limitation, the
operation and maintenance of the property,
c. Collection of the common charges from the unit owners,
d. Employment and dismissal of the personnel necessary for the
maintenance and operation of the common areas and facilities,
e. The adoption and amendment of such reasonable rules and
regulations as it may deem advisable for the maintenance,
conservation, and beautification of the property 'and for the
health, comfort, safety and general welfare of the owners and
occupants of the property. Written notice of such rules and
regulations shall be given to all owners and occupants and the
entire property shall at all times be maintained subject to such
rules and regulations,
f. Opening of bank accounts on behalf of the Condominium and
designating signatories required therefor,
g. Purchasing or leasing 'or otherwise acquiring in the name of
the Corporation, or its designee, corporate or otherwise, on behalf
of unit owners, units offered for sale or lease or surrendered by
their owners to the Board as provided by the Declaration,
h. Purchasing of units at foreclosure or other judicial sales
in the name of the Corporation, or its designee, corporate or
otherwise, on behalf of all unit owners,
i. Selling, mortgaging, voting the votes appurtenant to or
otherwise dealing with units acquired by the Corporation or its
designee, corporate or otherwise, on behalf of all unit owners,
subject to the Declaration and other applicable restrictions,
j. Maintaining and repairing any unit, if such maintenance or `
repair is necessary in the discretion of the Board or is necessary
to enforce applicable restrictions designated to protect the common
areas and facilities of any other portion of the buildings, if an
owner of any 'unit has failed or refused to perform such maintenance
or repair within a reasonable time after written notice of the
necessity of said maintenance or repair has been delivered or

7
mailed by the Board to said owner, provided that the Board shall
levy a special assessment against such owner for the costs of said
maintenance or repair,,
k. Entering any unit when necessary in connection with any
maintenance or construction for which the Board is responsible
provided such entry shall be made during reasonable hours with as
little inconvenience to the owner as practicable, and any damage
caused thereby shall be repaired by the Board and such expense
shall be treated as a common expense,
1. Signing all agreements, contracts, deeds and vouchers for
expenditures as well as other instruments in such manner as from
time to time shall be determined by a written resolution 'of the
Board. In the absence of such determination by the Board, such
documents shall be signed by the Treasurer and countersigned by the
Chairman of the Board,
m. Obtaining of insurance for the property, including the
units, pursuant to the provisions of paragraph 18'' of the
Declaration,
n. Making of repairs, additions and improvements to or
alterations of the property, and repairs to and restoration of the
property in accordance with the other provisions of these By -Laws
and the Declaration, after damage or destruction by fire or'other
casualty, or as a result of condemnation or eminent domain
proceedings,
o. To enter into contracts with unit owners for the leasing of
the unit belonging to the unit owner to third parties under such
terms and conditions as are hereinafter set forth,
p. To collect as a part of the common expenses ad valorem
taxes based on the assessed value of each unit as determined for
tax purposes on real property and to pay the same to the taxing
authority of Carteret County and any other political subdivision
which may tax the real estate; provided, however, that the Board of
Governors shall not pay the personal property tax on each unit
owner's individual personal property contained within said unit as
a part of the common expense,
a
g. To establish the date, time and place of the annual meeting
of the Association, and
r. To establish a schedule of reasonable fees for the
furnishing of various financial information or copies of such
documents as minutes, Articles, the Declaration, or the By -Laws,
Boo 16L PAGE��

8
and to collect the same from owners to or for whom such services
are provided.
10. The Board of Governors for the Condominium may engage the
services of any person, firm or corporation to act as managing
agent at the compensation established by the Board, to perform such
duties and services as the Board of Governors shall authorize
including but not limited to those listed in subdivisions a, c, d,
j, k, m, n, o, and p.of Section 9. of this Article III. The Board
may delegate to the managing agent, all of the powers granted to
the Board of Governors by these By -Laws other than the powers set
forth in subdivisions b, e, f, g, h, i, and 1 of Section 9 of this
Article III; provided, however, the signing of vouchers for
expenditures as set forth in paragraph e may be delegated.
ARTICLE IV
MEETING OF GOVERNORS
1. The first meeting of the members of the Board of Governors
shall immediately follow the initial meeting of the unit owners. No
notice shall be necessary to the newly elected members of the Board
of Governors in order to legally constitute such meeting, providing
a quorum shall be present.
2. A regular meeting of the Board shall be held immediately
after, and at the Same place as the annual meeting or substitute
annual meeting of the unit owners. In addition, the Board of
Governors may provide by resolution the time and place either
within or without the State of North Carolina, for the holding of
a regular, meeting of the Board.
3. Special meetings of the Board of Governors maybe called, by
or with the request of the Chairman or by any two Governors. Such
meetings may be held either within or without the State of .North
Carolina.
4. Regular meetings of the Board of Governors may be held
without notice: The person or persons calling a special meeting of
the Governors shall, at least two days before the meeting, give
notice thereof bly any usual means of communication. Such notice
need not specify the purpose for which the meeting is called.
Attendance by a Governor at a meeting shall constitute a
waiver of notice of such meeting except where a Governor attends
the meeting for the express purpose of objecting to the transaction
of any business because the meeting was not lawfully called.
BOOK__11 P_ . PAGE—kZ2L_.

Z
5. Any member of the Board of Governors may, at any time,
waive notice of any meeting of the Board of Governors in writing,
and such waiver shall be deemed equivalent to the giving of such
notice. Attendance by a member of the Board at any meeting of the
Board shall constitute a waiver of notice by him of the time and
place thereof. If all the members of the Board of Governors are
present at any meeting of the Board, no notice shall be required
and any business may be transacted at such meeting.
6. A majority of the number of Governors fixed by these By -
Laws shall be required for and shall constitute a quorum for the
transaction of business at any meeting of the Board of Governors.
7. Except as otherwise provided in this section, the act of
the majority of the Governors present at a meeting at which a
quorum is present shall be the act of the Board of Governors.
A vote of a majority of the number of Governors fixed by the
By -Laws shall be required to adopt a resolution constituting an
Executive Committee. The vote of a majority of the Governors then
holding office shall be required to adopt, amend, or repeal a By -
Law, provided that no modification of or amendment to the By -Laws
shall be effective unless approved by a two-thirds majority of the
total votes of the voting members. Vacancies in the Board of
Governors may be filled as provided in Article III, Section 6, of
these By -Laws.
8. Bach meeting of the Board of Governors shall be presided
over by the Chairman of the Board.and in absence of the Chairman,
by any person selected to preside by vote of the majority of the
Governors present. The Secretary, or in his absence, an Assistant
Secretary, or in the absence of both the Secretary and the
Assistant Secretary any person designated by the Chairman of the
meeting, shall act as Secretary of the meeting.
9. Action taken by a majority of the Governors without a
meeting is nevertheless Board action if written consent to the
action in question is signed by all of the Governors and filed with
the minutes of the proceedings of the Board, whether done before or
after the action,so taken.
10. The Board shall keep minutes of its proceedings.
11. The Board of Governors shall require all officers and
employees of the Condominium handling or responsible for
Condominium funds to be covered by an adequate fidelity Bond. The
premiums on such bonds shall constitute a common expense.
l30U � PAGE� r

10
12. The officers and the members of the Board of Governors
shall not be liable to the unit owners for any mistake of judgment,
negligence, or otherwise except for their own individual willful
misconduct or bad faith. The unit owners shall indemnify and hold
harmless each of the members of the Board and the officers against
all liability to others arising out of acts or omissions of the
Board or officers on behalf of the Condominium, unless any such
acts or omissions shall involve bad faith or willful misconduct. It
is also intended that the officers and Governors shall have no
personal liability with respect to any contract made by them on
behalf of the Condominium, except to the extent they are unit
owner(s). It is also intended that the liability of any unit owner
arising out of any contract made by the Association or out of the
aforesaid indemnity in favor of the members of the Board or
officers shall be limited to such proportion of the total liability
thereunder as his interest in the common areas and facilities bears
to the interests of all the unit owners in the common areas and
facilities. Every agreement made by the Board or by' the managing
agent on behalf of the Condominium shall provide that the members
of the Board of Governors, officers, or the managing agent, as the
case may be, are acting only as agents for the unit owners, and
shall have no personal liability thereunder (except as unit
owners), and that each unit owner's liability thereunder shall be
limited to such proportion of the total liability thereunder as his
interest in the common areas and facilities bears to the interest
of all unit owners in the common areas and facilities.
ARTICLE V
OFFICERS
1. The principal officers of the Condominium Corporation ("A
Place at the Beach - Atlantic Beach, Inc.") shall consist of a
Chairman of the Board, a Secretary, a Treasurer, and such Vice
Chairmen, Assistant Secretaries, Assistant Treasurers and .other
officers as the Board of Governors may from time to time elect.' Any
two or more offices may be held by the same person except the
offices of Chairman and Secretary.
2. .The officers of the Condominium Corporation shall be
elected by and from the Board of Governors. Such elections may be
held at the regular annual meeting of the Board.
Each officer shall hold office for a period of one year or
until his death, resignation, retirement, removal, disqualifica-
tion, or unit his successor is elected and qualifies.

11
3. Any officer or agent elected or appointed by the Board of
Governors may be removed by the Board with or without cause; but
such removal shall be, without prejudice to the contract rights, if
any, of the person ao removed.
4. No officer shall receive any compensation from the
Condominium Corporation for acting as such.
5. The Chairman of the Board shall be the principal executive
officer of the Condominium Corporation and, subject to the control
of the Board of Governors, shall supervise and control the
management of the Condominium. The Chairman shall, when present,
preside at all meetings of the Board and of the unit owners and, in
general, shall perform all duties incident to the office of
Chairman of the Board and such other duties as may be prescribed
from time to time by the Board. _
6. The Vice Chairman, and if there be more than'one, the Vice
Chairman designated by the Board of Governors shall, in the absence
or disability of the Chairman, have thepowers and perform the
duties of said office. In addition, each Vice Chairmanshall
perform such other duties and have such other powers as.shall be
prescribed by the Chairman of the Board.
7. The Secretary shall keep accurate records of the acts and
proceedings of all meetings of unit owners and Governors., He shall
give, or cause to be given, all notices required by law and these
By -Laws. He shall have general charge of the minute books and
records of both the unit owners and the Board. He shall sign such
instruments as may require his signature and, in general, shall
perform all duties incident to the office of Secretary and such
other duties as may be assigned him from time to time by the
Chairman of the Board or by the Board of Governors.
B. The Treasurer shall have custody of all Condominium
Corporation funds and securities and shall receive, deposit or
disburse the same under the direction of the Board of Governors. He
shall keep full and accurate accounts of the finances of the
Condominium in books especially provided for that purpose. He shall
cause a true statement of its assets .and liabilities as of the
close of each fiscal year, and of the results of its operations and
of changes in surplus for such fiscal year, all in reasonable
detail, to be prepared and distributed to all unit owners,
institution holders of first mortgages (provided that owner -
mortgagors request the same and upon payment of a reasonable annual
charge by the mortgagor) and members of the Board of Governors on
or before the 15th day of the third month following the close of
each fiscal 'year. The statement so filed shall be kept available

12
for inspection by any unit owners for a period of three (3) years
and the Treasurer shall mail or otherwise deliver a copy of the
latest such statement to each unit owner annually on or before the
15th day of the third month following the close of the fiscal year.
The Treasurer shall also prepare and file all reports and returns
required by Federal, State or local law and shall generally perform
all other duties as may be assigned to him from time to time by the
Chairman of the Board or by the Board of Governors.
9. The Assistant Secretaries and Assistant Treasurers, if any,
shall, in the absence or disability of the Secretary and the
Treasurer, respectively, have all the powers and perform all of the
duties of those officers, and they shall, in general, perform such
other duties as shall be assigned to them by the Secretary or the
Treasurer, respectively, or by the Chairman of the Board or the
Board of Governors. i
ARTICLE VI
OPERATION OF THE PROPERTY
1. The Board of Governors shall from time to time, and at
least annually, prepare a budget for the Condominium, determine the
amount of the common charge payable by the unit owners to meet the
common expenses of the Condominium and allocate and assess such
common charges among the unit owners according to their respective
common interests. The common expenses shall include, among other
things, the cost of all insurance premiums on all policies of
insurance required to be or which have been obtained by the Board
of Governors pursuant to the provisions of the Declaration. The
common expenses may also include such amounts as the Board of
Governors may deem proper for the operation and maintenance of the
property, including, without limitation, an amount for working
capital of the Condominium, for a general operating reserve, for a
reserve fund for replacements, and to make up any deficit in, the
common expenses for any prior year. The common expenses may also
include such amounts as may be required for the purchase or lease
by the Corporation or its designee, corporate or otherwise, on
behalf of all unit owners, of any unit whose owner has elected to
sell or lease such unit or of any unit to be sold at a foreclosure
or other judicial sale. The Board of Governors shall advise all
unit owners, promptly in writing, of the amount of common charges
payable by each of them, respectively, as determined by the Board
of Governors, as aforesaid, and shall furnish copies of each budget
on which such common charges are based, to all unit owners and to
their mortgagees (if requested).
OOOK PAGE

13
2. All unit owners shall be obligated to pay the common
charges assessed by the Board of Governors pursuant to the
provisions of Section l of this Article VI at such time or times as
the Board shall determine.
No unit owner shall be liable for the payment of any part of
the common charges assessed against his unit subsequent to a sale,
transfer or other conveyance by him (made in accordance with the
provisions of the Declaration and applicable restrictions of
record) of such unit, together with his interest in the common
areas and facilities (and Limited Common Areas) as defined in the
Declaration. A purchaser of a unit shall be individually liable for
the payment of common charges assessed against such unit prior to
the acquisition by purchaser of such unit without prejudice to the
purchaser's right to recover from the seller the amounts paid by
the purchaser therefor. Provided that a mortgagee or other
purchaser of a unit at a foreclosure sale of such unit shall not be
liable for and such unit shall not be subject to alien for the
payment of common charges assessed prior to the foreclosure sale.
Such unpaid common charges shall be deemed to be common charges
collectible from all the unit owners including such purchaser, his
successor and assigns.
3. The Board of Governors shall assess common charges against
the unit owners from time to time and at least annually and shall
take prompt action to collect any common charge due from any unit
owner which remains, unpaid for more than 30 days from the date due
for payment thereof.
4. In the event of default by any unit owner in paying to the
Corporation the common charges as determined by the Board such unit
owner shall be obligated to pay interest at such reasonable rate as
the Board may determine from time to time on such common charges
from the due date thereof, together with all expenses, including
attorneys fees, incurred by the Board in any proceeding brought to
collect such unpaid common charges. The Board shall have the right
and duty to attempt to recover such common charges, together with
interest thereon, and the expenses of the proceeding, including
attorneys fees, in any action to recover the same brought against
such unit owner, nr by foreclosure of the lien on such unit in like
manner as a deed of trust or mortgage of real property with a power
of sale. ;
5. In any action brought by the Board to foreclose on a unit
because of unpaid common charges, the unit owner shall be required
to pay a reasonable rental for the use of his unit from the date of
default and '.the plaintiff in such foreclosure action shall be
entitled to the appointment of a receiver to collect the same. The'
BOOK 91� _ PAGE � rc _

19
Board, acting on behalf of all unit owners, if so instructed, shall
have the power to purchase such unit at the foreclosure sale and to
acquire, hold, lease,, mortgage, vote the votes appurtenant to such
unit, conveyor otherwise deal with the same; subject, however, to
applicable restrictions of record. A suit to recover a money
judgment for unpaid common charges shall be maintainable without
foreclosing or waiving the lien securing the same.
6. The Board of Governors shall promptly provide any unit
owner so requesting a written statement of all unpaid common
charges due from such unit owner, together with a statement of all
other charges lawfully assessed against such unit in accordance
with the provisions of the Declaration or these By -Laws.
7. The violation of any rule or regulation adopted by the
Board or the breach of any By -Law contained herein, or the breach
of any provision of the Declaration, shall give the Board the
right, in addition to any other rights set forth in these By -Laws:
(a) to enter the unit in which or as to which, such violation or
breach exists and to summarily abate and remove, at the expense of
the defaulting unit owner, any structure, thing or condition that
may exist therein contrary to the intent and meaning of the
provisions hereof and the Board shall not thereby be deemed guilty
in any manner of trespass; or (b) to enjoin, abate or remedy by
appropriate legal proceedings, either at law or in equity, the
continuance of any such breach.
8. (a) All maintenance and any repairs to any unit, structural
or non-structural, including glass windows and doors, ordinary or
extraordinary (other than maintenance of and repairs to any common
areas and facilities contained therein and not necessitated by the
negligence, misuse or neglect of the owner of such unit), shall be
made by the owner of such unit. Each unit owner shall .be
responsible for all damages to any and all other units and°to•the
common areas and facilities that his failure so to do may engender.
(b) All maintenance, repairs and replacements to the common areas
and facilities, whether located inside or outside of the units
(unless necessitated by the negligence, misuse or neglect of a unit
owner, in which case such expense shall be charged to such unit
owner), -shall be'made by the Board and be charged to all the unit
owners as a common expense.
e
9. Each unit owner shall own and be responsible for the
repair, maintenance, and upkeep of the equipment (air conditioner,
heater, hot water heater, electrical, mechanical and plumbing)
which serves his unit.
BUOK--q _ PAGF G!

15
10. No unit owner shall make any structural addition,
alteration, or improvement in or to his unit, without the prior
written consent of the Board of Governors. The Board shall have the
obligation to answer any written request by a unit owner for
approval of a proposed structural addition, alteration or
improvement in such, unit owner's unit, within thirty (30) days
after such request, and failure to do so within the stipulated time
shall constitute a consent by the Board of Governors. to the
proposed addition, alteration or improvement.
11. The use of the property of the Condominium shall be in
accordance with the following provisions:
(a) Each of the units shall be occupied only as a residence
and for no other purpose except -as otherwise specifically set forth
in the Declaration. No unit may be divided into smaller units or
any portion thereof sold or otherwise transferred without first
amending these By -Laws to show the changes in the units to be
effected thereby.
(b) The common elements shall be used for the purposes for
which they are intended in the furnishing of services and
facilities for the enjoyment of the units.
(c) No use or practice shall be permitted on the property
which is the source�of annoyance to unit owners or which interferes
with the peaceful possession and proper use of the property by the
unit owners. All parts of the property shall be kept in a clean and
sanitary condition, and no rubbish, refuse, or garbage shall be
allowed to accumulate nor shall any fire hazard be allowed to
exist. No boats, trailers, mobile homes, or campers shall be parked
on the premises without the express permission of the Board of
Governors or its designee. It shall be the responsibility of each
unit owner and the Board of Governors to prevent the development of
conditions which render -the property or the buildings unclean,
unsightly or unkept or which substantially decrease the beauty of
the area as a whole. No unit owner shall permit any use of his
unit or of the common elements which will increase the rate of
insurance upon the Condominium property. No immoral, improper,
offensive, or unlawful use shall be made of the Condominium
property or any part thereof. Garbage receptacles shall be located
in accordance with reasonable standards established by Declarant or
the Board of Governors. All valid laws, zoning ordinances, and
regulations of all governmental bodies having jurisdiction thereof
shall be observed. The responsibility of meeting the requirements
of governmental bodies which require maintenance, modification, or
repair of the Condominium property shall be the same as the
ae�ri� PAGE �P `�

W
responsibility for the maintenance and repair of the property
concerned.
(d) Until SAND$ INVESTMENTS NO. 2, INC., had completed and
sold all of the units, neither the unit owners', nor the Board of
Governors' use of the Condominium property by the owners was to
interfere with the stale of additional units. SANDS INVESTMENTS NO.
2, INC., could make such use of the unsold units and the common
areas as facilitated such completion and sale, including but not
limited to the rental of same, the showing of the property, and the
display of signs.
12, A unit owner shall grant a right of access to his unit to
the managing agent or any other person authorized by the. Board of
Governors or the managing agent, for the purpose of making
inspections or for the purpose of correcting any condition
originating in his unit and threatening another unit or a common
area and facility, or for the purpose of performing installations,
alterations or repairs to the mechanical or electrical services or
other common areas and facilities in his unit or elsewhere in the
building or to correct any condition which violates the provisions
of any mortgage covering another unit, provided that requests for
entry are made in advance and that any such entry is at a time
reasonable convenient to the unit owner. In the case of an
emergency, such right of entry shall be immediate, whether the unit
owner is present at the time or not.
13. Rules and regulations concerning the use of the units and
the common areas and facilities may be promulgated and amended by
the Board with the approval of a majority of the voting members of
"A Place at the Beach - Atlantic Beach, Inc.". Copies of such rules
and regulations shall be furnished by the Board to each unit owner
prior to the time when the same shall become effective.
14. Water and electricity shall be supplied to all of, the
units and the common areas and facilities. Each unit shall have its
own separate electric meter and each unit owner shall be
responsible for his own electric bill. Any electricity charges
resulting from the use of the common areas shall be considered a
common expense and shall be provided for as other common expense.
ARTICLE VII
RECORDS AND AUDITS
The Board of Governors or the managing agent shall keep
detailed records of the actions of .the Board and the managing
agent, minutes of the meetings of the Board of Governors, minutes

17
of the meetings of the unit owners, and financial records and books
of account of the Condominium, including a chronological listing of
receipts and expenditures, as well as a separate account for each
unit which, among other things, shall contain the amount of each
assessment of the common charges against such unit, the date when
due, the amounts paid thereon, and the balance remaining unpaid.
The financial records and books of account shall be available for
examination by all the unit owners, their duly authorized agents or
attorneys at convenignt hours on working days that shall be set and
announced for general knowledge. A written report summarizing all
receipts and expenditures of the Condominium shall be rendered by
the Board to all unit owners on or before the 15th day of the third
month following the close of each fiscal year covering the
preceding year. In addition, an annual report of the receipts and
expenditures of the Condominium, certified by an independent
certified public accountant, shall be rendered by the Board to all
unit owners and to all mortgagees of units who have requested the
same, promptly after the end of each fiscal year.
ARTICLE VIII
Notwithstanding anything contained in these By -Laws to the
contrary, the Declarant was to be responsible for the
administration of the development and "A Place at the Beach -
Atlantic Beach, Inc." was not to begin to function through its
members until: (a) such time as the Declarant shall have conveyed
all of the residences subject to the Declaration to the respective
purchasers of the same, at which time such facts were to be
certified to "A Place at the Beach - Atlantic Beach, Inc," by the
Declarant; or (b) such time as the options reserved to the
Declarant in paragraph 5, of the Declaration shall have expired,
whichever is later, at which time the management of the development
shall be delivered to "A Place at the Beach - Atlantic Beach,
Inc.," together with all books and accounts which shalt be in
balance; provided, however, that the Declarant, at its option and
in the exercise of its sole discretion, may deliver management of
the development to "A Place at the Beach - Atlantic Beach, Inc.,"
at such earlier date as may be selected by the Declarant. Until
such time, the duties and powers of "A Place at the Beach -
Atlantic Beach, Inc.", including those of its Board of Directors,
as specified in these By -Laws, and the Declaration, was to be
performed by the*Declarant or a manager employed by the Declarant
on behalf of "A Place at the Beach - Atlantic Beach, Inc.," at a
rate of compensation which, under the circumstances and at the sole
discretion of the Declarant, was to be reasonable in amount. Such
compensation, if any, was to be paid as a recurring common expense
of "A Place at the Beach - Atlantic Beach, Inc." and out of the
annual assessment, provided for in Article VI, paragraph 1., hereof.
r+ r, . 6 l p; .-77

18
Until such time as the Declarant, SANDS INVESTMENTS NO. 2,
INC. turned over the management and control of "A Place at the
Beach - Atlantic Beach" to "A Place at the Beach - Atlantic Beach,
Inc.", the Declarant, was not to be responsible for the payment of
the common expenses and common charges for units not sold within
said project. After the management and control of "A Place at the
Beach - Atlantic Beach" had been turned over to "A Place at the
Beach - Atlantic Beach, Inc.", then the Declarant,._ SANDS
INVESTMENTS NO. 2, INC. was to contribute to the common expenses as
set forth in these By -Laws in the same manner as owners of units
within said Condominiums with regard to any units not sold by the
Declarant.
restated By -Laws were approved and adopted on the 25th
7
' �• wy
ATTEST:
-t,,�990, at the Annual Meeting of the owners of A Place
'It antic Beach by a vote of more than sixty-six and
F�,i6 273),,-„of the owners in number and in unit ownership
., A PLACE AT THE BEACH -
ATLANTIC qH,
By:
Pre ent 301,

19
NORTH CAROLINA
t,
CARTERET COUNTY
Notary Public in and for the
above -named State and County, do hereby certify that personally
�• e
appeared before me this day 44cKR6c-
, who, being by me
duly sworn, says that he is the resident of A Place at the Beach -
Atlantic Beach, Inc., a North Carolina nonprofit corporation, and
thathe as '..president, being authorized to do so, executed the
la
Ong instrument on behalf of the corporation.
y 11llllllll lil, W-NESS-'m hand and notarial seal, this 1�� day of
\ /
��T+R
e,-_putt-1, A,
n,ll,,,l,lfll,
Notary Public
ssion Expires,
southwinds.byl
91
Melanie Arthur 19P
Carteret CountRegister of Deeds
CS Date 08/24/e6l Time 16s4300
OR 916612 Page 1 of 19
NORTH CAROLINA, CARTERET COUNTY
The foregoing cenificate(s) of Notary Public(s) Ware
certified to be correct. This hatrument and this cerliti-
cafe are duiy registeV1 at the date and time 96d In
the gook and page sh"n an the first page heleol.
Adhur. Rfbtpr
""171 Ib019W d ww.
t300K_....�1,52._._ PAGE_•...

Prepared By and Retum to:
MASON & MASON, P.A.
"STATE OF NORTH CAROLINA
COUNTY OF CARTERET
RESTATED DECLARATION OF UNIT ONNERSHIP
OF PROPERTY IN CARTERET COUNTY UNDER THE
PROVISIONS OF CHAPTER 47A OF THE
GENERAL STATUTES OF NORTH CAROLINA
THIS RESTATEMENT OF DECLARATION is made this the 25t'' day of
August, 1990, by A PLACE AT THE BEACH - ATLANTIC BEACH, INC., d/b/a
"SOUTHWINDS", a North Carolina non-profit corporation having its
principal office in Atlantic Beach, North Carolina, hereinafter
referred to as "Association", under and by virtue of the provisions
of Chapter 47A of the General Statutes of North Carolina.
BACKGROUND STATEMENT
The Association is the association of unit owners of that
condominium project development known as A Place at the Beach -
Atlantic Beach and/or Southwinds, which is located on those parcels
of land designated as Tracts No. 1 and No. 2 on those maps recorded
in Map Book 10B, pages 14, 53, 71, and 81, Carteret County
Registry. Sands Investments No. 2, the Declarant of said project or
development, conveyed all the property described on the said
recorded maps subject to certain protective and restrictive
covenants, conditions, restrictions, reservations, liens and
charges hereinafter set forth into unit ownership (sometimes
referred to as "Condominium" ownership) in the manner provided for
by the provisions of Chapter 47A of the General Statutes of North
Carolina. Declarant retained the sole and exclusive right to submit
to the provisions of such unit ownership all the property described
on said recorded maps in phases, together with all improvements
then constructed or to be constructed thereon, and did in fact
submit all of the property described thereon to said provisions'of
unit ownership, retaining no right, title or interest in said
property whatsoever. The provisions of said unit ownership` are
fully set forth in that certain Declaration of Unit Ownership and
Unit Owners' Association Bylaws recorded in Book UO-3, page 335 and
336, respectively, Carteret County Registry, with amendments
thereto recorded in the Carteret County Registry as follows: Book
UO-3, pages 480 and 481; Book UO-4, page 444; Book UO-5, pages 237,
238 and 371; Books UO-6, page 256; Book UO-8, page 381; Book UO-27,
page 169; and Book UO-73, page 100. The Board of Governors of the
Association desires to consolidate all of the currently operative
terms of said Declaration and By -Laws into one comprehensive
document, deleting those provision without further applicability
and incorporating all amendments with continuing applicability, for
convenience of reference and the benefit of its membership.
s00 PAGE_�v // ..

At the 1341 annual meeting of the owners of A PLACE AT THE
BEACH - ATLANTIC BEACH, INC., d/b/a Southwinds, held on the 25'h day
of August, 1990, more, than sixty-six and two-thirds (66-2/3) of the
owners in number and in unit ownership voted to approve this
Restated Declaration of Unit Ownership and bylaws and authorized
the recording of the same. Through inadvertence, the Restated
Declaration and Bylaws were never recorded, and they are now being
recorded pursuant to action taken by the owners at the Annual
Meeting held on August 25, 1990. Nothing recited herein shall be
construed to be an admission that Declarant fulfilled its
obligations under the Declaration of Unit Ownership in developing
said condominium project, nor shall it be deemed an assumption of
any of the Declarant's responsibilities in that regard unless
otherwise required by the original Declaration of Unit Ownership as
amended.
NOW, THEREFORE, the Association does hereby restate that all
of the property described on the above recited recorded plats is
and shall be held, conveyed, hypothecated, encumbered, used,
occupied and improved subject to the following covenants,
conditions, restrictions, uses, limitations, and obligations, all
of which are declared, agreed and reaffirmed to be in furtherance
of a plan for the improvement of said property and the division
thereof into condominium units and shall be deemed to run with the
land and shall be a burden and benefit to the Association and any
person acquiring or owning any interest in the real property and
improvements, their grantees, successors, heirs, executors,
administrators, devisees and assigns.
1. Description of Property. All that certain tract or parcel
of land with the buildings and improvements thereon erected,
situated and lying on Dogue Banks, Atlantic Beach Township,
Carteret County, State of North Carolina, and being more
particularly described as follows:
PHASES I, IIA and IIB•
BEGINNING at a point in the southern right-of-way line of Fort
Macon Road, said point being in the west property line of the
property of Tat Landing, Inc., on which the Tar Landing
Condominiums are situated, and said point being located the
following courses and distances from the intersection of the
centerline of Fort Macon Road and the centerline of S. R. #1191:
Westerly with the centerline of Fort Macon Road 1532.13 feet to a
point in said centerline, thence S. 5 degrees 42 minutes West 50.32
feet; from said beginning point, with the west line of the Tar
Landing, Inc'. property, S. 5 degrees 42 minutes West 1234.90 feet
to a point in the high water line of the Atlantic Ocean; thence
800 Q f PAGE-L'�---

with the high water line of the Atlantic Ocean approximately N. 74
degrees 47 minutes West 253.36 feet to a point in said high water
line which lies 250,feet from the west line of the Tar Landing,
Inc. property, measured on a perpendicular from said line; thence
parallel with the said Tar Landing, Inc., west line, N. 5 degrees
42 minutes East 1163.92 feet to the southern right-of-way line of
Fort Macon Road; thence with the Fort Macon Road southern right-of-
way line N. 89 degrees 10 minutes 30 seconds East 251.39 feet to
the point or place of beginning.
PHASE III:
BEGINNING at a point in the high water mark of the Atlantic Ocean,
said point being the southwest corner of Tract One, "A Place at the
Beach" in accordance with that certain survey by John W. Collier,
registered surveyor, dated April 25, 1977, running thence North 5-
42 East along the western boundary of Tract One, "A Place at the
Beach", 565.42 feet to a stake; running thence North'70-28-45 West
257.31 feet to a stake in the eastern boundary of that certain
tract of land known as the McClamroch property; running thence
along the eastern boundary of the said McClamroch property South 5-
42 West 587.79 feet to a stake in the high water margin of the
Atlantic Ocean; thence south 74-47 east 253.36 to the point or
place of beginning.
PHASE IV:
BEGINNING at a point in the southern right-of-way margin of the
Fort Macon Road east of the Town of Atlantic Beach, said point
being the northwestern margin of Tract No. One (1) of Phase I of "A
Place at the Beach" as shown on that certain map by Collier
Surveying Company dated October 27, 1979 and recorded in Map Book
10-B, Page 14 of the Carteret County Registry; running thence along
the southern right-of-way margin of the said Fort Macon Road North
85-37 West 249.52 feet, to a stake; running thence South 5-42 Nest
533.5 feet to a stake in the northwestern corner of Tract No. Two
(2) of Phase III, "A Place at the Beach"; running thence South 70-
28-45 East 257.31 feet to a stake in the line dividing Tracts No.
One (1) and No. Two (2) of "A Place at the Beach"; running thence
North 5-42 East 603.50 feet to the point or place of beginning.
The above descrited tract of land being designated as Phase Four
(4), Tract Two (2), and containing 3.25 acres all as shown on that
survey by Collier Surveying Company dated October 27, 1978.
2. Description of Buildings. Each building shall contain
eighteen (18), units substantially similar in size, floor plan, and
materials used in construction.
BOOK q�� PAGF � �( -

4
Each individual unit shall contain 865 gross square footage.
Each multi -unit, building shall contain 15,552 gross square
footage, which constitutes 18 individual units. Each unit shall be
one floor, two -bedroom model and shall consist of a kitchen, living
room with balcony, master bedroom, additional bedroom, one and one-
half baths, storage closet, and two additional clothes closets.
Kitchens in eagh unit shall be furnished with pre -finished
wood cabinets, laminated plastic counter tops, electric range with
hood, electric refrigerator and dishwasher. Full bathrooms shall
contain fiberglass tubs or showers, porcelain water closets,
lavatory and vanity tops..
Half baths shall contain lavatory, porcelain water closets and
vanity tops.
Party walls shall be double stud wall construction with 5/81,
gypsum board on either side. The gypsum board shall then be covered
with 1/4" pre -finished plywood paneling.
All living areas shall be carpeted except for baths and
kitchen areas which shall be covered with vinyl.
Mechanical equipment in each unit shall consist) of two
thermostatically controlled wall mounted heat pumps and an electric
water heater. Each,residence or unit shall have its own electric
meter.
Specifics such as style, construction, materials and finishes
are best described in the plans and specifications for the
construction of this project, copies of which are recorded in Map
Book 10B, pages 14-22, 53-58, 71 and 81-88, Carteret County
Registry, showing all particulars of the buildings, includirig their
location, layout, ceiling and floor elevations, unit numbers, and
dimensions of the units and the location of the common areas and
facilities affording access to each unit. Such plans and
specifications were drawn by William Clark, Registered Architect,
having offices in Myrtle Beach, South Carolina, and being licensed
to practice in the State of North Carolina.
The Declarant reserved the right to alter the location of the
physical improvements as shown on Exhibits A and B or any other
exhibits depicting Phases II, III, and IV. Such modifications
could, inter alia, be required for dune preservations and/or to
comply with rules and regulations promulgated by the State, County
or local authorities.
600K_.�PAGE �P

3. Unit De i nations. The Unit Designations of each
Condominium and each Condominium building, its location, its
dimensions, approximate area, number of rooms and common areas and
facilities to which it has immediate access, and other data
concerning its proper identification are set forth in the recorded
plans and specifications referred to in paragraph 21 above. Each
unit is bounded both as to horizontal and vertical boundaries by
the interior surface of its perimeter walls, ceilings, and floors
which are shown on said plans, subject to such encroachments as are
contained in the building, whether the same existed or could be
caused or created by construction, settlement or movement of the
building or by permissible repairs, construction, or alteration.
The units in each building shall be numerically designated as
follows:
The first floor of each multi -unit building shall contain
units numbered 1 through 6. Unit number I shall be the easternmost
unit and the designation of the other first floor units shall
ascend numerically east to west, (left to right if one faces the
ocean) .
The second floor shall contain units numbered 7 through 12.
Unit number 7 shall be the easternmost unit and the designation of
the other second floor units shall ascend numerically east to west
(left to right if one faces the ocean).
The third floor shall contain units numbered 13 through 18.
Unit number 13 shall be the easternmost unit and the designation of
the other third floor units shall ascend numerically east to west
(left to right if one faces the ocean).
4. Swimmina Pool. There was constructed on Phase I property as
shown on that map appearing in Map Book 10B, page 14, Carteret
County Registry, one rectangular shaped pool which was, at, its
deepest point, to be 8 feet in depth and bear the approximate
dimensions of 25 feet x 50 feet. There was also to be constructed
near the Phase I pool a separate building to house coin -operated
washing machines and dryers. The building shall also contain
additional room for the storage of pool maintenance equipment and
public restrooms.' The Declarant was not to be responsible for the
installation of 'the coin -operated washing machines or dryers. A
second swimming pool was to be constructed in the event that the
Declarant elected to proceed with Phase III of the development as
proposed herein. In the event that the Declarant elected to proceed
with the Phase III of the development, the Declarant was to further
erect a similar building adjoining the second swimming pool
premises for 'the purpose of housing a laundry, pool equipment room,
WOK

and public restrooms. Again, the Declarant was not to be
responsible for furnishing the coin -operated washing machines or
dryers.
5. Development Plan. "A Place at the Beach - Atlantic Beach"
was developed in the following manner:
a. General. On the Phase I property the Declarant was to
construct, or cause to be constructed, three residential buildings
each of which shall contain eighteen (18) separate residential
units so that there will be a total of 54 residential units. The
Declarant was to also construct on the Phase I properties a 20 foot
access road as shown on the plat recorded with the original
Declaration. The Declarant was to construct on the Phase I
properties the three southernmost parking lots as shown on said
plat. Further, the Declarant was to construct on the Phase I
properties at its expense the sewage treatment facility as shown on
said plat and said facility was to conform to all plans and
specifications promulgated by the State of North Carolina. In the
event that the Declarant submitted the Phase II property to the
provisions of the Declaration, pursuant to and in accordance with
the options set forth in subparagraph b. of this paragraph 5., the
Declarant was to construct, or cause to be constructed, on said
Phase II property, two (2) additional residential buildings, each
containing 18 separate residential units so that there would be a
total of 36 residential units in Phase II. In the event that the
Declarant submitted the Phase II property to the provisions of this
Declaration, the Declarant was to construct or cause to be
constructed the two northernmost parking lots as shown on said
plats attached hereto. In the event the Declarant submitted the
Phase III property to the provisions of this Declaration, pursuant
to and in accordance with the options set forth in subparagraph c.
of this paragraph 5., the Declarant was to construct, or cause -to
be constructed on said Phase III property, three more buildings of
residential units each or a total of 54 residential units. In,the
event that the Declarant submitted the Phase IV property to the
provisions of this Declaration, pursuant to and in accordance with
the options set forth in subparagraph d. of this paragraph 5., the
Declarant shall construct, or cause to be constructed on said Phase
IV property, two'(2) additional buildings of 18 residential units
each or a total of 36 residential units. Each of said residences or
units was to be constructed substantially in accordance with the
master plot plan and architectural plans and specifications
entitled "A Place at the Beach - Atlantic Beach" prepared by
William Clark, Registered Architect, Myrtle Beach, South Carolina,
bearing date' of April 25, 1977. The Declarant expressly reserved
the right in the event it exercised the option for Phase II, Phase
III or Phase'IV as set out in subparagraphs b., c., and d., of this

paragraph 5: (a) to make minor alterations in the location of said
buildings as shown on the master plot plan for Phase II, Phase III,
and Phase IV, in order to alleviate problems of construction, if
any, which were caused by unsuitable terrain or soil conditions, or
as were required by various Governmental agencies, and (b) to
decrease the total number of residences contemplated within any
particular Phase, but the total number of residences was not to be
increased, neither were the principal materials of construction or
the general architectural design and appearance be materially
altered. As and when the construction of each of said buildings in
Phase II, Phase III or Phase IV was completed and prior to the
first conveyance of a residence contained therein, there was to be
filed for record in the Office of the Register of Deeds of Carteret
County, North Carolina, an amendment to the Declaration which was
to be attached to a verified statement of a registered architect or
licensed professional engineer, certifying that the supplemental
plat being filed simultaneously therewith, together with such plans
as may have been filed prior thereto, fully and accurately depicted
the layout, location, number/letter identification and dimensions
of said buildings and residences or units described in said
amendment as built. Said amendment and supplemental plats, together
with such plans as may have been filed prior thereto, were to
further describe the buildings and residences or units contained
therein including the number of stories, the number of residences
or units contained in each building, the principal materials of
which the buildings and residences or units were constructed, the
approximate area of each ,residence or unit, the number of rooms,
immediate common areas as to which the said unit has access, and
such other data was necessary for its proper identification.
b. option to Submit Phase II Property. Declarant reserved unto
itself the option, to be exercised at its sole discretion, to
submit the Phase II property as shown on said plat recorded with
the original Declaration to the provisions of the Declarat'ion'and
thereby cause said property to become a part of "A Place at, the
Beach - Atlantic Beach", each unit owners of Phase I property, his,
her, or its heirs, successors, assigns, executors, administrators
and devisees, by the acceptance of his, her or its deed to a unit
in Phase I, granted unto Declarant a power of attorney for this
purpose, as set forth in subparagraph e. of this paragraph 5. This
option could be exercised by the Declarant only upon the execution
by it of an amendment to the Declaration which was to be filed for
record in the Office of the Register of Deeds of Carteret County,
North Carolina not later than two years from the date of the
original Declaration. Said amendment, in addition to other
information required, was to set forth the undivided interest each
unit owner was to have in the common areas and facilities of Phase
I and Phase `II properties. Any such amendment was to expressly

submit the Phase II property as shown on said plat, to all of the
provisions of the Declaration and the By -Laws of "A Place at the
Beach - Atlantic Beach, Inc." as either or both were then amended.
Upon the exercise, if any, of this option, the provisions of this
Declaration were then to be understood and construed as embracing
the Phase I property and the Phase II property together with all
improvements then constructed or to be constructed thereon. Should
this option not be exercised within the term specified,, it was, in
all respects, to expire and be of no further force or effect.
In the event the Declarant failed to develop Phase II of the
property within the time limit specified above, those tracts or
parcels of land designated as Phase II were to be immediately
conveyed by the Declarant to all existing residential unit owners
in Phase I, in common, according to the percentage of unit
ownership then in effect, said property so conveyed becoming part
of the common areas. Said conveyance was to be free and clear of
all encumbrances excepting, however, those encumbrances either in
existence on the date of the original Declaration or thereafter
created for the use and benefit of those residences constructed on
Phase I. The construction lender was, in the event of Declarant's
failure to develop Phase II in accordance with the terms and
conditions therein specified, to execute a deed of release or such
other instrument as would be required so as to waive any security
interest, claim, lien or other interest it may then have in and to
those tracts or parcels of land designated as Phase II. The express
purpose of this prgvision, modified as follows, was to assure the
unit owners within Phase I that they would acquire all of the Phase
II properties should the Declarant, after having elected to develop
Phase I of the project, elect not to develop Phase II within the
time limits herein set forth.
c. Option to Submit Phase III Property. Declarant reserved
unto itself the option, to be exercised at its sole discretion; to
submit the Phase III property as shown on said plat to.the
provisions of the Declaration and thereby cause said property to
become a part of "A Place at the Beach - Atlantic Beach". To the
end of allowing Declarant the option to cause Phase III property to
become a part of "A Place at the Beach - Atlantic Beach", each unit
owner of Phase I or Phase II property, his, her or its heirs,
successors, assigns, executors, administrators and devisees, by the
acceptance of hit, her, or its deed to a unit in Phase I or Phase
II granted unto Declarant a power of attorney for this purpose, as
set forth in subparagraph e. of this paragraph 5. This option could
be exercised by the Declarant only after, or simultaneously with,
the exercise of its option to submit the Phase II property and upon
the execution by it of an amendment to the Declaration to be filed
for record in the Office of the Register of Deeds of Cprteret
1300 R� PAGE �(

County, North Carolina not later than four years from the date of
the original Declaration. Said amendment, in addition to other
information required, was to set forth the undivided interest each
unit owner shall have in the common areas and facilities of Phase
I, Phase II and Phase III properties. Any such amendment was to
expressly submit the Phase III property as shown on said recorded
plat, to all of the 'provisions of this Declaration and the By -Laws
of "A Place at the Beach - Atlantic Beach, Inc." as either or both
were then amended. Upon the exercise, if any, of this option, the
provisions of the Declaration were then to be understood and
construed as embracing the Phase I property, the Phase II property
and the Phase III property, together with all improvements then
constructed or to be constructed thereon. Should this option not be
exercised within the term specified, it was, in all respects, to
expire and be of no further force or effect. In such event, the
Declarant was not to be obligated to impose on the Phase III
property any covenants, conditions or restrictions the same as or
similar to those contained herein.
d. Option to Submit Phase IV Property. Declarant reserved unto
itself the option, to be exercised at its sole discretion, to
submit the Phase IV property as shown on the plat recorded with the
original Declaration to the provisions of the Declaration and
thereby cause said property to become a part of "A Place at the
Beach - Atlantic Beach". To the end of allowing Declarant the
option to cause Phase IV property to become a part of "A Place at
the Beach - Atlantic Beach", each unit owner of Phase I, Phase II,
or Phase III property, his, her or its heirs, successors, assigns,
executors, administrators and devisees, by the acceptance of his,
her, or its deed to a unit in Phase I, Phase II or Phase III
granted unto Declarant a power of attorney for this purpose, as set
forth in subparagraph e. of the paragraph 5. This option was to be
exercised by the Declarant only after, or simultaneously with, the
exercise of its option to submit the Phase III property and upon
the execution by it of •an amendment to the Declaration which was to
be filed for record in the Office of the Register of Deeds of
Carteret County, North Carolina not later than four years from the
date of the original Declaration. Said amendment, in addition to
other information required, was to set forth the undivided interest
each unit owner Oas to have in the common areas and facilities of
Phase I, Phase II, Phase III and Phase IV properties. Any such
amendment was to'expressly submit the Phase IV property to all of
the provisions of the Declaration and the By -Laws of "A Place at
the Beach - Atlantic Beach, Inc." as either or both were then
amended. Upon the exercise, if any, of this option, the provisions
of the Declaration were then to be understood and construed as
embracing the Phase I property, the Phase II property, the Phase
III property and.the Phase IV property as shown on said recorded
BOOK. _ _ Y& - ., PAGE rin(Ly-

10
plat, together with all improvements then constructed or to be
constructed thereon. Should this option not be exercised within the
term specified, it was, in all respects, to expire and be of no
further force or effect.
In the event the Declarant exercised its option to develop
Phase III of the property but failed to develop Phase IV of the
property within the time limit specified above, those tracts or
parcels of land designated as Phase IV were to be immediately
conveyed by the Declarant to all existing residential unit owners
in Phases I, II, and III, in common, according to the percentage of
unit ownership then in effect, said property so conveyed becoming
part of the common areas. Said conveyance was to be free and clear
of all encumbrances excepting, however, those encumbrances either
in existence on the date of the original Declaration or thereafter
created for the use and benefit of those residences constructed on
Phases I, II, and III.
The construction lender was, in the event of the Declarant's
failure to develop Phase IV in accordance with the terms and
conditions herein specified, to execute a deed of release or such
other instrument as would be required so as to waive any security
interest, claim, lien, or other interest it may then have in and to
those tracts or parcels of land designated as Phase IV. The express
purpose of this provision, modified as follows, was to assure the
unit owners within Phases I, II, and III that they would acquire
all of the Phase I\( properties should the Declarant, after having
elected to develop Phase III of the project, elect not to develop
Phase IV within the time limits herein set forth.
e. Power of Attorney of Owners of Units in Phase I. Phase II
r Phase III Proverty. Each unit owner of Phase I, Phase II, or
Phase III property, his, her, or its heirs, successors and assigns,
administrators, executors or devisees, by accepting a deed'to his
or its respective unit, granted unto the Declarant the irrevocable
right, power and authority to effect amendments to the Declaration
in order to submit Phase II, Phase III, and Phase IV properties to
the terms, conditions and restrictions of the Declaration. Said
unit owners further agreed, by the acceptance of a deed to any unit
within Phase I, Phase II, or Phase III, to execute any writing as
might be required by the Declarant to effectuate this purpose. The
irrevocable right, power and authority granted by the unit owner
was to be limited, solely for the purpose of allowing Phase II,
Phase III, or Phase IV properties to be made a part of the
Declaration, and to the resulting changes in the unit owner's
undivided interest in the common areas which was to occur as a
result of the additions of Phase II, Phase III, or Phase IV
properties to the Declaration. The powers herein vested in the
BOOK, �� PAG (PE (� �-

11
Declarant were not to be construed as requiring said Declarant to
exercise the options provided for in this paragraph 5, said options
being at the Declarant's sole and absolute discretion.
6. Common Areas and Facilities. The common areas and
facilities consist of all parts of the multi -unit buildings
situated on the property now or hereafter made subject to this
Declaration, other than the individual dwelling units therein,
including without limitation, the following:
a. The land on which the buildings are erected described in
paragraph 1, of the original Declaration, and all lands thereafter
made subject to the Declaration.
b. All foundations, columns, girders, beams, supports, and
other structural members.
C. The roofs and all exterior walls and interior walls, except
those partitioned walls wholly within a unit, .and the crawl space
underneath each of the buildings.
d. All sewer pipes and sewer systems.
e. All other parts of the property and all apparatus and
installations existing in the building or upon the property for the
common use which are necessary or convenient to the existence,
maintenance or safeity of the property.
7. Rental of ,Units. Units may be rented pursuant to rules and
regulations as prescribed by "A Place at the Beach Atlantic Beach,
Inc."
8. Administration of Property. To efficiently and effectively
provide for the administration of the Condominium project`by -the
owners of units, a non-profit North Carolina Corporation, known and
designated as "A Place at the Beach - Atlantic Beach, Inc." has
been organized, and said Corporation shall administer the operation
and management of the Condominium and shall undertake and perform
all acts and duties incident thereto in accordance with the terms,
provisions and conditions of this Declaration and in accordance
with the terms of the Articles of Incorporation of "A Place at the
Beach - Atlanti6 Beach, Inc.", hereinafter referred to as the
Association, and By -Laws of said Association. [A true copy of the
Articles of Incorporation and By -Laws of said Association were
annexed to the original Declaration and expressly made a part
thereof.] The owner and owners of each unit were to automatically
become members of the Association upon said owner or owners
acquisition of an ownership interest in title to any unit and its

12
appurtenant, undivided interest in common elements, and membership
of such owner of owners was to terminate automatically upon each
owner or owners being divested of such ownership interest and the
title to such unit, regardless of the means by which such ownership
may be divested. No person, firm or corporation holding any lien,
mortgage or other encumbrance upon any unit was to be entitled, by
virtue of such lien, mortgage or other encumbrance to membership in
the Association, or to any of the rights or privileges. of such
membership, In the administration of the operation and management
of the Condominium, said Association was to have, and was granted,
the authority and power to enforce the provisions of the
Declaration, levy and collect assessments in the manner thereafter
provided; to levy reasonable fines, as limited by the North
Carolina Condominium Act as amended from time to time, and upon
notice and hearing, for violations of the Declaration, By -Laws, and
Rules and Regulations of the Association; and to adopt, promulgate
and enforce such rules and regulations governing the use of the
units and common elements as the Board of Governors of the
Association may deem to be in the best interest of the Condominium.
9. Interest in Common Areas. In accordance with paragraph 5(e)
of the original Declaration, the undivided interest that each unit
owner shall have in the common area and facilities of 'Phase I,
Phase II, Phase III, and Phase IV of the properties is as follows:
Adjusted % of Common
Building And Areas After Inclusion
Units of Phase IV Units
A - All Units ---------------------- .5741%
B- 1,3,4--------------------------- .5165%
2,5,6,7,9,10------------------- .5309%
8,11,12,13,15,16-,-------------- .5453%
14,17,18------------------------ .5597%
C - 1,3,4---------------- ---------- 4878%
2,5,6,7,9,10------------------- .5022%
8,11,12,13,15,16--------------- .5165%
14,17,18----------------------- .5309%
y
D- 1------------------------------
.4878%
2,3,7--------------------------
.5022%
4,5,6,8,9,13-------------------
.5165%
10,11,1214,15-----------------
.5309%
16,17,18.------------------------
.5453%

13
Building And Adjusted % of Common
Units Areas After Inclusion
of Phase IV Units
E- 1-------------------------------
.4878%
2,3,4,5,6,7--------------------
.5022%
8,9,10,11,12,13-----------------
.5165%
14,15,16,17,18-----------------
.53091
F - All Units ----------------------
-6748%
G - 1,6,9,10-----------------------
.5597%
2,5-----------------
----- .5453%
3,4----------------------------
.5309%
8,11,15,16---------------------
.5741%
7,12,14,17---------------------
.5885%
13,18--------------------------
.6029%
H - 1,6,9,10-----------------------
.5309%
2,5-----------
.5165%
3,4----------------------------
.5022%
7,12,14,17---------------------
.5597%
8,11,15,16---------------------
.5453%
13,18--------------------------
.5741%
I - 3,4----------------------------
.5022%
2,5---------- 7- ----------------
- .5165%
1,6,9,10------------------------
.5309%
8,11,15,16---------------------
.5453%
7,12,14,17---------------------
.5597%
13,18--------------------------
.5741%
J - 3,4------------------------
.5309%
2,5--------------------------
.5453%
1,6,9,10-----------------------
.5597%
8,11,15,16---------------------
.5741%
7,12,14,17---------------------
.5885%
13-----------------------------
.6029%
18------------------------------
.6173%
The owner of each residence or unit, by acceptance of a deed
therefor, consented and agreed to the alteration of said
percentages as the Phase II, Phase III and Phase IV properties were
submitted by the Declarant to the provisions of the Declaration as
provided for in subparagraphs b., c., and d., of paragraph 5.; and
in furtherance thereof, each such owner irrevocably appointed the
Declarant as his Attorney -in -Fact for the purposes of further
E300 ` PAGLiL— .

14
evidencing such consent and agreement was the Declarant to
determine the same to be necessary or desirable. The percentage of
undivided interest of each owner in the common area is appurtenant
to the residence owned by him. No appurtenance was to be separated
from the residence to which it appertained and such appurtenance
was to be deemed to be conveyed or encumbered or to otherwise pass
with the residence whether or not expressly mentioned or described
in a conveyance or other instrument describing the residence.
The percentage of undivided interest in the common areas
appurtenant to each residence subject to the Declaration was based
on relative values assigned by the Declarant to each such residence
or unit solely for this purpose. The value so assigned was to be
based upon the relation the fair market value of the unit, as of
the date of the Declaration, bore to the then aggregate fair market
value of all the units having an interest in said common ,areas and
facilities; provided, however, that this determination was to be
based upon values as determined by the Declarant as o€ the date of
the filing of the original Declaration and the interest in the
common areas, and, as to Phase II, Phase III, and Phase IV, was to
be based upon a similar determination; provided further, however,
that such values do not necessarily reflect or represent the
selling price of such residence or unit and no opinion, appraisal,
sale, or market value transaction at a greater or lesser price than
the assigned value recited herein shall be interpreted as requiring
or permitting any change in the percentage of undivided interest
assigned herein. ,
10. Percentage of Common Expenses. Each unit owner in Phase I
of "A Place at the Beach - Atlantic Beach" shall share in the
common expenses of "A Place at the Beach - Atlantic Beach" at the
rate equal to said unit owner's interest in the undivided common
areas and facilities as determined in paragraph 9, above. Unit
owners of Phase II, Phase III, or Phase IV properties, together
with unit owners of Phase I property shall share in the common
expenses in an amount equal to said unit owner's undivided interest
in the common areas.
11. Use Restrictions and Prohibition Against Time Sharing. The
buildings and each of the units contained therein shall be used for
residential purposes only; provided, however, that so long as SANDS
INVESTMENTS No.'2, INC. retained any unsold units within' said
project it could utilize any dwelling or dwellings owned by it for
sales office, model, or other usage for the purpose of selling said
units within said project. SANDS INVESTMENTS NO. 2, INC. could
assign this commercial usage right to such other persons or
entities as it may have chosen; provided, however, that when all
units were 'sold, this right of commercial usage by SANDS
BOOK___ ____ PAGFF,

15
INVESTMENTS N0. 2, INC. or its assigns immediately ceased. Further,
one additional unit could, subject to the rules and regulations
promulgated by the Board of Governors of "A Place at the Beach -
Atlantic Beach, Inc.." be used as a manager's office and/or for the
purpose of conducting a rental program for the benefit of the
owners. Use of the, buildings and units is, or may be, further
restricted under the By -Laws of "A Place at the Beach - Atlantic
Beach, Inc.", which By -Laws are attached to the original
Declaration and made. a part thereof.
Further, no property subject to this Declaration of Unit
Ownership shall be used, purchased, owned, or sold on a "time-
sharing" or "interval ownership" basis, or on any other basis
substantially similar to such form of ownership, or designed so as
to produce similar results. For this purpose "time-sharing" means
a combination of (1) an undivided interest in a present estate in
fee simple in a unit, the magnitude of that interest having been
established by a declaration or by a deed conveying the time-share
estate, coupled with (2) the exclusive right to possession and
occupancy of that unit during a regularly recurring period
designated by that deed or by a recorded document referred to
therein. For this purpose, "interval ownership" means a combination
of (1) an estate for years in a unit, during the term of which
title to the unit rotates among the time share owners thereof,
vesting in each of them in turn for periods established by a fixed
recorded schedule, with the series thus established recurring
regularly until the term expires, coupled with (2) .a vested
undivided fee simple interest in the remainder in that :unit the
magnitude of that interest having been established by a declaration
or by a deed creating the interval estate.
12. Person to Receive Service of Process. L. Patten Mason is
hereby designated to receive service of process in any action which
may be brought against or in relation to this Condominium, and such
person's residence or place of business is Mason & Mason, P.A.,, 225
Professional Circle, Morehead City, North Carolina 28557. All
correspondence to said process agent shall be addressed to Post
dffice Drawer 99, Morehead City, North Carolina 28557.
13. Easements. Each unit owner shall have an easement in
common with the ether owners of all other units to use all pipes,
wires, ducts, cables, conduits, public utility lines and other
common facilities located in any of the other units and serving his
unit. Each unit shall be .subject to an easement in favor of the
owners of all other units to use the pipes, ducts, cables, wires,
conduits, public utility lines and other common facilities serving
such other units and located in such unit. The Board of Governors
of "A Place at the Beach - Atlantic Beach, Inc.", or its designee,
BOOM--- RAG

16
shall have the right of access to each unit to inspect same, to
remove therefrom such items which are in violation of any
applicable law, regulation, By -Law or rule and to maintain, repair
or replace the common facilities contained therein or elsewhere in
the building.
The Board of Governors of "A Place at the Beach - Atlantic
Beach, Inc." may hereafter grant easements for utility purposes for
the benefit of the property, including the right to install, lay,
maintain, repair and replace water lines, pipes, sewer lines,
telephone wires and equipment and electrical conduits, and wires
over, under, along and on any portion of the common area; and each
unit owner hereby grants the Board of Governors an irrevocable
power of attorney to execute, acknowledge and record for and in the
name of each unit owner such instruments as may be necessary to
effectuate the foregoing.
14. Right of Entry into Units in Emergencies. In case of any
emergency originating in or threatening any unit, regardless of
whether the owner is present at the time of such emergency, the
Board of Governors, or its designee, or the building superintendent
or managing agent, shall have the right to enter such unit for the
purpose of remedying or abating the cause of such emergency, and
the right of entry shall be immediate, and to facilitate entry in
the event of any such emergency, the owner of each unit, if
required by the Board of Governors, shall deposit under the control
of the Board of Gogernors,or its designee a key to such dwelling.
15. Partitioning. The common areas and facilities shall not be
divided nor shall any right to partition any part thereof exist.
Nothing herein contained, however, shall be deemed to prevent
ownership of a Condominium unit by the entireties, jointly, or in
common or in any other form by law permitted, but provided that the
form of ownership commonly denominated "time-sharing" or "interval
ownership" as more fully defined in paragraph 11, as amended, is
prohibited.
16. Liens. While the property remains subject to this
Declaration and the provisions of the North Carolina Unit Ownership
Act, no liens of'any nature shall arise or be created against the
common areas and -facilities except with the unanimous consent in ^.
writing of all A the Condominium unit owners and the holders of
first liens thereon except such liens as may arise or be created
against the several units and their respective common interest
under the provisions of the North Carolina Unit Ownership Act.
17. Nature of Interest in Units. Every Condominium unit,
together with its undivided interest in the common areas and
Q 00 K__ 4 ­ PAr-;!7 6/

17
facilities, shall for all purposes, be and it is hereby declared to
be and to constitute a separate parcel of real property and the
unit owner thereof shall be entitled to the exclusive ownership and
possession of his Condominium unit subject only to the covenants,
restrictions, and easements contained herein and the By -Laws,
Rules, Regulations,, Resolutions and decisions of "A Place at the
Beach - Atlantic Beach, Inc." adopted pursuant thereto.
18. Insurance. -Insurance coverage on the property shall be
governed by the following provisions:
a. Ownership of Policies. All policies upon the Condominium
property shall be purchased by the Board of Governors of "A Place
at the Beach - Atlantic Beach, .Inc." for the benefit of the
Association and the unit owners and their mortgagees as their
interests may appear, and provisions shall be made for the issuance
of certificates of mortgagee endorsements to the mortgagees of unit
owners. Unit owners may, at their option, obtain insurancecoverage
at their own expense upon their personal property and for their
personal liability and living expense and such other coverage as
they may desire.
b. Coverage. All buildings and improvements upon the land and
all personal property included in the common areas and facilities
shall be insured in an amount equal to the maximum insurable
replacement value as determined annually by the Board of Governors
of "A Place at the Beach - Atlantic Beach, Inc." with the
assistance of the insurance company providing such coverage. Such
coverage shall provide protection against:
(i) loss or damage by fire and other hazards covered by a
standard extended coverage endorsement, and
(ii) such other risks as from time to time shall be
customarily covered with respect to buildings similar, in
construction, location and use as the buildings on the land
hereinbefore described.
Public liability insurance shall be secured by the Board of
Governors of "A Place at the Beach - Atlantic Beach, Inc." in such
amount and with such coverage as shall be deemed necessary by said
Board of Governors, including, but not limited to, an endorsement
to cover liability of the unit owners as a group to a single unit
owner. There shall also be obtained workmen's compensation
insurance to meet the requirements of law and other insurance
coverage as said -Board of Governors shall determine from time to
time to be desirable and necessary.

18
c. Premiums. Premiums for insurance policies purchased by "A
Place at the Beach - Atlantic Beach, Inc." shall be paid by "A
Place at the Beach ",Atlantic Beach, Inc." as a common expense.
d. Proceeds. All insurance policies purchased by said Board of
Governors shall be for the benefit of "A Place at the Beach -
Atlantic Beach, Inc." and the unit owners and their mortgagees as
their interests may appear, and shall provide that all proceeds
thereof shall be pay4Lble to "A Place at the Beach - Atlantic Beach,
Inc." as insurance trustee under this Declaration. The sole duty of
"A Place at the Beach - Atlantic Beach, Inc." as insurance trustee
shall be to receive such proceeds as are paid and to hold the same
in trust for the purposes elsewhere stated herein or stated in the
By -Laws and for the benefit of the unit owners and their mortgagees
in the following shares:
(i) Proceeds on account of damage to common areas and
facilities: an undivided share for each unit owner, such share
being the same as each unit owner's undivided interest in the
common areas and facilities.
(ii) Proceeds on account of damage to units shall be held in
the following undivided shares:
(A) When the buildings are to be restored: for the owners of
damaged units in proportion to the costs of repairing the damage
suffered by each unit owner, which cost shall be determined by the
Board of Governors of "A Place at the Beach - Atlantic Beach, Inc."
(B) When the buildings are not to be restored: an undivided
share for each unit owner in said building, such share being the
percentage of said proceeds which the unit owner's undivided
interest in the common area bears to the total undivided interest
in the common areas of all the unit owners within the damaged
building.
(iii) In the event a mortgagee endorsement has been issued as
to a unit, the share of the unit owner shall be held in trust for
the mortgagee and the unit owner as their interests may appear.
19. Distribution of Insurance Proceeds. Proceeds of insurance '.
policies receive by "A Place at the Beach Atlantic Beach, Inc." as
insurance trustee shall be distributed to or for the benefit of the
beneficial owners in the following manner:
a. Expense of the Trust. All expenses of the insurance trustee
shall be first paid or provisions made therefor.
BOOK- ._ R� PAGE �t(. _-

19
b. Reconstruction or Repair. If the damage for which the
proceeds are paid is to be repaired or reconstructed, the remaining
proceeds shall be paid to defray the cost thereof as provided by
paragraph 20 hereof, Any proceeds remaining after defraying such
cost shall be distributed to the beneficial owners under the
provisions of paragraphs 18,e(ii)(B), and 18,e(iii).
c. Failure to Reconstruct or Reair. If it is determined, as
provided in paragraph 20 hereof, that the damage for which the
proceeds are paid shall not be reconstructed or repaired, the
remaining proceeds shall be distributed to the beneficial owners
thereof as provided in paragraph 18,e(ii)(B).
20. Damage and Destruction. Except as hereinafter provided,
damage to or destruction of any buildings shall be promptly
repaired and restored by "A Place at the Beach - Atlantic Beach,
Inc.," using the proceeds of insurance on the building or buildings
for that purpose and unit owners of the building or buildings
destroyed shall be liable for assessment of any deficiency.
However, if any multiple unit building shall be more than two-
thirds destroyed by fire or other casualty and if the owners of
three -fourths of the units in any damaged or destroyed building
elect not to proceed with reconstruction or restoration, then, in
that event:
a. The owner of each unit not to be constructed or restored
shall be liable to,"A Place at the Beach Atlantic Beach, Inc." in
a sum equal to five (5) times the current yearly assessment, such
assessment being severance damages to compensate the remaining unit
owners for increased common interest expenses, and thus larger
assessments from "A Place at the Beach - Atlantic Beach, Inc."
b. In lieu of the severance damages set out in the preceding
paragraph, and as liquidated damages therefor, the owner bf each
individual unit not to be restored or replaced shall convey his,
her, its or their undivided interest in the property herein known
as "A Place at the Beach - Atlantic Beach", to the individual unit
owners who are not subject to severance damages, in common, and in
shares so that each grantee shall take a percentage ownership in
the whole equal,, vis-a-vis the other grantees, to that share of
common property owned before the disaster. "A Place at the Beach -
Atlantic Beach, Inc." is expressly given the right to enforce this
liquidated damages provision for the owners, and shall be entitled
to collect any expenses reasonably incurred in enforcing this
provision from the party refusing to convey voluntarily.
c. Immediately upon a determination by the unit owners in a
building not to, repair or rebuild the building following a
800 PAGE-�-�

20
disaster, each such unit owner's membership and right to vote in
the Association shall terminate.
d. In the event of damage to or destruction of the common
facilities, if the insurance proceeds available are insufficient to
repair or restore said building or improvements, then all of the
unit owners then members of "A Place at the Beach - Atlantic Beach,
Inc.," shall be liable for assessments of any deficiency_.
Any reconstruction or repair shall be in accordance with the
plans and specifications of the original building, as shown on the
recorded plans and specifications for such building. The Board of
Governors of "A Place at the Beach Atlantic Beach, Inc.", however,
shall have the right to modify said plans.
The owner or owners of each unit shall be liable for the
expense of any maintenance, repair or replacement rendered
necessary by his act, neglect or carelessness, or by the act of any
member of his family, or his or their guests, employees, agents, or
lessees, but only to the extent that such expense is not met by the
proceeds of insurance carried by the Board of Governors. Such
liability shall include any increase in fire insurance rates
occasioned by use, misuse, occupancy, or abandonment of the unit or
its appurtenances. Nothing herein contained, however, shall be
construed so as to modify any waiver by insurance companies of
rights of subrogation.
In any proceeding arising because of an alleged violation of
this provision of this Declaration, the By -Laws of "A Place at the
Beach - Atlantic Beach, Inc.", or any rules or regulations
promulgated pursuant thereto, by the owner of any dwelling, the
Board of Governors, if successful, shall be entitled to recover the
cost of the proceedings, and such reasonable attorney's fees as may
be determined by the Court, but in no event shall the owner of any
unit be entitled to such attorney's fees.
21. Transfer of Units. No unit owner may mortgage or otherwise
encumber his unit or any interest therein unless such mortgage or
encumbrance shall provide for written notice to "A Place at the
Beach - Atlantic 'Beach, Inc." in the event of a default under. such
mortgage or other encumbrance and shall further provide for not
less than ten (1d) days written notice to the Association prior to
any foreclosure under any such mortgage or other encumbrance. Each
unit owner who shall mortgage or otherwise encumber his unit or any
interest therein shall furnish to the Association a copy of such
mortgages, deeds of trust or other instruments creating such
encumbrance.'.

21
22. Units Sub'ect to Declaration BY -Laws, Rules and
Regulations. All present and future owners, tenants, and occupants
of units shall be subject to, and shall comply with the .provisions
of this Declaration, the By -Laws of "A Place at the Beach
Atlantic Beach, Inc.", and any rules and regulations as may be
adopted in accordance with said By -Laws, as said Declaration, By
Laws, Rules and Regulations may be amended from time to time. The
acceptance of a deed of conveyance or the entering into of a lease
or the entering intp occupancy of any unit shall constitute an
agreement that the provisions of this Declaration, By -Laws, and any
rules and regulations which may be adopted are accepted and
ratified by such owner, tenant or occupant and all of such
provisions shall be deemed and taken to be covenants running with
the land and shall bind any person having at any time any interest
or estate in such unit as though such provisions were made a part
of each and every deed of conveyance or lease.
23. Tax tatus. The Declarant has initially incorporated "A
Place at the Beach - Atlantic Beach, Inc." as a nonprofit
corporation pursuant to the provisions of Chapter 55A of the North
Carolina General Statutes. The Declarant does not warrant,
however, that the tax exempt status of said corporation shall
continue nor shall the Declarant become liable to any unit owner or
any Association of unit owners as the result of any subsequent
change of the corporation's tax status.
24. Amendment of Declaration.
a. Amendments to this Declaration for the purpose of further
identifying the residences or units contemplated in the development
were to be made as and when the construction of each of the
buildings was completed. Amendments to the Declaration for the
purpose of submitting the Phase II property, the Phase III
property, and the Phase IV property to the provisions 'of the
Declaration could be made pursuant to subparagraphs b., c., and d.,
of paragraph 5, hereof. Each such amendment was to be approved by
the Declarant and filed for record in the Office of the Register of
Deeds of Carteret County, North Carolina, at which time the same
was to become effective.
b. All other amendments to this Declaration may be made only
upon the approva'i of at least sixty-six and two-thirds (66 2/3%)
percent in number and in common interest of all unit owners, cast
in person or by proxy at a meeting duly held in accordance with the
provisions of the By -Laws of "A Place at the Beach - Atlantic
Beach, Inc.", provided, however, that paragraph 20 shall not be
amended without the vote of at least 75% in number and in common
interest of all unit owners. No such amendment shall be effective

22
until recorded in the Office of the Register of Deeds of Carteret
County. No amendment to this Declaration was to be made which could
alter the Declarant'$ rights and options created hereunder or any
rights and options of Declarant created by the By -Laws of "A Place
at the Beach - Atlantic Beach, Inc."
25. Invalidity. The invalidity of any provision of this
Declaration shall not be deemed to impair or affect in any manner
the validity and enfprceability or effect of the remainder of this
Declaration, and in such event, all of the other provisions of this
Declaration shall continue in full force and effect as if such
invalid provisions had never been included herein.
26. Waiver. No provisions contained in this Declaration shall
be deemed to have been abrogated or waived by reasons of any
failure to enforce the same, irrespective of the number of
violations or breaches which may occur.
27. CaAtions. The captions herein are inserted only as a
matter of convenience and for reference and in no way to define,
limit, or describe the scope of this Declaration nor the intent of
any provision hereof.
28. Law Controlling. This Declaration and the By -Laws attached
hereto shall be construed and controlled by and under the laws of
the State of North Carolina.
IN WITNESS WHEREOF, the Association has caused this Restated
Declaration to be executed by its duly authorized officers, all by
authority of, more than 66-2/3 of the unit owners in number and
per:G.entage ownership and its corporate seal to be hereunto affixed,
the.day and date first written above for the purposes fully set
forth in the Background Statement hereto.
.h' •iHhugrrq y
# �� "A PLACE AT THE BEACH -
v . •flL,,� •..ly .f. ATLANTIC BEACH
INC."
} By:
i 7\. President
ATT
III IWO
Se. retary

0
a
23
NORTH CAROLINA
CARTERET COUNTY
a Notary Public in and for the
above -named State and County, do hereby certify that personally
appeared before me this day POc"nA C..M eor
who, being by me
duly sworn, says that he is the President of A Place at the Beach -
AtYantic Beach, Inc., a North Carolina nonprofit corporation, and
that: he as president, being authorized to do so, executed the
rnstrument on behalf of the corporation.
S, my hand. and notarial seal, this 09 day of
2001.
c r�
=
cps
ca. 4\G.
'Notary Public
Expires: //_fp�
soutnwinds.d— Melanie Arthur
Carteret Countyy Register of Deeds
CS Date 08/24/2001 Time 16a43:00
OR 916611 Page i of 23
NORTH CAROLINA, CARTERET COUNTY
The foregoing certiticate(al of Notary Pubfic(s) Ware
certified to be correct This instrument and this certlfi-
Ca10 are duly registe ed at the date and ti and in
the Book an (rage hown on the first age red.
t nie Arthur set ds
tea,

STATE OF NORTH CAROLINA
COUNTY OF CARTERET
Permit No. W 0� 018992
OPERATIONAL AGREEMENT
This AGREEMENT made pursuant to G.S. 143-215.1 (dI) and entered into this day of
f L4 & gz5f 2 Dl 'S , by and between the North Carolina Environmental Management
Commission, an agency of the State of North Carolina, hereinafter known as the COMMISSION; and
A Place at the Beach, Inc., d/b/a Southwinds , a non-profit corporation organized
and existing under and by virtue of the laws of the State of North Carolina, hereinafter known as the
ASSOCIATION.
W ITNESSETH_
1. The ASSOCIATION was formed for the purpose, among others, of handling the property, affairs and
business of the development known as Southwinds
(hereinafter the Development); of operating, maintaining, re -constructing and repairing the common
elements of the lands and improvements subject to unit ownership, including the wastewater collection
system with pumps, wastewater treatment works, and/or disposal facilities (hereinafter Disposal System);
and of collecting dues and assessment to provide funds for such operation, maintenance, re -construction
and repair.
2. The ASSOCIATION desires, to construct and/or operate a Disposal System to provide sanitary sewage
disposal to serve the Development on said lands.
3. The ASSOCIATION has applied to the COMMISSION for the issuance of a permit pursuant to G.S. 143-
215.1 to construct, maintain, and/or operate the Disposal System.
4. The Development was created subject to unit ownership in the dwellings units, other improvements and
lands through filing of a Declaration of Unit Ownership (hereinafter Declaration), pursuant to Chapter
47C of the North Carolina General Statutes.
5. The COMMISSION desires to assure that the Disposal System of the Development is properly
constructed, maintained and operated in accordance with law and permit provisions in order to protect the
quality of the waters of the State and the public interest therein.
NOW, THEREFORE, in consideration of the promises and the benefits to be derived by each of the parties
hereto, the COMMISSION and ASSOCIATION do hereby mutually agree as follows:
1. The ASSOCIATION shall construct the Disposal System and/or make any additions or modifications to
the Disposal System in accordance with the permit and plans and specifications hereafter issued and
approved by the COMMISSION, and shall thereafter properly operate and maintain such systems and
facilities in accordance with applicable permit provisions and law.
2. The ASSOCIATION shall provide in the Declaration and Association Byla�vs that the Disposal System
and appurtenances thereto are part of the common elements and shall thereafter be properly maintained
and operated in conformity with law and the provisions of the permit for construction, operation, repair,
and maintenance of the system and facilities. The Declaration and Bylaws shall identify the entire
wastewater treatment, collection and disposal system as a common element, which will receive the highest
priority for expenditures by the Association except for Federal, State, and local taxes and insurance.
foRM. HOA 01-15
RECEIVEDIDERDWR RECEIVEDIDERDWR Page 1 of 2
AUG 0 4 2015
AUG ( fi
waeor Quality
Parmiffln ':selow
Water Quality
Fermittine Section.

3
4.
�0— Ir
5.
c9
7.
The ASSOCIATION shall provide in the Declaration and Association Bylaws that the Disposal System
will be maintained out of the common expenses. In order to assure that there shall be funds readily
available to repair, maintain, or construct the Disposal System beyond the routine operation and
maintenance expenses, the Declaration and Association Bylaws shall provide that a fund be created out of
the common expenses. Such fund shall be separate from the routine maintenance fund allocated for the
facility and shall be part of the yearly budget.
In the event the common expense allocation and separate fund(s) are not adequate for the construction,
repair, and maintenance of the Disposal System, the Declaration and Association Bylaws shall provide for
special assessments to cover such necessary costs. There shall be no limit on the amount of such
assessments, and the Declaration and Bylaws shall be provided such that special assessments can be made
as necessary at any time.
If a wastewater collection system and Wastewater treatment and/or disposal facility provided by any city,
town, village, county, water and sewer authorities, or other unit of government shall hereinafter become
available to serve the Development, the ASSOCIATION shall take such action as is necessary to cause the
existing and future wastewater of the Development to be accepted and discharged into said governmental
system, and shall convey or transfer as much of the Disposal System and such necessary easements as the
governmental unit may require as condition of accepting the Development's wastewater.
Recognizing that it would be contrary to the public interest and to the public health, safety and welfare for
the ASSOCIATION to enter into voluntary dissolution Without having made adequate provision for the
continued proper maintenance, repair and operation of its Disposal System, the ASSOCIATION shall
provide in the ASSOCIATION Bylaws that the ASSOCIATION shall not enter into voluntary dissolution
without first having transferred its said system and facilities to some person, corporation or other entity
acceptable to and approved by the COMMISSION by the issuance of a permit.
The ASSOCIATION shall not transfer, convey, assign or otherwise relinquish or release its responsibility
for the operation and maintenance of its Disposal System until a permit has been reissued to the
ASSOCIATION's successor.
8. The agreements set forth in numbered paragraphs 1, 2, 3, 4, 5, b, and 7 above shall be conditions of any
permit issued by the COMMISSION to the ASSOCIATION for the construction, maintenance, repair and
operation of the Disposal System.
9. A copy of this agreement shall be filed at the Register of Deeds in the County(ies) where the Declaration
is filed and in the offices of the Secretary of State of North Carolina with the Articles of Incorporation of
the Association.
IN WITNESS WHEREOF, this agreement was executed in duplicate originals by the duly authorized
representative of the parties hereto on the day and year Written as indicated by each of the parties named below:
1 It
FOR THE ENVIRONMENTAL
MANAGEMENT COMMISSION
;1jV
Zi erman, Director
o fWater Resources
�je o4� 5
(Date)
FORM: HOA 01-15
Name of ASSOCIATION�tTt Wi'o
B
(Sim
Print Name and Title
(Date)
Page 2 of 2

Wastewater Treatment Facilities Management Contract
day of Qby and between
This Contract is entered onto his IY
and Hydrotech Environme al, LLC.
herein after referred to as "'W!N'TA"]
Whereas, this contract concerns Customer's Sewer Plant facility (
c in Carteret County, North Carolina.
serving
Whereas, Hydrotech wishes too the WWTR in accordancewithith the requirements
And he desire and goal of
the operational duties of the NPDE5 permit #
consistently meeting discharge compliance as it relates operational cor�'trol•
Whereas, customer wishes to retain Hydrotech as he operator of the said WWT°•
l covenants and conditions contained herein the parties
Not Therefore, in consideration of the mutua
agree as follows:
. (a•)
During the co tract period, Customer agrees to pay Hydrotech for the services, performed,
the sum of er month. a to
(b.) In addition to the Payment' described i'; parag: aph '! (a) above. C"stonier shah also pay
Hyrdrotech expenses for supplies purchased for he proper operation of the v4wTP and
associated with repair services meter calibration, and sludge hauling.
Z. As consideration for the payments to be made by Customerr as described in paragraph 1 above,
Hydretech agrees to provide the following services to Customer.
(aj A certified sewage treatment plant operator as defined � calydance with all e te of rtapplicable above
perform all acts necessary to keep he WWTP oph Carolina tp
erating in
referenced permit regulations.
b Routine operations and daily test as per permit requirements. Customer will be responsible
for all ;nai;;tenan.ce and repair expenses.
Customer will be
(c) Collection of on -site effluent, influent, and monitoring well samples,Charges, a ill
responsible for all laboratory expenses, shipping charges, couriers, pickup
(d) record keeping:
(e) Completion of all state monitoring reports
and forward reports to Customer for signature
and submittal by mail to he State Or County Office.
(f) Procurement of suppliers necessary for proper operation of the WWTP.

authorizes H drotech to take immediate corrective action in the event of any malfunction,
3, Customer author Y agrees to attempt to contact the Facility
damage, or loss to any part of the WWTp Hydrotech
undertaking emergency repairs that have an estimated cost in excess of $3,000,
Representative beforerepairs
Hydrotech from taking immediate corrective
but the failure of an attempt to contact shall not prevent
action.
is
ct shall be in force for a period of one year and automaficalt red olly r amended amended excepon an annual t by
4. This Contra not be modified,
unless the parties agree otherwise. This contract may
except by the parties hereto. It i5 understood and agreed any � me by Hydrotech and �g sixty
agreement to writing p terminate this agreement at a y
Customer that either Customer or Hydrotech may
(60) days advance written notice.
IN WITNESS WHEREOF, the patties hereto have executed this contract the day and. first written
above.
Date: e'V 3 - _w
Hydrotech Environmental, LLC
P. O. Box 4602
Emerald Isle, N.C. 28594
Date:
— '6 IiLuca) -Lo—
Sign: Sign: