DECLARATION
OF CONDOMINIUM OWNERSHIP FOR 1251-65 WEST GRANVILLE AVENUE CONDOMINIUMS THIS DECLARATION is made on March 4, 2004 by Lakewood Residences, LLC, an Illinois Limited Liability Company ("Declarant"). RECITALS: Declarant is the legal titleholder of the real estate in the City of Chicago, County of Cook, and State of Illinois legally described in Exhibit A hereto (the "Parcel"): Declarant intends by submitting the Parcel together with the building, structure, improvements, and other permanent fixtures of whatsoever kind now or hereafter thereon, and all rights and privileges belonging or in any way pertaining thereto owned by Declarant (collectively, the "Property") to the provisions of the Illinois Condominium Property Act to create the 1251-65 West Granville Avenue Condominiums; and Declarant desires to establish, for the benefit of Declarant, Developer and for the mutual benefit and enjoyment of all future Unit Owners or occupants of the Property, or any part thereof, certain mutually beneficial restrictions, easements and rights and obligations in, over, and upon said real estate with respect to the proper use, conduct, and maintenance thereof, all of which are declared to be in furtherance of a plan to promote and protect the cooperative aspects of residing on the Property and are established for the purpose of enhancing and protecting the value, desirability and attractiveness of the Property; and Declarant intends that all future Unit Owners, occupants, mortgagees, and other persons acquiring any interest in the Property shall at all times enjoy the benefits of, and shall at all times hold their interests subject to the rights, easements, privileges, and restrictions hereinafter set forth. An Illinois not-for-profit corporation shall be incorporated as the Association hereunder and shall be responsible for administering the Property. The Declarant shall retain certain rights as set forth in this Declaration with respect to the Property and the Association, including, without limitation, the right prior to the Turnover Date to appoint all members of the Board and the right to come upon the Property in an effort to promote the sale of the Units. Accordingly, Declarant declares as follows: ARTICLE I Certain words and terms used in this Declaration are defined as follows: (1) "Act" means the Illinois Condominium Property Act, as amended from time to time. (2) "Association" means 1251-65 West Granville Avenue Condominium Association, an Illinois not-for-profit corporation. (3) "Board" or "Board of Directors" means the board of directors of the Association as constituted at any time from time to time. (4) "Building" means the building located on the Parcel, forming a part of the Property and containing the Units, as shown by the surveys depicting the respective floors of the Building. (5) "Bylaws" means the bylaws of the Association, which are attached hereto as Exhibit D, and made a part hereof, as may be amended from time to time in accordance therewith. (6) "Common Elements" means all portions of the Property except the Units, including Limited Common Elements unless otherwise specified, as more specifically described in Section 1 of Article III. (7) "Common Expenses" means the expenses of administration, maintenance, operation, repair and replacement of the Common Elements; the cost of additions, alterations or improvements to the Common Elements; and any other expenses incurred by or on behalf of the Association in conformance with the Condominium Instruments. (8) "Condominium Instruments" means all documents and authorized amendments thereto Recorded pursuant to the provisions of the Act, including this Declaration, the Bylaws, and the Plat. (9) "Declarant" has the meaning set forth in the Recitals. (10) "Declaration" means this instrument with all Exhibits thereto, as amended from time to time pursuant to the terms hereof. (11) "Developer" means Lakewood Residences, LLC, an Illinois Limited Liability Company, its successors and assigns. (12) "First Mortgagee" has the meaning set forth in Article XIV. (13) "Limited Common Elements" means a portion of the Common Elements so designated in this Declaration or on the Plat as being reserved for the use of a certain Unit or Units to the exclusion of other Units, as more specifically described in Section 3 of Article III. (14) "Majority" or "Majority of the Unit Owners" means the unit owners of more than 50% in the aggregate of the Undivided Interests. Any specified percentage of Unit Owners means such percentage in the aggregate in interest of such undivided ownership. (15) "Occupant" means a person or persons, other than a Unit Owner, in possession of one or more Units. (16) "Record" means the recording of a document with the office of the Recorder of Deeds of Cook County, Illinois. (17) "Parcel" has the meaning set forth in the Recitals. (18) "Parking Space" means a space designated for parking a vehicle. There are no parking spaces on the Property (except for the Special Limited Common Element). (19) "Person" means a person, individual, corporation, partnership, limited liability company, trustee or other legal entity capable of holding title to real property. (20) "Plat" means the plat of survey of the Property and all of the Units in the Property attached hereto as Exhibit B and made a part hereof and Recorded with this Declaration. (21) "Property" has the meaning set forth in the Recitals. (22) "Special Limited Common Element" means the area designated on the Plat as "S-l," which is a Limited Common Element and specifically referred to in Section 6 of Article III. (23) "Turnover Date" means the date Declarant and Developer turn over control and operation of the Association to Unit Owners, as more specifically described as a date which is not more than sixty (60) days after the conveyance by Developer of seventy-five percent (75%) of the Units or three (3) years after the Recording of this Declaration, whichever is earlier. (24) "Undivided Interest" means the percentage of ownership interest in the Common Elements appurtenant to a Unit as herein allocated and set forth in Exhibit C attached hereto. (25) "Unit" means a part of the Property within the Building used for residence and depicted on the Plat. Unless specifically provided otherwise herein, Declarant shall be deemed a Unit Owner of a Unit so long as it is the titleholder of any Unit. (26) "Unit Owner" means the person or persons whose estates or interests, individually or collectively, aggregate fee simple absolute ownership of a Unit. (27) "Unit Ownership" means a part of the Property consisting of one Unit and its Undivided Interest. (28) "Voting Member" means the person entitled to exercise all voting power in respect to each Unit Ownership. ARTICLE II 1. Units. (a) All Units are located on the Property and are delineated on the Plat. The legal description of each Unit shall consist of the identifying letter or symbol of such Unit as shown on the Plat. Every deed, lease, mortgage or other instrument shall legally describe a Unit by its identifying letter or symbol and every such description shall be deemed good and sufficient for all purposes as provided in the Act. (b) Each Unit consists of the space enclosed and bounded by the horizontal and vertical planes as delineated on the Plat, including, without limitation, pipes, ducts, flues, chases, chutes, conduits, wires and other structural, utility, heating, cooling or ventilation equipment or spaces to the extent and only to the extent serving only such Unit; but, excluding all structural components of the Building. The term "structural components" includes structural columns and pipes, wires, conduits, ducts, flues, shafts or public utility lines running through the Unit and forming a part of any system serving more than the Unit, or any components of communication or master antenna systems, if any, located in the Unit, whether or not any such items shall be located in the floors, ceilings or perimeter or interior walls of the Unit. (c) Except as provided by the Act or as provided elsewhere herein, no Unit Owner shall, by deed, plat, court decree or otherwise, combine or subdivide or in any other manner cause his Unit to be separated into any tracts or parcels different from the whole Unit as shown on the Plat. (d) The Plat sets forth the measurements, elevations, locations and other data, as required by the Act with respect to (i) the Parcel and its exterior boundaries; (ii) the Building and each floor thereof; and (ii) each Unit in the Building and each Unit's horizontal and vertical dimensions. 2. Separate Real Estate Taxes. It is understood that real estate taxes are to be separately taxed to each Unit Owner for his Unit Ownership as provided in the Act; provided, however, if at the Turnover Date separate real estate tax bills have not been issued with respect to each Unit, the Association may elect, by action of the Board of Directors, to include the real estate taxes imposed on the Property in the Common Expenses assessed pursuant to this Declaration until separate real estate tax bills are so issued. 3. Separate Mortgages. Each Unit Owner shall have the right, subject to the provisions herein, to make a separate mortgage or encumbrance on his respective Unit together with his respective ownership interest in the Common Elements. No Unit Owner shall have the right or authority to make or create or cause to be made or created any mortgage or encumbrance or other lien on or affecting the Property or any part thereof, except only to the extent of his Unit and his Undivided Interest. ARTICLE III 1. Description. Except as otherwise provided in this Declaration, the Common Elements shall consist of all portions of the Property except the Units. Without limiting the generality of the foregoing, the Common Elements shall include: the walls, roof, hallways, stairways, entrances and exits, mechanical equipment areas, meter rooms, storage areas, trash rooms, master television antenna and cabling system (if any), pipes, ducts, flues, shafts, electrical wiring and conduits (except pipes, ducts, flues, shafts, electrical wiring and conduits situated entirely within a Unit and serving only such Unit), heating, air conditioning and ventilating systems and equipment serving the Common Elements, public utility lines structural components of the Building as such components serve the Condominium, and all other portions of the Property except the Units. Any references to "Common Elements" appearing on the Plat (except references to Limited Common Elements) shall be deemed solely for purposes of general information and shall not be limiting in any way, nor shall any such reference define the Common Elements in any way. 2. Ownership of Common Elements. Each Unit Owner shall own an Undivided Interest as a tenant in common with all the other Unit Owners of the Property in the percentage of ownership in the Common Elements allocated to the respective Unit owned by such Unit Owner. The Undivided Interests have been computed and determined in accordance with the Act based on the value of each respective Unit in relation to the value of the Property as a whole, and shall remain constant and shall not be changed, except as specifically permitted under the Act or this Declaration. Developer has so determined each Unit's appurtenant Undivided Interest and each Unit Owner accepts such determination. The ownership of each Unit shall not be conveyed separately from the percentage of ownership in the Common Elements corresponding to said Unit. The Undivided Interest shall always be deemed conveyed or encumbered with any conveyance of encumbrance of that Unit, even though the legal description in the instrument conveying said Unit may refer only to that Unit. The Common Elements shall remain undivided and no Unit Owner shall bring any action for partition. Each Unit Owner shall have the right to use the Common Elements for all purposes incident to the use and occupancy of his Unit as a place of residence, and such other incidental uses permitted by this Declaration, which right shall be appurtenant to and run with his Unit. Such right shall extend to each Unit Owner, and the agents, servants, tenants, family members, and invitees of each Unit Owner. 3. Limited Common Elements. The Limited Common Elements shall consist of such portions of the Common Elements serving exclusively one or more Units as an inseparable appurtenance thereto, as designated as such in this Declaration, depicted on the Plat or which by the nature or location thereof are to be reserved for the use of one or more Units to the exclusion of other Units. The Limited Common Elements shall include, but shall not be limited to, the following: (a) the interior surface of the perimeter walls, ceilings and floors which define the boundary planes of a Unit; (b) perimeter doors, windows and skylights which serve exclusively a single Unit; (c) any system or component part thereof which serves a Unit exclusively, to the extent that such system or component part is located outside the boundaries of a Unit; and (d) porches which are contiguous to one or more Units. 4. Use and Transfer of Limited Common Elements. Each Unit Owner and Occupant shall have the right to (a) the exclusive use and possession of the Limited Common Elements serving exclusively the Unit of such Unit Owner, which right shall be appurtenant to and shall run with the title of such Unit and shall not be separated from such Unit, and (b) the use and possession of the Limited Common Elements serving the Unit of such Unit Owner in common with one or more (but not all) other Units, which use and possession shall be to the exclusion of all other persons except the Unit Owner of any such other Unit to which such Limited Common Elements shall respectively appertain. The use of Limited Common Elements may be transferred between Unit Owners at their expense, provided that the transfer may be made only in accordance with the Condominium Instruments and the Act. Each transfer shall be made by an amendment to this Declaration executed by all Unit Owners who are parties to the transfer and consented to by all other Unit Owners and mortgagees, which shall not be unreasonably withheld, who have any right to use the Limited Common Elements affected thereby. The amendment shall contain a certificate showing that a copy of amendment has been delivered to the Board. The amendment shall contain a statement from the parties involved in the transfer which sets forth any changes in the Undivided Interests in the Common Elements. If the parties cannot agree upon a reappointment of their respective percentage interests in the Common Elements, the Board shall decide such reapportionment. No transfer shall become effective until the amendment has been duly Recorded. Rights and obligations in respect to any Limited Common Elements shall not be affected, nor shall any transfer of it be effective, unless made in strict accordance with provisions hereof. 5. Parking Spaces and Storage Rooms. No parking of automobiles or other vehicles (except as may be permitted on S-1) is permitted on the Property and no parking spaces are available thereon. The Plat does not specify or provide for any storage rooms or storage areas for the exclusive use of or Limited Common Element to any Unit. 6. Special Limited Common Element. The area designated as "S-1" on the Plat is a Special Limited Common Element. The right to use of S-1 shall be assigned to one of the Units by designation on the deed to the first Unit Owner of said Unit. The right to use S-1 shall (a) be limited to parking or storage of a small automobile, motorcycles, bicycles, or other personal property, all in compliance with the Ordinances of the City of Chicago and other applicable laws and (b) be exclusive to said Unit Owner except that all other Unit Owners and the Association shall have the right of access and ingress and egress over said across said S-1, which Unit Owner's use may not restrict. Use of S-1 may be transferred as provided in Section 4 of this Article III, except that the Unit Owner which has the right to use S-1 may execute an amendment transferring the right to S-1 to the Association, whereupon S-1 shall cease being a Limited Common Element and shall simply be part of the Common Elements; and except, in the event of any such transfers, there shall be no change in the Undivided Interests.
1. Submission of Property to Provisions of Act. Declarant, as the owner in fee simple of the Property, expressly intends to, and by Recording this Declaration, does hereby submit and subject the Property to the provisions of the Act and of this Declaration. Henceforth, the Property shall be known as the "1251-65 West Granville Avenue Condominiums". 2. Easements. (a) Encroachments. If (i) by reason of the construction, repair, settlement or shifting of the Building, or any other improvements, any part of the Common Elements encroaches or shall hereafter encroach upon any part of any Unit, or any part of any Unit encroaches or shall hereafter encroach upon any part of the Common Elements, or any other Unit; or (ii) by reason of the design or construction of any Unit, it shall be necessary or advantageous to a Unit Owner to use or occupy any portion of the Common Elements for any reasonable use appurtenant to said Unit, which will not unreasonably interfere with the use or enjoyment of the Common Elements by any other Unit Owner; or (iii) by reason of the design or construction of utility and ventilation systems, any mains, pipes, ducts or conduits serving more than one Unit encroach or shall hereafter encroach upon any part of any Units; then in any such case, valid easements for maintenance of such encroachment and for such use of the Common Elements are hereby established and shall exist for the benefit of such Unit, or the Common Elements, as the case may be, so long as such reason for use exists and as all or any part of it, the Building shall remain standing; provided, however, that in no event shall a valid easement for any encroachment or use of the Common Elements be created in favor of any Unit Owner if such encroachment or use is detrimental to or interferes with the reasonable use and enjoyment of the Property by any other Unit Owner or has been created by the Unit Owner or his agent through intentional, willful or negligent conduct. (b) Utility Easements. The City of Chicago and all other suppliers of utilities (including, without limitation, telephone, cable, communications and television) expressly selected to serve the Property and any person providing cable or other similar services to any Unit Owners or to the Property, are hereby granted the right to install, lay, construct, operate, maintain, renew, repair or replace conduits, cables, pipes and wires and other equipment into, over, under, along and on any portion of the Common Elements where reasonably necessary for the purpose of providing the Property with utility and entertainment services, together with the reasonable right of ingress to and egress from the Property for said purpose; and Declarant, Developer, the Board or Association may hereafter grant other or additional easements for utility or entertainment purposes and for other purposes, including such easements as Declarant or Developer may from time to time require including, but not limited to, such easements as may be required to construct, keep and maintain improvements upon the Common Elements, for the benefit of the Property, over, under, along and on any portion of said Common Elements, and each Unit Owner hereby grants the Board or Association an irrevocable power of attorney to execute, acknowledge and record for and in the name of such Unit Owner, such instruments as may be necessary to effectuate the foregoing (provided that with respect to all easements granted hereby or pursuant hereto, no Unit Owner shall be deprived of, or be subjected to material interference with, the use of his Unit or any Limited Common Element serving his Unit, other than reasonably and temporarily). Each mortgagee of a Unit shall be deemed to consent to and be subordinate to any easement hereafter granted and also grants such power of attorney to the Board or Association to effectuate the foregoing. Easements are also hereby declared and granted to the Board and Association and to the suppliers of utilities or cable television or entertainment lines described above in this paragraph to install, lay, operate, maintain, repair and replace any pipes, wire, ducts, conduits, public utility lines, entertainment lines, components of the communications systems, if any, or structural components, which may run through the walls of a Unit and which constitute or will constitute Common Elements, whether or not such walls lie in whole or in part within the Unit boundaries. The Board may hereafter grant other or additional easements for utility or commercial entertainment purposes for the benefit of the Property over, under, along and on any portion of said Common Elements, and each Unit Owner and each mortgagee of a Unit hereby grants the Board an irrevocable power of attorney coupled with an interest to execute, acknowledge and record in the name of such Unit Owner, such instruments as may be necessary or appropriate to effectuate the foregoing. (c) Blanket Easements in Favor of Declarant, Developer and Other Parties. The right of the Unit Owners to use and possess the Common Elements shall be subject to a blanket easement over the Common Elements in favor of Declarant, Developer, and their representatives, agents, associates, employees, contractors, subcontractors, tenants, successors and assigns, for the purpose of (i) access and ingress to and egress from the Property or any part thereof, (ii) construction, installation, repair, replacement and restoration of utilities, buildings, landscaping and any other improvements on the Parcel or any part thereof, including the right to restrict and regulate access to the Common Elements for the purposes of completing construction within the Building, Common Elements or Units in the Building, and (iii) the installation and maintenance of signs advertising the Units and indicating the location of the model unit. The foregoing easements in favor of Declarant and Developer shall continue until such time as Declarant and Developer no longer hold legal title to any Unit Ownership, Parking Space or Storage Room at which time such easements shall cease and be of no further force and effect without the necessity of any further action. (d) Easements in Favor of the Association. A blanket easement over the Property, including each Unit, is hereby granted in favor of the Association for the purpose of exercising its rights and performing its duties under this Declaration. The authorized representatives of the Association or the Board, or of the manager or managing agent for the Building, shall be entitled to reasonable access to, over and through the individual Units as may be required in connection with the operation, maintenance, repairs or replacements of or to the Common Elements or any equipment, facilities or fixtures affecting or serving other Units or the Common Elements. (e) Easements in Favor of Unit Owners. Each Unit Owner shall have an easement over and across the Common Elements for access to a public way. (f) Easements and Rights to Run with Land. All easements and rights
described herein are easements and rights running with the land, perpetually in
full force and effect, and at all times shall inure to the benefit of and be binding
upon Developer, its successors and assigns, and any Unit Owner, purchaser, mortgagee,
and other person having an interest in the Property, or any part or portion thereof.
Reference in the respective deeds of conveyance or in any mortgage or trust deed,
to such easements and rights as described in this Article or in any other part
of this Declaration, shall be sufficient to create and reserve such easements
and rights to the respective grantees, mortgagees, and trustees of such Unit ownership
as fully and completely as though such easements and rights were recited fully
and set forth in their entirety in such documents. (a) General. Subject to the provisions of this Declaration, each Unit Owner shall have the nonexclusive right to use the Common Elements (except the Limited Common Elements and portions of the Property subject to leases, easements or licenses made by or assigned to the Board) in common with the other Unit Owners, as may be required for the purpose of ingress and egress to, and user occupancy and enjoyment of, the respective Unit Ownership owned by such Unit Owner, and such other incidental uses as are permitted by this Declaration. Such rights to use and possess the Common Elements, including the Limited Common Elements, shall be subject to and be governed by the provisions of the Act, this Declaration, and rules and regulations of the Association. In addition, the Association shall have the authority to lease, grant licenses or concessions, and grant easements with respect to parts of the Common Elements, subject to the provisions of the Declaration and Bylaws. All income derived by the Association from leases, licenses, concessions or other sources shall be held and used for the benefit of the members of the Association, pursuant to such rules, resolutions or regulations as the Board may adopt or prescribe. (b) Guest Privileges. All rights to use the Common Elements shall extend to the Unit Owner and Occupants, members of the immediate family, guests, visitors, agents, servants, invitees, customers and licensees of the Unit Owner, subject to reasonable rules and regulations adopted or prescribed by the Association with respect thereto. (c) Disclaimer of Bailee Liability. Notwithstanding anything to the contrary contained in this Declaration, neither the Board, the Association, any Unit Owner, Declarant nor Developer shall be considered a bailee of any personal property stored in the Common Elements and shall not be responsible for the security of such personal property or for any loss or damage thereto, whether or not due to negligence. 4. Maintenance, Repairs and Replacements. (a) By the Association. The Association shall be responsible for the maintenance, repair, and replacement of the Common Elements and those portions, if any, of each Unit which contribute to the support of the Building (except the interior surfaces of walls, ceiling, floors, windows and exterior doors which define the boundary planes of a Unit). In addition, the Association shall maintain, repair, and replace all pipes, wires, conduits, ducts, flues, shafts, and other facilities for the furnishing of utility services which may be located within the Unit boundaries and forming party of any system servicing more than one Unit, exclusive of any portions of the foregoing which may be located at or beyond the wall outlets, or which may be expressly the responsibility of a Unit Owner as provided herein. The Association shall be responsible for all maintenance, repair and replacement of the Parking Spaces. Maintenance, repairs, and replacements of the Common Elements shall be furnished by the Association as part of the Common Expenses, subject to the Bylaws or rules and regulations of the Association, except that with respect to any maintenance, repairs or replacements of the Limited Common Elements, the Board may elect to assess the cost thereof only to those Unit Owners who enjoy the benefit of such Limited Common Elements (on such basis as the Board deems reasonable). (b) By the Unit Owner. Except as otherwise provided in paragraph (a) above or paragraph (c) below, each Unit Owner shall furnish and be responsible for, at his own expense: (i) All of the maintenance, repairs and replacements within his own Unit, all doors appurtenant thereto, and all internal installations of such Unit such as thermostat and heating devices, kitchen appliances, lighting and other electrical fixtures, plumbing fixtures, and any portion of any other utility service facilities located within the Unit; provided, however, that such maintenance, repairs and replacements as may be required for the bringing of telephone, cable, television, water, electricity and natural gas to the Units shall be furnished by the Board as part of the Common Expenses. (ii) All of the decorating within his own Unit (initially and thereafter from time to time), including painting, wall papering, washing, cleaning, paneling, floor covering, draperies, window shades, curtains, lamps and other furnishings and interior decorating. Each Unit Owner shall be entitled to the exclusive use of the interior surfaces of the common walls and the interior surfaces of the vertical perimeter walls, floors and ceiling of his Unit, and such Unit Owner shall maintain such portions in good condition at his sole expense as may be required from time to time. The interior surfaces of all windows forming part of a perimeter wall of a Unit shall be cleaned or washed by and at the expense of each Unit Owner. The use of and the covering of the interior surfaces of such windows, whether by draperies, shades, or other items visible on the exterior of the Building, may be subject to the rules and regulations of the Board as may be imposed from time to time. (iii) All of the maintenance, repair and replacements of the Limited Common Elements benefiting his Unit, in whole or in part, except to the extent as otherwise directed by the Board or as is otherwise provided herein. In addition, each Unit Owner shall be individually responsible for the repair, maintenance and replacement of all door and window locks and hardware with respect to which each Unit Owner is entitled to the exclusive use. At the discretion of the Board, the Board may perform, or cause to be performed, such maintenance, repairs and replacements of the Limited Common Elements and the cost thereof shall be assessed in whole or in part to Unit Owners benefited thereby, and further, at the discretion of the Board, the Board may direct such Unit Owners, in the name and for the account of such Unit Owners, to arrange for such maintenance, repairs and replacements, to pay the cost thereof with the funds of the Unit Owner, and to procure and deliver to the Board such lien waivers and contractor's or subcontractor's sworn statements as may be required to protect the Property from all mechanic's or materialmen's lien claims that may arise therefrom. (c) Repairs Covered by Insurance. If any repair or replacement to the Common Elements (including the Limited Common Elements) is made necessary by reason of any act or occurrence for which insurance is maintained by the Board and for which insurance proceeds are available, the Association, at its expense to the extent of such proceeds, shall be responsible for the repair or replacement of such Common Elements. (d) Nature of Obligation. Nothing herein contained shall be construed to impose a contractual liability upon the Association for maintenance, repair and replacement of the Common Elements or the Units or any portion or parts thereof, but the Association's liability shall be limited to damages resulting from negligence. The respective obligations of the Association and Unit Owners set forth in this Declaration shall not be limited, discharged or postponed by reason of the fact that any such maintenance, repair or replacement is required to cure a latent or patent defect in material or workmanship in the construction of the Building, nor because they may become entitled to proceeds under policies of insurance. In addition, and notwithstanding anything herein to the contrary, no Unit Owner shall have a claim against the Board or Association (or against Declarant) for any work ordinarily the responsibility of the Board or Association, but which the Unit Owner himself has performed or paid for, unless the same shall have been agreed to in writing in advance by the Board, Association, Declarant or Developer. 5. Negligence of Unit Owner. If, due to the willful misconduct or negligent act or omission of a Unit Owner, or of a member of his family or household pet or of a guest or other Occupant or visitor of such Unit Owner, damage shall be caused to the Common Elements or to other Unit or Units, or maintenance, repairs or replacements shall be required which would otherwise be charged as a Common Expense, then, in all instances, notwithstanding anything to the contrary contained herein, such Unit Owner shall pay for such damage and such maintenance, repairs and replacements as may be determined by the Board. 6. Joint Facilities. To the extent that equipment, facilities and fixtures within any Unit or Units shall be connected to similar equipment, facilities or fixtures affecting or serving other Units or the Common Elements, or to the extent that the use of any Limited Common Elements by one or more Unit Owners, then any individual Unit Owner shall use such facilities in a manner which does not interfere with the rights of other Unit Owners. 7. Additions, Alterations or Improvements. (a) The Board may authorize and charge as Common Expenses (or in the case of Limited Common Elements, may charge the Unit Owners benefited thereby on such basis as the Board shall deem reasonable), the cost of the additions, alterations or improvements to the Common Elements. If adopted in accordance with the provisions hereof, the proceeds of a special assessment may be used for such additions, alterations or improvements. (b) No additions, alterations or improvements shall be made by a Unit Owner to any part of the Common Elements (including the Limited Common Elements) and no additions, alterations or improvements shall be made by a Unit Owner to his Unit where such work alters the wall or partition, configuration, ceiling, perimeter doors or windows, floor load or otherwise affects the structure of the Unit or increases the cost of insurance required to be carried by the Board hereunder without the prior written consent of the Board. Any addition, alteration or improvement of a Unit by the Unit Owner which shall affect the structure of the Unit or the Common Elements shall, further, conform with structural or engineering drawings prepared or reviewed and approved by an architectural or engineering firm selected by Declarant or the Board. The cost of such drawings or review and approval shall be paid by the Unit Owner. The Board may (but shall not be required to) condition its consent to the making of such an addition, alteration or improvement by a Unit Owner upon the Unit Owner's agreement either (i) to be solely responsible for the maintenance of such addition, alteration or improvement, subject to such standards as the Board may from time to time set, or (ii) to pay to the Association from time to time the additional costs of maintenance of insurance as a result of the addition, alteration or improvement. If an addition, alteration or improvement is made by a Unit Owner without the prior written consent of the Board, then the Board may, in its discretion, take any of the following actions, which actions shall not be exclusive of other remedies available to the Board in the Declaration: (i) Require the Unit Owner to remove the addition, alteration or improvement and restore the Property to its original condition, all at the Unit Owner's expense; or (ii) If the Unit Owner refuses or fails to properly perform the work required under (i), the Board may cause such work to be done and may charge the Unit Owner for the cost thereof as determined by the Board; or (iii) Ratify the action taken by the Unit Owner, and the Board may (but shall not be required to) condition such ratification upon the same conditions which it may impose upon the giving of its prior consent under this Section. 8. Cable/Television System. Each Unit may be equipped with at least one outlet for cable television. The outlet and cable system approved by the Board is an integral part of the Common Elements and will not be tampered with. Each Unit Owner shall be responsible for paying any fees for installation of additional outlets or devices within the Unit and to activate service for the cable system. Unit Owners and Occupants shall not make any modifications to or tamper with any outlets or devices installed in the Units or connections to such system. The Board may charge any Unit Owner with the cost of locating and removing any unauthorized connections thereto and of repairing any modifications thereto. 9. Street and Utilities Dedication. At a meeting called for such purpose, Unit Owners owning two-thirds (2/3) or more of the Common Elements may elect to dedicate a portion of the Common Elements to a public body for use as, or in connection with, a street or utility. 10. Air Conditioning Unit. No air conditioning units may be placed in windows without the approval of the Board which approval may be withheld or granted in the Board's sole discretion. ARTICLE V 1. Types. The Board shall maintain in effect insurance for the Property as follows: (a) Physical damage insurance on the Property for an amount not less than one hundred percent (100%) of its full insurable replacement cost; (i) Replacement cost values are to be reviewed bi-annually, and the insurance policy or policies shall be endorsed with an agreed amount clause. The cost of any and all appraisals for insurance purposes shall be Common Expenses; (ii) Perils to be covered by such policies shall be no less than "all risk" or "special form" on real property and "broad form" named perils on personal property, and such other perils as may be deemed appropriate by the Board; and (iii) The full insurable replacement cost of a Unit shall include the replacement cost value of additions, betterments, alterations and improvements made in and to such Unit, provided, however, the Board shall not be responsible for obtaining insurance on such additions, betterments, alterations or improvements unless and until such Unit Owner shall make such report and request the Board in writing to obtain such insurance, and shall make arrangements satisfactory to the Board to reimburse the Board for such additional premiums, which additional premiums are deemed a Common Expense. If a Unit Owner fails to do so, the Board shall not be obligated to apply any insurance proceeds to restore the affected Unit to a condition better than the condition existing prior to the making of such additions, betterments, alterations or improvements. (b) Comprehensive General Liability insurance covering personal injury and property damage against hazards of premises/operations, products and completed operations, contractual personal injury, liability, independent contractors and other coverage as deemed necessary by the Board. Such insurance shall provide limits of liability as deemed desirable by the Board, but in no event shall the coverage be less than $1,000,000. Such policy shall be endorsed to cover cross-liability claims of one insured against the other. (c) Worker's Compensation and Employer Liability as necessary to comply with applicable laws, including Voluntary Compensation to cover employees not covered under the Illinois statute for benefits. (d) If required pursuant to the Act, fidelity bond insuring the Association, the Board and the Unit Owners against loss of funds as a result of the fraudulent or dishonest acts of any employee of the Association or its management agent or of any other person handling the funds of the Association, the Board and the Unit Owners in such amounts as the Board shall deem necessary but not less than 100% of the annual operating expenses of the Association, including reserves (or the maximum amount of coverage available to protect such funds). The premium for such fidelity bond shall be a Common Expense. Such bond shall contain waivers of any defense based on the exclusion of persons who serve without compensation from any definition of "employee" or similar expression. Such bond shall provide that it may not be canceled for non-payment of any premiums or otherwise substantially modified without sixty (60) days prior written notice to all holders of first mortgagees of record. Notwithstanding anything contained herein to the contrary, if the Board does not hire a management company or if fidelity insurance is not required by the Act, the Board shall not be required to obtain such insurance. (e) Director's and Officer's Liability insurance in such amounts as the Board shall determine to be reasonable. (f) Such
other insurance in such amounts as the Board shall deem desirable. The premiums for the above described insurance and bonding, except as otherwise specifically provided, shall be part of the Common Expenses. All insurance required to be maintained by the Association shall be effected under valid and enforceable policies issued by insurance companies authorized and licensed to transact business in the State of Illinois. 2. Policy Requirements. All casualty and liability insurance policies: (i) shall name as an insured, Declarant and Developer, so long as either has an insurable interest, the Board, its management company, the Board as trustees for the Unit Owners, in accordance with their Undivided Interests, and any insurance trustee who may be appointed as provided herein, as the respective interests of all of such insureds may appear; (ii) shall be without contribution as to such other policies of insurance carried individually by the Unit Owners, whether such other insurance covers their respective Units or the additions and improvements made by such Unit Owners to their respective Unit; (iii) shall provide by endorsement or otherwise that the insurer's rights are subject to the provisions of the Act and that any elections made by the Unit Owners pursuant to this Declaration or the Act shall govern; (iv) shall contain an endorsement to the effect that such policy shall not be modified or terminated for nonpayment of premiums without at least thirty (30) days' prior written notice to the First Mortgagee of each Unit Ownership; and (v) shall contain waivers of subrogation with respect to the Association and its directors, officers, employees and agents (including the managing agent), Owner, Occupants, First Mortgagees, the Declarant and Developer. Any losses under such policies shall be payable, and all insurance proceeds recovered thereunder shall be payable to the Board as trustee for the Unit Owners and be applied and disbursed in accordance with the provisions of this Declaration. 3. Premiums. The Association, for the benefit of the Unit Owners and the First Mortgagee of each Unit Ownership, shall pay the premiums and obtain a binder on the casualty policies of insurance described herein at least thirty (30) days prior to the expiration date of the respective policies, and upon written request therefor, shall notify the First Mortgagee of each Unit Ownership of such payment within ten (10) days after the date on which payment is made. 4. Unit Owner's Insurance. Each Unit Owner shall be responsible for (i) physical damage insurance on the personal property in his Unit and elsewhere on the Property, and any additions, alterations and improvements to his Unit (whether installed by such Unit Owner or any prior Unit Owner or whether originally in his Unit); (ii) his personal liability to the extent not covered by the policies of liability insurance obtained by the Board for the benefit of all of the Unit Owners as above provided; and (iii) his additional living expenses. All policies of casualty insurance carried by each Unit Owner shall be without contribution with respect to the policies of casualty insurance obtained by the Board for the benefit of all of the Unit Owners as above provided. As used herein, "additions, alterations and improvements" shall mean any property (excluding personal property readily removable without damage to the Unit) attached to the Unit, including without limitation, carpeting, flooring, wall covering, paint, paneling, electrical and plumbing, fixtures and cabinetry. 5. Waiver. Each Unit Owner hereby waives and releases any and all claims which he may have against any other Unit Owner, the Association, its officers, members of the Board, Declarant, Developer, the manager and management company of the Property, if any, and their respective employees and agents, for any damage to the Common Elements, the Units or to any personal property located in the Unit or Common Elements caused by theft, fire or other casualty to the extent that such damage is covered by fire or other form of casualty insurance or would be covered by insurance for which such Unit Owner is responsible as provided herein. 6. Deductibles. The Board shall have the right to select substantial deductibles to the insurance coverages required or permitted under the Declaration if the economic savings justify the additional risk and if permitted by law. The deductibles shall be on a per occurrence basis irrespective of the number of insureds suffering injury or damage. Expenses included within the deductible amount arising from insurable loss or damage shall be treated as Common Expenses. 7. Requirements of Act. The insurance requirements and provisions as set forth in the Act (as it may be amended from time to time) shall be deemed to be a part of the requirements set forth above in this Article VII, and shall supersede any contrary or inconsistent provisions as set forth above. ARTICLE
VI 1. Administration. The Association shall be the governing body for all of the Unit Owners for the maintenance, repair, replacement administration and operations of the Property, as provided in the Condominium Instruments. The Bylaws shall be the bylaws for the Association. Until the election of the Board by the Unit Owners following the Turnover Date, the same rights titles, trusts, powers, privileges duties and obligations vested in or imposed upon by the Board by the Condominium Instruments shall be held and performed by the Developer. The Board shall constitute the board of managers provided for in the Act and shall be elected or shall serve in accordance with the provisions of the ByLaws. The Association shall not be deemed to be conducting business of any kind. All activities undertaken by the Association shall be for the sole benefit of the Unit Owners and all funds received by the Association shall be held and applied by it for the use and benefit of Unit Owners in accordance with the provisions of the Condominium Instruments. 2. Duties and Powers of the Association; Controlling Provisions in Event of Inconsistency Among Governing Documents. The duties and powers of the Association and the Board shall be those set forth in its Articles of Incorporation, the Bylaws, and this Declaration; provided, however, that (i) the terms and provisions of the Act shall control in the event of an inconsistency between the Act, on the one hand, and this Declaration, the Articles of Incorporation, and the Bylaws on the other hand, (ii) the terms and provisions of this Declaration shall control in the event of any inconsistency between this Declaration, on the one hand, and the Articles of Incorporation and the Bylaws on the other hand. Further, the Board shall have all powers granted to a not-for-profit corporation organized under the laws of the State of Illinois. 3. Board's Determination Binding. In the event of any dispute or disagreement between any Unit Owners relating to the Property, or any question of interpretation or application of the provisions of this Declaration or Bylaws, the determination thereof by the Board shall be final and binding on each and all of such Unit Owners, unless an action contesting such determination is filed in the Circuit Court of Cook County within ninety (90) days following the date of such determination. 4. Administration of Property Prior to Election of Initial Board. Until the election of a Board following the Turnover Date, the same rights, titles, powers, privileges, trusts, duties, and obligations vested in or imposed upon the Board by the Act and this Declaration and the Bylaws shall be held and performed by Developer, who is hereby authorized to retain a manager on behalf of the Association. The election of the initial Board shall be held not later than the Turnover Date. If the initial Board is not elected by the Unit Owners at the time so established, Developer, at its option, shall continue in office for a period of thirty (30) days, whereupon written notice of his resignation shall be sent to all of the Unit Owners entitled to vote at such election. Within sixty (60) days following the election of the Board by the Unit Owners, Developer shall deliver to the Board: (a) All original documents as Recorded or filed pertaining to the Property, its administration, and the Association, such as this Declaration, Bylaws, Articles of Incorporation, other condominium instruments, annual reports, minutes, and rules and regulations, contracts, leases, or other agreements entered into by the Association. If any original documents are unavailable, a copy may be provided if certified by affidavit of Developer, or an officer or agent of Developer, as being a complete copy of the actual document recorded as filed; (b) A detailed accounting by Developer, setting forth the source and nature of receipts and expenditures in connection with the management, maintenance, and operation of the Property and copies of all insurance policies and a list of any loans or advances to the Association which are outstanding; (c) Association funds, which shall have been segregated from any other moneys of the Developer; (d) A schedule of all real or personal property, equipment, and fixtures belonging to the Association, including documents transferring the Property, warranties, if any, for all real and personal and equipment, deeds, title insurance policies, and all tax bills; (e) A list of all litigation, administrative action and arbitrations involving the Association, any notices of governmental bodies involving actions taken or which may be taken by the Association, engineering and architectural drawings and specifications as approved by any governmental authority, all other documents filed with any other governmental authority, all governmental certificates, correspondence involving enforcement of any Association requirements, copies of any documents relating to disputes involving Unit Owners, originals of all documents relating to everything listed in this subparagraph; and (f) Any contract, lease, or other agreement made prior to the election of a majority of the Board other than Developer by or on behalf of Unit Owners. ARTICLE
VII 1. Limits on Transfers. Provided that a proposed purchaser or tenant of any Unit agrees to abide by the terms and conditions of the Act, this Declaration and the rules and regulations promulgated by the Board, the Board shall not have any right of first offer or first refusal or to purchase or lease such Unit Ownership. 2. Limits on Lease Terms. No Unit shall be leased or subleased for hotel or transient purposes or for terms less than three (3) months. No portion of a Unit which is less than the entire Unit shall be leased. A lease of any Unit shall be in writing and a copy of every such lease, as and when executed shall be furnished to the Board. The lessee under every such lease shall be bound by and subject to all of the obligations under this Declaration and Bylaws of the Unit Owner making such lease, and the failure of the lessee to comply therewith shall constitute a default under the lease which shall be enforceable by the Board or the Association, and the lease shall be deemed to expressly so provide. The Unit Owner making such lease shall not be relieved thereby from any of said obligations. Notwithstanding the foregoing, Developer and Declarant may lease any Unit or Storage Room owned by them for any term until such time as Developer or Declarant ceases owning such Unit. 3. No Right of First Refusal Certificate. Upon the request of a Unit Owner, the Secretary of the Board of the Association shall execute and deliver a certificate stating that the Board does not have a right of first refusal to purchase or lease such Unit Owner's Unit, which shall be conclusive evidence and binding upon the Board and the Unit Owners. Such a certificate may be part of an assessment letter.
1. Adjustment of Loss; Use of Trustee to Administer Proceeds. Loss, if any, under any casualty or liability policies maintained by the Association shall be adjusted by the Board, and the insurance proceeds on account of any such loss shall be paid to the Board, as trustee for each of the Unit Owners in their respective Undivided Interests, which insurance proceeds, less the actual cost, fees and expenses, if any, incurred in connection with the adjustment of the loss, shall be applied to the payment of the cost of restoring the Property to substantially the same condition as it existed immediately prior to such damage or destruction, with each Unit and the Common Elements having the same vertical and horizontal boundaries as before, free from vendor's, mechanic's, materialman's and other similar liens. The proceeds of such insurance shall be applied by the Board or by the corporate trustee or agent on behalf of the Board for the reconstruction of the Building or shall be otherwise disposed of, in accordance with the provisions of this Declaration and the Act; and the rights of the mortgagee of any Unit under any standard mortgage clause endorsement to such policies shall, notwithstanding anything to the contrary therein contained, at all times be subject to the provisions of the Act with respect to application of insurance proceeds to reconstruction of the Property. The Board may engage the services of, and such insurance may be payable to a bank or trust company authorized to do, execute and accept trusts in Illinois to act as insurance trustee, or as agent or depositary as an alternative to acting as trustee, and to receive and disburse the insurance proceeds resulting from any loss upon such terms as the Board shall determine consistent with the provisions of this Declaration. The fees of such bank or trust company shall be Common Expenses. 2. Sufficient Insurance. If the improvements forming a part of the Property, or any portion thereof, including any Units, shall suffer damage or destruction from any cause and the proceeds of any policy or policies insuring against such loss or damage, and payable by reason thereof, shall be sufficient to pay the cost of repair or restoration or reconstruction, then such repair, restoration, or reconstruction shall be undertaken and the insurance proceeds shall be applied by the Board or the payee of such insurance proceeds in payment therefor; provided, however, that if within one hundred and eighty (180) days after said damage or destruction, the Unit Owners shall elect either to sell the Property as hereinafter provided or to withdraw the Property from the provisions of this Declaration and the Act, as therein provided, then such repair, restoration or reconstruction shall not be undertaken. If such repair, restoration, or reconstruction is not undertaken, the net proceeds of insurance policies shall be divided by the Board or the payees of such insurance proceeds among all Unit Owners according to each Unit Owner's Undivided Interest, after first paying out of the share of each Unit Owner the amount of any unpaid liens on his Unit, in the order of the priority of such liens. 3. Insufficient Insurance. (a) If the insurance proceeds and any reserves of the Association are insufficient to reconstruct the Building and the Unit Owners and all other parties in interest do not voluntarily make provision for reconstruction of the Building within one hundred eighty (180) days from the date of damage or destruction, then the provisions of the Act shall apply. (b) In the case of damage or other destruction in which fewer than one-half (1/2) of the Units are rendered uninhabitable, upon the affirmative vote of not fewer than three-fourths (3/4) of the Unit Owners voting at a meeting called for that purpose, the building or other portion of the Property shall be reconstructed. The meeting shall be held within ten (10) days following the final adjustment of insurance claims, if any. Otherwise, such meeting shall be held within thirty (30) days of the occurrence. At such meeting the Board or its representative shall present to the members present an estimate of the cost of repair or reconstruction, and the estimated amount of necessary assessments against each Unit Owner. (c) In the case of damage or other destruction, upon the affirmative vote of not fewer than three-fourths (3/4) of the Unit Owners voting at a meeting called for that purpose, any portion of the Property affected by such damage or destruction may be withdrawn from the Act. Upon the withdrawal of any Unit or portion thereof, the percentage of interest in the Common Elements appurtenant to such Unit or portion thereof shall be reallocated among the remaining Units on the basis of the Undivided Interest of each remaining Unit. If only a portion of a Unit is withdrawn, the Undivided Interest appurtenant to that Unit shall be reduced accordingly, upon the basis of diminution in market value of the Unit, as determined by the Board. The payment of just compensation, or the allocation of any insurance or other proceeds to any withdrawing or remaining Unit Owner shall be on an equitable basis, which need not be a Unit's Undivided Interest. Any insurance or other proceeds available in connection with the withdrawal of any portion of the Common Elements, not necessarily including the Limited Common Elements, shall be allocated on the basis of each Unit Owner's percentage interest therein. Any proceeds available from the withdrawal of any Limited Common Elements will be distributed in accordance with the interest of those entitled to their use. 4. Cessation of Common Expenses. Upon the withdrawal of any Unit or portion thereof, the responsibility for the payment of assessments on such Unit or portion thereof by the Unit Owner shall cease. 5. Unit Owner - Move-In/Move-Out Responsibility. Prior to moving in or out of a Unit (or permitting a Tenant to do so) the Unit Owner shall deposit with the Board (or Declarant prior to Turn-over) a security deposit of $250 ( or such other amount as the Association may reasonably determine) for any damages that may result to the Common Elements, another Unit or the Limited Common Elements, reserved for the use of any other Unit. Within 10 days following the later of (a) move-in or move-out or (b) repair of all damages, the board shall return to the Unit Owner the amount so deposited less costs of repair. The Unit Owner, in connection with whose (or whose tenant's) move-in or move-out the damage occurs, shall be responsible for the cost of all repairs of said damage (irrespective of the amount of the Security Deposit); use of the Security Deposit shall not be deemed either an exclusive remedy or election of remedies; and the Association, Board and other Unit Owners shall have all other remedies available to them at law or equity. ARTICLE IX 1. Reallocation of Common Elements and Condemnation Award. Upon the withdrawal of any Unit or portion thereof due to eminent domain, the Undivided Interest in the Common Elements appurtenant to such Unit or portion thereof shall be reallocated among the remaining Units on the basis of the Undivided Interest of each remaining Unit. If only a portion of a Unit is withdrawn, the Undivided Interest appurtenant to that Unit shall be reduced accordingly, upon the basis of diminution in market value of the Unit, as determined by the Board. The allocation of any condemnation award or other proceeds to any withdrawing or remaining Unit Owner shall be on an equitable basis, which need not be a Unit's Undivided Interest. Any condemnation award or other proceeds available in connection with the withdrawal of any portion of the Common Elements, not necessarily including the Limited Common Elements, shall be allocated on the basis of each Unit Owner's Undivided Interest therein. Proceeds available from the withdrawal of any Limited Common Element will be distributed in accordance with the interests of those entitled to their use. 2. Cessation of Common Expenses. Upon the withdrawal of any Unit or portion thereof, the responsibility for the payment of assessments on such Unit or portion thereof by the Unit Owner shall cease. ARTICLE X Unit Owners may, at a meeting duly called for such purpose and attended by all Unit Owners, by unanimous affirmative vote of all Unit Owners, elect to sell the Property as a whole. Within ten (10) days after the date of the meeting at which such sale was approved, the Board shall give written notice of such action to the holder of any duly recorded mortgage or trust deed against any Unit Ownership entitled to notice under the provisions of this Declaration. Such action shall be binding upon all Unit Owners, and it shall thereupon become the duty of every Unit Owner to execute and deliver such instruments and to perform all acts as in manner or form may be necessary to effect such sale. ARTICLE XI 1. Unit Owner Liability for Payment. Each Unit Owner shall pay his proportionate share of the Common Expenses and of any other expenses incurred in accordance with this Declaration and Bylaws or otherwise lawfully agreed upon. Such proportionate share shall equal the Undivided Interest appurtenant to each Unit. Payment thereof shall be in such amounts and at such times as manner provided in the Bylaws. If any Unit Owner shall fail or refuse to make any such payment of the Common Expenses when due, the amount thereof shall constitute a lien on the interest of such Unit Owner in the Property as provided in the Act. 2. Estimated Annual Budget and Assessments; Adoption of Same. (a) Each year on or before November 1, the Board shall estimate the total amount necessary to pay the cost of all Common Expenses which will be required during the ensuing calendar year for the rendering of all services, together with a reasonable amount considered by the Board to be necessary for a reserve for contingencies and replacements. The annual budget shall set forth with particularity all anticipated Common Expenses by category as well as all anticipated assessments and other income. The budget shall also set forth each Unit Owner's proposed Common Expense assessment. Each Unit Owner shall receive, at least thirty (30) days prior to the adoption thereof by the Board, a copy of the proposed annual budget; the annual budget shall also take into account the estimated net available cash income for the year from the operation or use of the Common Elements, if any. The "estimated annual budget" shall be assessed to the Unit Owners according to each Unit Owner's Undivided Interest. Each Unit Owner shall receive notice in the same manner as is provided in this Declaration for membership meetings of any meeting of the Board concerning the adoption of the proposed annual budget or any increase, or establishment of an assessment. On or before January 1 of the ensuing year, and the first of each and every month of said year, each Unit Owner jointly and severally shall be personally liable for and obligated to pay to the Board or as it may direct one-twelfth (1/12) of the assessment against his Unit Ownership. On or before March 1 of each calendar year following the year in which the First Meeting is held, or as soon thereafter as is practicable, the Board shall supply to all Unit Owners an itemized accounting of the Common Expenses for the preceding year actually incurred and paid, together with a tabulation of the amounts collected pursuant to the budget or assessments, and showing the net excess or deficit of income over expenditures plus reserves. Any amount accumulated in excess of the amount required for actual expenses and reserves shall be applied to and transferred to the reserve, or in the alternative credited according to each Unit Owner's Undivided Interests to the next monthly installations due from Unit Owners under the current year estimate, until exhausted, and any net shortage shall be added according to each Unit's Undivided Interest to the installations due in the succeeding six (6) months after rendering of the accounting. (b) If an adopted budget requires assessment against the Unit Owners in any fiscal or calendar year exceeding one hundred fifteen percent (115%) of the assessments for the preceding year, the Board, upon written petition by Unit Owners with twenty percent (20%) of the votes of the Association filed within fourteen (14) days of the Board action, shall call a meeting of the Unit Owners within thirty (30) days of the date of filing of the petition to consider the budget. Unless a majority of the votes of the Unit Owners are cast at the meeting to reject the budget, it is ratified, whether or not a quorum is present. In determining whether assessments exceed one hundred fifteen percent (115%) of similar assessments in prior years, any authorized provisions for reasonable reserves for repair or replacement of the Property, and anticipated expenses by the Association which are not anticipated to be incurred on a regular or annual basis, shall be excluded from the computation. 3. Reserves and Adjustments. The Board shall establish and maintain a reasonable reserve for contingencies and replacements. Any extraordinary or nonrecurring Common Expenses, any Common Expense not set forth in the budget as adopted, and any increase in assessments over the amount adopted shall be separately assessed against all Unit Owners. Any such separate assessment shall be subject to approval by the affirmative vote of at least two-thirds (2/3) of the Unit Owners voting at a meeting of such Unit Owners duly called for the purpose of approving the assessment if it involves proposed expenditures resulting in a total payment assessed to a Unit Owner equal to the greater of five (5) times the Unit's most recent assessment for Common Expenses calculated on a monthly basis or five hundred dollars ($500.00). All Unit Owners shall be personally liable for and obligated to pay their respective adjusted monthly amount. 4. Failure to Prepare Estimates. The failure or delay of the Board to prepare or serve the annual or adjusted estimate on the Unit Owner shall not constitute a waiver or release in any manner of such Unit Owner's obligation to pay the maintenance costs and necessary reserves, as herein provided, whenever the same shall be determined, and in the absence of any annual estimate or adjusted estimate, the Unit Owner shall continue to pay the monthly maintenance charge at the then existing monthly rate established for the previous period until the next monthly maintenance payment which is due not less then ten (10) days after such new annual or adjusted estimate shall have been mailed or delivered. 5. Books and Records. The Board shall keep full and correct books of account in chronological order of the receipts and expenditures affecting the Common Elements, specifying and itemizing the maintenance and repair expenses of the Common Elements and any other expenses incurred. Such records and the vouchers authorizing the payments shall be available for inspection by any Unit Owner or any representative of a Unit Owner duly authorized in writing, at such reasonable time or times during normal business hours as may be requested by the Unit Owner. Upon ten (10) days' notice to the Board and payment of a reasonable fee, any Unit Owner shall be furnished a statement of this account setting forth the amount of any unpaid assessments or other charges due and owing from such Unit Owner. 6. Use of Funds. All funds collected hereunder shall be held and expended for the purpose designated herein, and (except for such special assessments as may be levied hereunder against less than all the Unit Owners and for such adjustments as may be required to reflect delinquent or prepaid Assessments) shall be deemed to be held for the benefit, use, and account of all the Unit Owners. 7. Failure to Pay Assessments. (a) If a Unit Owner is in default in the monthly payment of any charges or assessments for thirty (30) days, the Board may bring suit for and on behalf of the members thereof and as representatives of all Unit Owners, to enforce collection thereof or to foreclose the lien therefore as hereinafter provided; and there shall be added to the amount due the costs of said suit, and other fees and expenses together with legal interest and reasonable attorneys' fees to be fixed by the court. To the extent permitted by any decision or any statute or law now or hereafter effective, the amount of any delinquent and unpaid charges or assessments, and interest, costs, and fees as above provided, shall be and become a lien of charge against the Unit Ownership of the Unit Owner involved when payable and may be foreclosed by an action brought in the name of the Board as in the case of foreclosure of liens against real estate. Such lien shall take effect and be in force when and as provided in the Act; provided, however, that such lien shall be subordinate to the lien of any mortgage. Where title to the Unit Ownership is transferred pursuant to a decree of foreclosure or by deed or assignment in lieu of foreclosure of a first mortgage, such transfer of title shall to the extent permitted by law extinguish the lien for any assessments or other charges or payments under this Declaration which became due and payable prior to (i) the date of the transfer of title or (ii) the date on which the transferred comes into possession of the Unit, whichever first occurs. However, the transferee of a Unit Ownership shall be liable for his share of any assessments or other charges or payments with respect to which a lien against his Unit Ownership has been extinguished pursuant to the preceding sentence which are reallocated among the Unit Owners pursuant to a subsequently adopted annual, revised or special assessment, and nonpayment thereof shall result in a lien against the transferee's Unit Ownership. (b) Without limiting the generality of the foregoing, if any Unit Owner shall fail to pay the proportionate share of the Common Expense or of any other expense required to be paid hereunder when due, such rights and remedies shall include the right to enforce the collection of such defaulting Unit Owner's share of such expenses (whether due by acceleration or otherwise), together with interest thereon, at the maximum rate permitted by law, and all fees and costs (including reasonable attorneys' fees) incurred in the collection thereof. 8. Nonuse. No Unit Owner may waive or otherwise escape liability for the assessments provided for herein by nonuse of the Common Elements or abandonment of his Unit. 9. Forbearance. The Association shall have no authority to forbear the payment of assessments by any Unit Owner. 10. Initial Deposit for Contingencies or Replacements. At the time the initial sale of each Unit is closed, the purchaser of the Unit shall pay to the Association an amount equal to two (2) times the first full monthly assessment for such Unit. This sum shall be used to initially fund the reserve for contingencies and replacements of the Association. This payment shall not be refundable or be applied as a credit against the Unit Owner's monthly assessments. ARTICLE XII The Units and Common Elements shall be owned, occupied, and used subject to the following covenants and restrictions: 1. Permitted Use. No part of the Property shall be used for other than housing and related common purposes for which the Property was designed. Each Unit shall be used as the owner's primary or secondary residence for a single family or such other uses permitted by this Declaration and for no other purpose. 2. Obstruction of Common Elements and Unit Maintenance. There shall be no obstruction of the Common Elements nor shall anything be stored in the Common Elements without prior consent of the Board except as herein expressly provided. Each Unit Owner shall be obligated to maintain and keep in good order and repair his own Unit and his Storage Room. 3. Prohibited Use. Nothing shall be done or kept in any Unit, or in the Common Elements, which will increase the rate of insurance on the building or contents thereof applicable for residential use without the prior written consent of the Board. No Unit Owner shall permit anything to be done or kept in his Unit or in the Common Elements which will result in the cancellation of insurance on the building or contents thereof, or which would be in violations of any law. No waste shall be committed in the Common Elements. No Unit Owner shall overload the electric wiring in the building or operate any machines, appliances, accessories, or equipment in such manner as to cause, in the judgment of the Board, an unreasonable disturbance to others, or connect any machines, appliances, accessories or equipment to the heating or plumbing system without the prior written consent of the Board. 4. Unit Owner Insurance. Each Unit Owner shall be responsible for his own insurance on his personal property in his own Unit, his personal property stored elsewhere on the Property, and his personal liability to the extent not covered by the liability insurance for all the Unit Owners obtained by the Board as hereinbefore provided. 5. Exterior Attachments. Except with the express written permission of the Developer Michael Lee, to be given by him at any time and at his sole discretion, Unit Owners shall not cause or permit anything to be placed on the outside walls of the building and no sign, awning, canopy, shutter, radio or television antenna shall be affixed to or placed upon the exterior walls or roof or any part thereof without the prior consent of the Board. 6. Window Treatment. The use and the covering of the interior surfaces of the glass windows and/or doors appurtenant to the Units of the building, whether by draperies, shades, or other items visible from the exterior of the building, may be subject to the rules and regulations of the Board. 7. Pets. No animals, livestock, fowl, or poultry of any kind shall be raised, bred, or kept in any Unit or the Common Elements, except that dogs, cats, caged birds, fish or any other commercially available, common household pets owned by a Unit Owner or other Occupant may be kept in Units provided that they are not kept, bred, or maintained for any commercial purpose and that any such pet causing or creating a nuisance or unreasonable disturbance shall be permanently removed from the Property upon ten (10) days written notice from the Board. Any pet whose presence in any Unit predates the occupancy of any occupant of any immediately neighboring Unit may be ordered permanently removed from the Property by a vote of no less than one-half the Unit Owners favoring same. The Board may also adopt such rules and regulations restricting the number of pets in any Unit, the areas of the Common Elements in which pets may be located and similar requirements, and fines for the violation thereof as it deems reasonable and appropriate. Each Unit Owner or Occupant shall be responsible for removing any waste deposited by his or her pet. 8. Nuisances. No noxious or offensive activity shall be carried on in any Unit or in the Commons Elements, nor shall anything be done therein, either willfully or negligently, which may be or become an annoyance or nuisance to the other Unit Owners or Occupants. 9. Unsightliness. No clothes, sheets, blankets, laundry, or any kind of other articles shall be hung out or exposed on any part of the Common Elements. The Common Elements shall be kept free and clear of rubbish, debris and other unsightly materials. 10. Personal Effects. There shall be no playing, lounging, parking of baby carriages, strollers or playpens, bicycles, wagons, toys, vehicles, benches, or chairs on any part of the Common Elements which are not Limited Common Elements. No access to or storage of personal property shall be permitted in the boiler or mechanical rooms in accordance with the rules and regulations of the Board. 11. Commercial Activities. No industry, business trade, occupation, or profession of any kind, commercial, religious, educational, or otherwise, designated for profit, altruism, exploration, or otherwise, shall be conducted, maintained, or permitted in any Unit. 12. "For Sale" and "For Rent" Sign. No "For Sale" or "For Rent" signs, advertising, or other displays shall be maintained or permitted on any part of the Property, except at such location and in such form as shall be determined by the Board; provided that the right is reserved by Developer and its agents to maintain on the Property until the initial sale of the last Unit, all models, sales offices, and advertising signs, banners, and lighting in connection therewith, at such locations and in such forms as Developer shall determine, together with the right of ingress, egress and transient parking therefor in and upon the Common Elements. 13. Exceptions. The restrictions contained shall not, however, be construed in such a manner as to prohibit a Unit Owner from: (a) maintaining his personal professional library therein; (b) keeping his personal business or professional records or accounts therein; (c) handling his personal business or professional telephone calls or correspondence therefrom; (d) maintaining a computer or other office equipment within the Unit; (e) utilizing secretarial help and having occasional business visitors; or (f) receiving deliveries. Such uses are expressly declared customarily incidental to the principal residential use. A Unit Owner may operate an in-home business from their respective Units provided such businesses are lawful, do not involve the regular or consistent entry of salespeople, customers or clients, and do not cause a nuisance to other Unit Owners, and provided further that the Unit is used at all times primarily as a residence of the person operating the in-home business in such Unit. ARTICLE
XIII 1. Abatement and Enjoyment. The violation of any restriction, or condition or regulation adopted by the Board, or the breach of any covenant or provision contained in the Declaration, shall give the Board the right, in addition to the rights set forth in the next succeeding section upon at least ten (10) days prior written notice to the defaulting Unit Owner: (a) to enter upon that part of the Property where such violation or breach exists and summarily abate and remove, at the expense of the defaulting Unit Owner, any structure, thing or condition that may exist thereon contrary to the intent and the provisions hereof, and Developer, its successors or assigns, the Board and the respective agents of the foregoing parties shall not thereby be deemed guilty in any manner of trespass; or (b) to enjoin, abate, or remedy by appropriate legal proceeding, either at law or in equity, the continuance of any breach. All expenses of the Board in connection with such actions or proceedings, including court costs and attorneys' fees and expenses, and all damages, liquidated or otherwise, together with interest thereon at the rate per annum equal to the prime rate as published in the Wall Street Journal plus one (1.0%) percent until paid, shall be charged to and assessed against such defaulting Unit Owner, and shall be added to and deemed part of his respective share of the Common Expenses, and the Board shall have a lien for all of the same upon the Unit Ownership of such defaulting Unit Owner. Any and all of such rights and remedies may be exercised at any time and from time to time, cumulatively or otherwise, by the Board. 2. Voluntary Sale. If any Unit Owner (either by his own conduct or by the conduct of any Occupant) materially violates any of the covenants or restrictions or provisions of this Declaration or the rules and regulations adopted by the Board, and such violation shall continue for thirty (30) days after notice in writing from the Board, or shall reoccur more than twice after such notice, then the Board shall have the power to issue Unit Owner a ten (10) day notice in writing to terminate the rights of said defaulting Unit Owner, or to continue as a Unit Owner and to continue to occupy, use, or control his Unit and thereupon an action in equity may be filed by the members of the Board against the defaulting Unit Owner for a decree of mandatory injunction against Unit Owner or Occupant or, in the alternative, for a decree declaring the termination of the defaulting Unit Owner's right to occupy, use, or control the Unit Owned by him on account of the said violation and ordering that the right, title and interest of the Unit Owner in the Property shall be sold (subject to the lien of any existing mortgage) at a judicial sale upon such notice and terms as the court shall establish, except that the court shall enjoin and restrain the defaulting Unit Owner from reacquiring or any other Unit Owner from acquiring this interest in the Property at such judicial sale. The proceeds of any such sale shall be first applied against the costs, court report charges, reasonable attorneys' fees, and all other expenses of the proceeding and sale, and all such items shall be taxed against the defaulting Unit Owner in said decree. Any balance of proceeds, after satisfaction of such charges and any unpaid assessments hereunder or any liens, shall be paid to the Unit Owner. Upon the confirmation of such sale, the purchaser thereof shall thereupon the entitled to a deed of the Unit Ownership and to immediate possession, and it shall be a condition of any such sale, and the decree shall so provide, that the purchaser take the interest in the Property sold subject to this Declaration. 3. Notices and Hearing. Prior to the imposition of any fine and concurrently with the sending of the initial notices described above, the Board shall notify the Unit Owner or Occupant, as the case may be, in writing of the violation of the rule or regulation or covenant of this Declaration and the Board's proposed remedy. Any Unit Owner or Occupant who receives such notice may, within three (3) days after receipt of such notice, demand a hearing before the Board. At such hearing a member of the Board shall present to the Owner or Occupant the grounds for the notice and the Owner or Occupant shall have an opportunity to challenge such grounds and to present any evidence on his behalf, subject to such reasonable rules of procedure as may be established by the Board. If the Unit Owner or Occupant demands a hearing, such hearing shall be held within four (4) days after the Board receives the demand and no action shall be taken by the Board until the hearing has been held and notice of the decision of the Board and the terms thereof has been delivered to the Owner or Occupant. The decision of the Board shall be rendered within three (3) days after the hearing and such decision shall be final and binding on the parties unless an action contesting such decision is filed in the Circuit Court of Cook County, Illinois within ninety (90) days following the date of such decision. 4. Arbitration. (a) In all instances other than those specified in Subparagraph (b), any Unit Owner may submit a dispute among Unit Owners or relating to this Declaration or the Property to binding arbitration. Arbitration is a method of resolving a dispute by delegating decision making authority to a neutral individual or panel without resort to the court system. The arbitration shall be conducted pursuant to the provisions of the Illinois Uniform Arbitration Act then in effect unless all parties to the arbitration agree to engage the arbitration services offered by a private arbitration service generally recognized in the Chicago Metropolitan area. A Unit Owner may demand arbitration by delivering to the Board and each affected Unit Owner, a written demand. It is the goal of an arbitration proceeding to reach quickly a conclusion and to minimize the costs for the parties involved. To accomplish that, all Unit Owners agree to proceed diligently with an arbitration and to use their best efforts to conclude every arbitration proceeding within six months from the date of the demand for arbitration. Any party to an arbitration proceeding may petition a court to compel the participation by the affected parties. In such instance, the moving party shall be entitled to recover all expenses related to the bringing of such suit, including reasonable attorneys' fees, unless the court finds that the party against whom the petition was filed acted with substantial justification or that other circumstances make the recovery of such expenses unjust. Any decision or award made in the arbitration proceeding may be enforced in a court of competent jurisdiction. Unless determined otherwise in the arbitration proceeding, all costs of the arbitration proceeding shall be shared equally by the involved Unit Owners. (b) No Unit Owner shall have a right to demand arbitration in connection with (i) a dispute arising out of nonpayment of assessments; or (ii) a dispute arising out of a casualty loss of the property, the restoration of the Property or the use of insurance proceeds related thereto. ARTICLE
XIV 1. Mortgages. The following provisions are intended for the benefit of each holder of a Recorded first mortgage or trust deed encumbering a Unit Ownership ("First Mortgagee") and to the extent, if at all, that any other provisions of this Declaration conflict with the following provisions, the following provisions shall control: (a) Upon request in writing to the Association identifying the name and address of the First Mortgagee or the insurer or guarantor of a recorded first mortgage or trust deed on a Unit ("Insurer or Guarantor") and the Unit number, the Association shall furnish each First Mortgagee, Insurer or Guarantor a written notice of any default in a Unit Owner's obligations under this Declaration which is not cured within thirty (30) days. (b) Upon request in writing, each First Mortgagee, Insurer or Guarantor shall have the right: (i) to examine current copies of this Declaration, the Bylaws, rules and regulations and books and records of the Association during normal business hours; (ii) to receive, without charge and within a reasonable time after such request, any annual audited or unaudited financial statements which are prepared and distributed by the Association to the Unit Owners at the end of its fiscal year; provided, however, that in the event an audited financial statement is not available, at the request of fifty-one percent (51%) or more of the First Mortgagees (by number), the First Mortgagees shall be entitled to have such an audited statement prepared at their expense; (iii) to receive written notices of all meetings of the Association and to designate a representative to attend all such meetings, such notice to be given not less than five (5) days prior to any such meeting; (iv) to receive written notice of any decision by the Unit Owners to make a material amendment to the Declaration, Bylaws or the Articles of Incorporation of the Association; (v) to receive written notice of any lapse, cancellation or modification of any insurance policy or fidelity bond maintained by the Association; (vi) to receive written notice of taking of the Common Elements in excess of $10,000 or if to a Unit in excess of $1,000.00; (vii) to receive written notice of any action which would require the consent of a specified percentage of First Mortgagees; and (viii) to receive written notice of any judgment entered against the Association in a court with appropriate jurisdiction. (c) The request of a First Mortgagee shall specify which of the above it desires to receive and shall indicate the address to which any notices or documents shall be sent by the Association. Failure of the Association to provide any of the foregoing to a First Mortgagee who has made a proper request therefor shall not affect the validity of any action which is related to any of the foregoing. The Association need not inquire into the validity of any request made by a First Mortgagee hereunder and in the event of multiple requests from purported First Mortgagees of the same Unit Ownership, the Association shall honor the most recent request received. (d) No provision of the Condominium Instruments or other similar instrument pertaining to the Property or the Units therein shall be deemed to give a Unit Owner or any other party priority over the rights of the First Mortgagees pursuant to their mortgages in the case of distribution to Unit Owners of insurance proceeds or condemnation awards for losses to or a taking of the Units, or the Common Elements, or any portion thereof or interest therein. In such event, the First Mortgagees, Insurers or Guarantors of the Units affected shall be entitled, upon specific written request, to timely written notice of any such loss. (e) Unless all of the First Mortgagees have given their prior written approval, neither the Association nor the Unit Owners shall be entitled to: (i) by act or omission seek to abandon or terminate the condominium regime, except for abandonment provided by the Act in case of substantial loss to or condemnation of the Units or the Common Elements; or (ii) use hazard insurance proceeds for losses to any Property (whether to Units or to Common Elements) for other than the repair, replacement or construction of such improvements, except as provided by the Act in case of substantial loss to the Units or the Common Elements. (f) Unless fifty one percent (51%) of the First Mortgagees (by number) have given their prior written approval, neither the Association nor the Unit Owners shall be entitled to do or permit to be done any of the following: (i) Adoption of an amendment to this Declaration which (1) changes this Section, (2) changes the provisions relating to a Special Amendment or any other provision of this Declaration which specifically grants rights to First Mortgagees, (3) materially changes insurance and fidelity bond requirements, (4) imposes a right of first refusal or similar restriction on the right of an Owner to sell, transfer or otherwise convey his Unit Ownership materially different from that presently contained in this Declaration, or (5) changes the provisions concerning the leasing of Unit Ownerships which would be binding on First Mortgagees; (ii) The abandonment or partition, subdivision, encumbrance, sale or transfer of the Common Elements (except for the granting of easements, leases or licenses for public utilities or for other purposes consistent with the intended use of the Property and except for the encumbrances, sale or transfer of the Undivided Interest in connection with the encumbrance, sale or transfer of a Unit Ownership or except for transfers of Limited Common Elements as permitted herein); (iii) The sale of the Property; (iv) The removal of a portion of the Property from the provisions of the Act and this Declaration or the abandonment or termination of the condominium for reasons other than substantial destruction of the Condominium Property; and (v) the reallocation of the Unit Owners' Undivided Interests except as specifically authorized herein. (g) Whenever required, the consent of a First Mortgagee shall be deemed granted unless the party seeking the consent is advised to the contrary in writing by the First Mortgagee within thirty (30) days after making the request for consent. (h) If any or all of the foregoing provisions of this Section are violated, the First Mortgagees shall retain any and all rights at law or in equity to enforce such provisions. In addition to the notice requirements previously set forth in this Section, upon written request to the Board, a First Mortgagee shall be given a copy of any and all notices permitted or required by this Declaration to be given to the Unit Owner whose Unit Ownership is subject to such First Mortgage. 2. Notices of Board, Association, and Unit Owners. Notices provided for in this Declaration and in the Act shall be in writing and shall be addressed to the Board or Association, as the case may be, at the address shown for the registered agent or any officer on file with Secretary of State, State of Illinois for the Association, or any Unit Owner (indicating thereon the number of the respective Unit), or at such other address as herein provided. The Association or Board may designate a different address or addresses for notices to them, respectively, by giving written notice of such change of address to all Unit Owners. Any Unit Owner may also designate a different address for notices to him by giving written notice of his change of address to the Board or Association. Notices addressed as above shall be deemed delivered when mailed by United States registered or certified mail or when delivered in person with written acknowledgment of the receipt thereof, or if addressed to a Unit Owner, when deposited in his mailbox in the building. 3. Notice to Decedent. Notices required to be given any devisee or personal representative of a deceased Unit Owner may be delivered either personally or by mail to such party at his or its address appearing in the records of the court wherein the estate of such deceased Unit Owner is being administered. 4. Binding Effect. Each grantee of Developer, by acceptance of a deed of conveyance, or each purchaser under any contract for such deed of conveyance, accepts the same subject to all restrictions, conditions, covenants, reservations, liens, and charges, and the jurisdiction, rights, and powers created or reserved by this Declaration, and all rights, benefits, and privileges of every character hereby granted, created, reserved, or declared, and all impositions and obligations hereby imposed 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 the Property or any Unit, and shall inure to the benefit of such Unit Owner in like manner as though the provisions of this Declaration were recited and stipulated at length in each and every deed of conveyance. 5. Waiver. No covenants, restrictions, conditions, obligations, or provisions contained in this Declaration shall be deemed to have been abrogated or waived by reason of any failure to enforce the same, irrespective of the number of violations or breaches which may have occurred. 6. Amendment Owners. Subject to the provisions of Section 1 of Article XIV, and except as otherwise specifically provided herein and in the Act, the provisions of this Declaration may be amended, modified, enlarged or otherwise changed in whole or in part by the affirmative vote of Voting Members (either in person or by proxy), or by an instrument executed by Unit Owners, representing at least 75% of the Undivided Interests; except that (i) the provisions of this Section and Section 11 of Article XIV may be amended only with the written consent of at least 51% of First Mortgagees (by number), and (ii) any provisions hereof relating to the rights, powers and obligations of the Declarant may only be amended with the written consent of the Declarant. No amendment shall become effective until Recorded. 7. Invalidity. The invalidity of any covenant, restriction, condition, limitation, or any other provision of this Declaration, or of any part of the same, shall not impair or affect in any manner the validity, enforceability, or effect of the remainder of this Declaration. 8. Perpetuities and Restraints. If any of the options, privileges, covenants, or rights created by this Declaration would otherwise be unlawful or void violations of (a) the rule against perpetuities or some analogous statutory provision, (b) the rules restricting restraints or alienation, or (c) any other statutory of common law rules imposing time limits, then such provision shall continue only until twenty-one (21) years after the death of the last to die of the now living lawful descendants of George W. Bush, President of the United States, and Richard Durbin, Senator for the State of Illinois. 9. Liens. In the event any lien exists against two (2) or more Units and the indebtedness secured by such lien is due and payable, the Unit Owner of any such Unit so affected may remove such Unit and the Undivided Interest appertaining thereto from such lien by payment of the proportional amount of such indebtedness attributable to such Unit. In the event such lien exists against the Units or against the Property, the amount of such proportional payment shall be computed on the basis of the percentage set forth in this Declaration. Upon payment as herein provided, it is the duty of the encumbrancer to execute and deliver to the Unit Owner a release of such Unit and the Undivided Interest from such lien. Such Unit Owner shall not be liable for any claims, damages, or judgment entered as a result of any action or inaction of the Board of the Association other than for mechanics' liens as hereinafter set forth. Each Unit Owner's liability for any judgment entered against the Board or the Association, if any, shall be limited to his proportionate share of the indebtedness as set forth herein, whether collection is sought through assessment or otherwise. A Unit Owner shall be liable for any claim, damage, or judgment entered as a result of the use or operation of his Unit, or caused by his own conduct. Before conveying a Unit, Developer shall record or furnish purchaser releases of all liens affecting that Unit and its Common Element interest which the purchaser does not expressly agree to take subject to or assume, or Developer shall provide a surety bond or substitute collateral for or insurance against such liens. After conveyance of such Unit, no mechanic's lien shall be created against such Unit or its Common Element interest by reason of any subsequent contract by Developer to improve or make additions to the Property. If, as a result of work expressly authorized by the Board, a mechanic's lien claims is place against the Property or any portion of the Property, each Unit Owner shall be deemed to have expressly authorized it and consented thereto and shall be liable for the payment of his Unit's proportionate share of any due and payable indebtedness. 10. Construction. The provisions of this Declaration shall be liberally construed. 11. Special Amendment. Declarant reserves the right and power to record a special amendment ("Special Amendment") to this Declaration at any time and from time to time which amends this Declaration (i) to comply with requirements of the Federal National Mortgage Association, the Government National Mortgage Association, the Federal Home Loan Mortgage Corporation, the Department of Housing and Urban Development, the Federal Housing Association, the Veteran's Administration or any other governmental agency or any other public, quasi-public or private entity which performs (or may perform) functions similar to those currently performed by such entities, (ii) to induce any of such agencies or entities to make, purchase, sell, insure or guarantee first mortgages covering Unit Ownerships, (iii) to bring this Declaration into compliance with the Act, (iv) to correct clerical or typographical or similar errors in this Declaration or any Exhibit hereto or any supplement or amendment thereto or (v) to modify, combine, subdivide or otherwise alter Units or Limited Common Elements owned by Declarant; provided, however, that such supplements or amendments have no material impact on other Unit Owners, including no impact on such other Unit Owner's percentage interest in the Common Elements. In furtherance of the foregoing, a power coupled with an interest is hereby reserved and granted to Declarant to vote in favor of, make or consent to a Special Amendment on behalf of each Unit Owner as proxy or attorney-in-fact, as the case may be. Each deed, mortgage, trust deed, other evidence of obligation or other instrument affecting a Unit Ownership, and the acceptance thereof, shall be deemed to be a grant and acknowledgment of, and a consent to the reservation of, the power of Declarant to vote in favor of, make, execute and record Special Amendments. The right of Declarant to act pursuant to rights reserved or granted under this Section shall terminate at such time as Declarant no longer holds or controls title to a Unit Ownership. 12. Assignments by Declarant. All rights which are specified in this Declaration to be rights of Declarant are mortgageable, pledgeable, assignable or transferable. Any successor to, or assignee of, the rights of Declarant hereunder (whether as the result of voluntary assignment, foreclosure, assignment in lieu of foreclosure or otherwise) shall hold or be entitled to exercise the rights of Declarant hereunder as fully as if named as such party herein. No party exercising rights as Declarant hereunder shall have or incur any liability for the acts of any other party which previously exercised or subsequently shall exercise such rights. 13. Headings. The headings and captions contained herein are inserted
for convenient reference only and shall not be deemed to construe or limit the
sections and articles to which they apply.
By: Michael Lee The undersigned, a Notary Public in and for the county and State aforesaid, do hereby certify that , of Lakewood Residences, LLC, known to me to be the authorized agent of the Company that has executed the foregoing Declaration of Condominium ownership, appeared before me this day in person and acknowledged that he signed and delivered the said instrument as his own free and voluntary act, as the free and voluntary act of said Company by authority of its Operating Agreement and other actions consistent therewith, for the uses and purposes therein set forth. GIVEN, under my hand and Notarial Seal this ___25__ day of _______May________, 2004. My Commission Expires:
CONSENT OF MORTGAGEE Heritage Community Bank, holder of a certain Mortgage (the "Mortgage") on the Property dated as of April 16, 2002, and recorded in the Office of the Recorder of Deeds of Cook County, Illinois on April 23, 2002, as Document Number 0020463996, hereby consents to the execution, delivery and recording the Declaration of Condominium Ownership for 1251-65 West Granville Avenue Condominiums (the "Declaration") and agrees that the lien of the Mortgage is subordinate to this Declaration and to the provisions of the Illinois Condominium Property Act. IN WITNESS WHEREOF, has caused this consent of Mortgagee to be signed by its duly authorized officer on its behalf at Chicago, Illinois on this ______ day of ____________, 2004. By: STATE OF ILLINOIS ) I, , a Notary Public in and for said County and State, do hereby certify that , the of Heritage Community Bank, as such appeared before me this day in person and acknowledged that he/she signed, sealed and delivered said instrument as his/her free and voluntary act, and as the free and voluntary act of said bank, for the uses and purposes therein set forth. GIVEN under my hand and notarial seal this _____ day of __________, 2004. My Commission
Expires: Lakewood Residences, LLC, an Illinois Limited Liability Company, hereby certifies that, prior to the execution by it or its agent of any binding agreement for the sale of a Unit, a copy of the Notice of Intent required by the Act was given to all persons who were tenants of the Property on the date the Notice of Intent was given. Dated: ____May 25____, 2004.
The undersigned, a Notary Public in and for the County and State aforesaid, do hereby certify that , of Lakewood Residences, LLC, personally known to me to be the same person whose name is subscribed to the foregoing instrument as such , appeared before me this day in person and acknowledged that he signed and delivered the said instrument as his own free and voluntary act, and as the free and voluntary act of said Company, for the uses and purposes therein set forth. GIVEN under my hand and notarial seal this day of __________________, 2004. My Commission Expires: Permanent Index No.: 14-05-119-001-0000 EXHIBIT C Unit Number Percentage Undivided Interest Garden Level UNIT 1251 W. Granville - G 5.3642% UNIT 1255 W. Granville - G 4.3816% UNIT 1259 W. Granville - G 2.8610% UNIT 1261 W. Granville - G 5.7436% UNIT 1265 W. Granville - G 2.2879% UNIT 6157 N. Lakewood 1.9516% 1st Floor UNIT 1251 W. Granville - 1 3.6822% UNIT 1253 W. Granville - 1 3.2662% UNIT 1257 W. Granville - 1 4.0974% UNIT 1259 W. Granville - 1 2.7510% UNIT 1261 W. Granville - 1 3.4455% UNIT 1263 W. Granville - 1 4.1559% UNIT 1265 W. Granville - 1 4.3800% 2nd Floor UNIT 1251 W. Granville - 2 3.6741% UNIT 1253 W. Granville - 2 3.2741% UNIT 1257 W. Granville - 2 4.0940% UNIT 1261 W. Granville - 2 3.4395% UNIT 1263 W. Granville - 2 4.1750% UNIT 1265 W. Granville - 2 4.3887% 3rd Floor UNIT 1251 W. Granville - 3 3.6969% UNIT 1253 W. Granville - 3 3.3121% UNIT 1257 W. Granville - 3 4.0875% UNIT 1259 W. Granville - 3 2.7447% UNIT 1261 W. Granville - 3 3.4660% UNIT 1263 W. Granville - 3 4.1482% UNIT 1265 W. Granville - 3 4.3783%
Bylaws
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