HHT Bylaws

Following is a typed copy of the “Official” 1968 HHT Bylaws produced by the Bahamas Registrar’s office.

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BAHAMA ISLANDS

LODGED FOR RECORD BY

______________________________________

1968 FEBRUARY 13   PM 2:58

_______________________________________

REGISTRAR GENERAL

Bahama Islands

REGISTRAR GENERAL’S OFFICE

I certify the within to be proved

and recorded in book 1224 pages

36 to 96 in accordance

with the provisions of the Registration

of Records Act, Chapter 116

19th day of February 1968

_______________________________________

REGISTRAR GENERAL

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BAHAMA ISLANDS

Grand Bahama

THE LAW OF PROPERTY AND CONVEYANCING

(CONDOMINIUM)

ACT 1965

Condominium Declaration

for

HARBOUR HOUSE TOWERS CONDOMINIUM APARTMENTS

WHEREAS Harbour House Towers Limited (a company incorporated under the laws of the Colony of the Bahama Islands hereinafter referred to as “the Company” which expression shall where the context so admits include its successors in title and assigns) is seised of an estate in fee simple of ALL the hereditaments and premises (hereinafter referred to as “the said hereditaments”) described in the First Schedule hereto;

AND WHEREAS the said hereditaments are subject to a First mortgage dated the Twenty-fourth day of July in the year of Our Lord One thousand Nine hundred and Sixty-seven and made between the Company of the one part and RoyWest Banking Corporation Limited of the other part (thereinafter referred to as “the Mortgagees”) and recorded in the Registry of Records in the City of Nassau in the Island of New Providence one of the Bahama Islands (hereinafter called “the Registry”) in Volume 1174 at pages 198 to 212;

AND WHEREAS the Company has improved and at the date of these presents is still improving the said hereditaments by constructing thereon a multistoried building containing One hundred and Twenty-two (122) apartment dwellings and One (1) commercial shop together with other improvements and facilities more particularly hereinafter described;

AND WHEREAS on the First day of June in the year of Our Lord One thousand Nine hundred and Sixty-seven at a meeting of the Board of  Directors of the Company duly called and held it was duly resolved that the said hereditaments and the improvements made and in the course of being made thereon be submitted to the condominium form of ownership in accordance with the said The Law of the Property and Conveyance (Condominium) Act 1965 (hereinafter called “the Act”) under the title of the “Harbour House Towers Condominium Apartments”;

AND WHEREAS on the said date and at the said meeting it was resolved that a draft Condominium Declaration in conformity with the Act be prepared by the proper officers of the Company and submitted in due course for the approval of the Mortgagees and the Board of Directors of the Company;

AND WHEREAS on the First day of November in the year of Our Lord One thousand Nine hundred and Sixty-seven the Mortgagees informed the Board of Directors of the Company of their approval of this Declaration of Condominium;

AND WHEREAS on the Sixth day of November in the year of Our Lord One thousand Nine hundred and Sixty-seven this Declaration of Condominium in relation to the said hereditaments and the improvements made and in the course of being made thereon was submitted to a meeting of the Board of Directors duly called and held whereat it was resolved in due form and in conformity with the Memorandum and Articles of Association of the Company for the time being in full force and effect that the same be approved and that the proper officers of the Company be instructed and authorized to sign and affix the corporate seal thereof to this Declaration and thereafter to cause the same to be lodged for record in the Registry;

NOW THEREFORE THIS DECLARATION is made on the Twentieth day of November in the year of Our Lord One thousand Nine hundred and Sixty-seven and WITNESSETH AS FOLLOWS;

INTERPRETATION

1.     (1)   In this Declaration save when the context other requires:

“building” means the entire structure to be located on the property.

“common property” means all that part of the property which is not within the boundaries in Clause Seven (7) hereof.

“the property” means the hereditaments and premises described in the First Schedule hereto together with the building and improvements now or hereafter to be made which are located thereon.

“unit” means one of the units in the condominium more particularly described in Clause Seven (7) hereof.

(1)    Save as provided in sub-clause One (1) of this clause or where the context otherwise requires the words and expressions defined in Section Three (3) of the Act shall have the same meaning in this Declaration.

(2)    This Declaration shall be read as one with the provisions of the Act and in case of any conflict the Act shall prevail.

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INTEREST OF THE COMPANY

2.        The Company is seised for an estate in fee simple of ALL the hereditaments and premises hereinafter described in the First Schedule hereto subject to the mortgage hereinbefore described and the restrictive covenants described in Clause Three (3) hereof.

RESTRICTIVE COVENANTS, etc.

3.        By virtue of an Indenture of Conveyance dated the Twenty-fourth day of July in the year of Our Lord One thousand Nine hundred and Sixty-seven made between The Grand Bahama Development Company Limited (hereinafter called “the Development Company”) of the one part and the Company of the other part and recorded in the Registry in Vol 1174 at pages 187 to 197 the said hereditaments are subject to the restrictive covenants conditions and stipulations set out and described in the Second Schedule hereto.

SUBJECTION OF THE PROPERTY TO THE ACT

4.        The Company and the Mortgagees being duly qualified under the provisions of the Act hereby as from the date of the recording of the Declaration in the Registry subject the said hereditaments with all the improvements made or in the course of being made or to be made hereafter to the condominium form of ownership and use subject always to the provisions of the Act and any amendment thereof as may hereinafter be enacted and subject also to the provisions, terms, conditions and restrictions  of this Declaration as duly amended from time to time and of any bye-laws relating to the condominium for the time being in force and it is hereby declared that the provisions of this Declaration as to the divisions, covenants, restrictions, limitations, conditions, and users relating to the said property shall constitute covenants to run with the land and shall as from the date of the recording of this Declaration in the Registry be binding on the said Company its successors and assigns and on all subsequent owners of all or any part of the said property together with their grantees, successors, heirs, executors, administrators, devisees or assigns.

GENERAL DESCRIPTION AND LOCATION OF THE PROPERTY

5.        The property is situate in Bell Channel Bay Subdivision Lucaya on the Island of Grand Bahama being part of the Colony of the Bahama Islands having an area of Two and fifty-eight hundredths acres more or less and known as Lots Numbered Three (3) and Four (4) Block Number Eight (8) Unit Number Three (3) Bell Channel Bay.

DESCRIPTION OF THE BUILDING

6.        The building erected or to be erected is located on the said hereditaments in a position more particularly shown on the said Plan “A” annexed hereto.

DESCRIPTION

7.        The residential community designated as Harbour House Towers Condominium Apartments is comprised of one structure containing One hundred and Twenty-two (122) separate units constructed of reinforced concrete, concrete block, lumber, plaster, and stucco, roofed with asbestos shingles on wooden trusses and are located and  designated as follows:

WEST WING – 33 units consisting of:

14 two bedroom

9 One bedroom

9 Efficiencies

1 Three bedroom

EAST WING – 41 units consisting of:

8 Two bedroom

16 One Bedroom

17 Efficiencies

CENTRE WING – 48 units consisting of:

6 Penthouses

14 Two bedrooms

14 Studios

7 One bedroom

7 Efficiencies

GROUND FLOOR CENTRE WING – commercial shop unit (see said Plan “A” attached hereto for the location of the building in relation to the said hereditaments).

PARKING FACILITIES

Each unit owner shall have the exclusive use of the parking place in the common property allotted to his unit as shown in the Third Schedule hereto; there are 28 additional non-designated parking spaces which comprise a portion of the common property.

BOUNDARIES OF UNITS

“Unit” means a part of the property to which this Declaration relates and intended for any type of independent use and which includes a part of a floor in the building and which has direct access to a street or to Common Property leading to a street and may include any appurtenances such as a balcony, terrace or patio or any other structure and comprises the separate and numbered units as described by dimensions measured from centre of outside wall to centre of outside wall, and from center of outside wall to centre of structural dividing wall, and from center

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of structural dividing wall to centre of structural dividing wall, and from center of floor to centre of ceiling including the numbered private balconies attached to each of said numbered units excluding however all pipes, ducts, wires, conduits, and other facilities running through any interior or exterior wall or partition for the furnishing of utility services to the unit and Common Property.

Provided that no part of the conduits, ducts, plumbing, wires and all other facilities for the furnishing of utility services to more than one unit shall be deemed to be within the boundaries of that or any other unit.

Each unit together with the space within it according to the above boundaries and shown upon the Plans annexed hereto together with the undivided share in the common property held therewith shall in accordance with Sections 6 (3) of the Act constitute a separate parcel of real property which may devolve or be conveyed, leased, mortgaged or otherwise dealt with in the same manner and form as land.

DRAWINGS AND PLANS

8.        The complete set of drawings of the Building required by the provisions of Section 4 (1) (e) and Section 5 and as approved by or on behalf of The Grand Bahama Port Authority, Limited are annexed hereto and accompanied by the certificate of Gene Monaco an architect whose professional qualifications have been previously approved in writing by the Minister for Works in pursuance of Section 5 (3) of the Act.

STATEMENT OF COVENANTS, CONDITIONS AND RESTRICTIONS COVERING THE USE, OCCUPANCY AND TRANSFER OF UNITS

9.        In addition to the restrictive covenants, conditions and stipulations contained in the Second Schedule hereto to which every unit is subject, the following covenants, restrictions and stipulations shall apply to every unit of the condominium:

1)     A unit shall be used and occupied only as a single family residence for the enjoyment of the services and facilities provided for such a residence except however in the case of the Commercial Shop unit.

2)     No immoral, improper, offensive or unlawful use shall be made of any unit.

3)     Every owner shall promptly perform any maintenance or repair work within his own unit which if  omitted would affect the property in its entirety or in a part belonging to other owners and shall be expressly liable for any damage or liability which may result from his failure to do so.

4)     No owner of a unit shall place or cause or suffer to be placed in the lobbies, corridors, vestibules, stairways, lifts or other common areas, any furniture, packages or objects of any kind and shall not utilise any such areas for any purpose other than normal passage.

5)     No person shall make any structural modification or alternations which would affect any of the common property running through any particular unit without previously notifying the body corporate in writing.

6)     Garments, rugs, and the like shall not be hung from windows or balconies or any unit.

7)     It shall be the duty of every unit owner to ensure that no undue noise shall be made in his unit and he shall cause reasonable care to be exercised in the use in his unit of musical instruments, radio, television receivers, amplifiers and the like.

8)     No person shall keep any animal in a unit without the prior permission in writing of the body corporate SAVE AND EXCEPT HOWEVER dogs, cats and domestic birds in cages shall not be deemed to be objectionable animals for the purpose of this clause.

9)     No unit owner shall be permitted or entitled to sub-divide his unit.

10)     A unit owner may lease his premises subject to compliance with Clause (10) provided that the use and occupancy is restricted to the lessee and his family and the lessee is bound by all the conditions, restrictions and stipulations to which the unit owner is subject.

10.       In order to assure a community of congenial residents in the condominium to protect the value of the units:

a)        a unit owner shall not mortgage, lease for a period exceeding Twelve months or sell his unit without the approval of the body corporate:

Provided this restriction shall not apply to:

(i)                 such a transaction with another unit owner; or

(ii)               a mortgage at a bank, life assurance company or savings and loan association; or

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(iii)             a lease or sale by a bank, life assurance or savings and loan association which acquires its title as a first mortgage of the unit whether by deed or foreclosure proceedings.

b)        In cases where the prior approval of the body corporate is required the unit owner shall first give notice in writing to the body corporate of his intentions together with the terms and such other particulars of the proposed transaction as the body corporate may reasonably require.  Within Thirty (30) days of the record of such notice the body corporate shall either approve the transaction or furnish a lessee, mortgagee or purchaser approved by the body corporate who will accept the transaction on terms as favourable to the owner as the terms stated in the notice except, however, that any lessee, mortgagee or purchaser furnished by the body corporate shall have not less than Thirty (30) days subsequent to the date of the body corporate’s approval within which to close the transaction, failing which the owner may proceed with his intended transaction without further reference to the body corporate.

UNIT ENTITLEMENT

11.       The unit entitlement of each unit in the Harbour House Condominium Apartments is hereby expressed as a percentage fixed as the approximate proportion of the estimated value of each such unit at the date of these presents bears to the aggregate estimated value of all the One hundred and Twenty-three (123) units taken together subject however to the percentages so calculated being varied to take account of any substantially exclusive advantages enjoyed by one or more but not all unit owners and in particular to the floor of the building in which the unit is situate.  The unit entitlement of each unit is shown in the Third Schedule hereto and shall not be varied unless all the unit owners affected thereby give their consent thereto by a document of documents under seal and duly recorded in the Registry as an amendment to this Declaration.  It is hereby declared that the unit entitlement as fixed by this Clause shall determine the quantum of the undivided share in the common property appertaining to each unit, the voting rights of the owner and the proportion of the common expenses payable from time to time as contributions by each unit owner.

DESCRIPTION OF THE COMMON PROPERTY

12.       “Common Property” means and describes all of the real property improvements and facilities of the condominium other than the apartment units and including easements through apartment units for conduits, pipes, ducts, plumbing, wiring and other facilities for the furnishing of utility service to the apartment unit and common property and easements of support in every apartment unit which contributes to the support of the improvements and further includes but is not limited to a swimming pool, telephone and TV equipment room, shuffleboard courts, Two (2) electrical vault rooms, Four (4) meter rooms, Eight (8) utility rooms, driveways, landscaping, dock, pump room and pool equipment, fire protection equipment, Two (2) elevators, lobby areas and street side public balconies and railings, stairways, Eight (8) laundry rooms, pool equipment room, plumbing and electric piping and conduit, emergency electric generator equipment, employees toilet, sauna bath facilities for men and women, Two (2) trash collection rooms and chutes, sewerage collection lines and facilities and includes all personal property held and maintained for the joint use and enjoyment of all the owners of the units.

STYLE AND TITLE OF THE BODY CORPORATE

13.       The Owner for the time being of every unit in the condominium to which this Declaration relates shall ipso facto be a member of the body corporate which from the date this Declaration is recorded in the Registry shall have the style and title of the “Harbour House Tower Condominium Apartments” which shall be charged with the operation of the property by virtue of Section Thirteen (13) of the Act.

14.       All the bye-laws set forth in the Second Schedule to the Act shall be in force as regards the property to which this Declaration relates as from the date of the recording thereof in the Registry.

RESPONSIBILITY FOR OPERATION & MAINTENANCE

15.       (1)     The body corporate shall maintain, repair and replace at the expense of the body corporate all common property and shall make good any incidental damage caused thereto any unit.

(2)     The use and operation of the dock space as set forth in Paragraph 12 above by the unit owners shall be governed at all times by the body corporate which shall be empowered to assess unit owners who utilize the dock facilities both in respect to maintenance and rent charges.

(3)     The unit owner shall:

(a)        maintain, repair and replace at his expense all portions of his unit except the portions to be maintained, repaired or replaced by the body corporate in so doing he shall not disturb or adversely affect the rights of other unit owners:

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(b)        not paint or otherwise decorate or change the appearance of any exterior portion of his unit:

(c)        promptly report to the body corporate any defect or need for repair the responsibility for remedying which lies in the body corporate.

(d)        each and every unit owner shall be obligated to pay the sewerage service charge attaching to his unit in accordance with the rates established and approved by The Grand Bahama Port Authority Limited in consideration of the services for collection and disposal of sewerage waste.  The payment of the total sewerage service charge for all units in the building shall be paid by the Body Corporate as an obligation of the Body Corporate irrespective of failure to pay by any one or more unit owners and it shall be the obligation of the Body Corporate to recoup the amount due from any one or more unit owners failing to pay as a portion of the maintenance charges assessed against such unit or units.

(e)        each and every unit owner shall be obligated to pay the Cable T.V. service charge monthly in accordance with the established rates for such service in consideration of the cable service provided.  Payment of the total Cable T.V. service charges for all units in the building shall be paid monthly by the Body Corporate, as an obligation of the Body Corporate irrespective of failure to pay by any one or more unit owners and it shall be the obligation of the Body Corporate to recoup the amount due from any one or more unit owners failing to pay as a portion of the maintenance charges assessed against such unit or units.

MAINTENANCE AND MANAGEMENT CONTRACT

16.       The Board of Directors of the body corporate must from time to time enter into a contract for the regular maintenance and the proper management of the condominium.

LEVYING OF CONTRIBUTIONS

17.       (a)     The proportionate share of each unit owner in the common expenses of the condominium as defined in Section Three (3) of the Act and calculated according to the unit entitlement as provided by Section (7) four (4) (b) of the Act, shall be levied by the body corporate on unit owners every month.

(b)     In general the calculation of the proportionate share of the monthly maintenance charges shall be levied based upon unit entitlement, with the exception that certain charges which accrue based upon a per unit cost, irrespective of appropriate governing body, or arising by reason of the form of contract required by the independent contractor providing the service, including but not limited to services for sewerage collection and treatment, cable television, garbage collection, pest control, maintenance service charge and any and all other charges so incurred in the normal course of property maintenance and management, and reasonably applied to each unit on the basis incurred, shall be paid as part of the monthly maintenance charge levied against each unit on the basis incurred, irrespective of any application of unit entitlement.

(c)     If the maintenance charges so levied shall remain unpaid for a period exceeding Ninety (90) days it shall be the duty of the body corporate to initiate proceedings in a court of competent jurisdiction as provided by Section Eighteen (18) (2) of the Act.

INSURANCE

18.       Upon the recording of this Declaration in the Registry and until such time as the unit owners may by unanimous resolution otherwise decide as provided by Section Fourteen (14) (1) (c) of the Act., the following provisions shall apply with regard to insurance:

a)        The Company shall insure the property for the unit owners and the mortgage for the sum of Three million dollars ($3,000,000.00) United States currency as their interest may appear and shall assign the insurance policy to the body corporate at the first meeting of the body corporate and any prorations in this respect will be re-imbursed to the Company.

b)        Improvements to units made by unit owners shall not affect the valuation for the purpose of such insurance upon the land.

c)        The body corporate shall endeavour to secure a proviso that the insurer waives its right of subrogation as to any claims against unit owners the body corporate and their respective servants, agents or guests.

d)        Upon effecting such insurance the body corporate shall deliver to each unit owner a notice in writing stating the proportionate amount of such replacement value related to his unit and its appurtenances calculated in accordance with the unit entitlement.

e)        The Insurance premium or premia payable by the body corporate in respect of such insurance cover shall be a common expense to be paid as

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part of the monthly contribution referred to in Clause Seventeen (17) hereof but such part shall be set aside and credited to a separate insurance account to be maintained by the body corporate,

f)         Once in every year the body corporate shall review the replacement value of the building and shall make such adjustment therein as may appear necessary.  When an alteration is made in the replacement value a further notification under paragraph (d) hereof shall be delivered to each unit owner.

g)        Each unit owner may obtain insurance at his own expense affording coverage upon his personal property and for his personal liability but all such insurance shall contain the same waiver of subrogation as that referred to in Paragraph (c) hereof.  Each unit owner may obtain insurance at his own expense in regard to any improvements to his unit made by him in which he would have an insurable interest in excess of his interest in the policy purchased by the body corporate but such insurance shall provide that it shall be without contribution as against the insurance taken out by the body corporate or alternatively shall be undertaken by the same insurer as that taken out by the body corporate,

h)        The exclusive right to adjust losses under the body corporate’s insurance policy shall be vested in the body corporate (except in any case where the damage is restricted to one unit) subject to the rights of mortgage of unit owners.

i)         The proceeds of any insurance effected by the body corporate under Section Fourteen (14) (1) (c) of the Act shall be held by the body corporate in trust for the unit owners and (their mortgages as their interest may appear) affected by the loss for the purpose of the repair or reconstruction of the buildings save where the provisions of Section Thirty (30) of the Act are invoked.

AMENDMENT OF THE DECLARATION

19.       Save as provided by Section Thirty (30) of the Act the provisions of Declaration shall not be amended, added to or revoked except by an instrument under the seal of the body corporate duly recorded in the Registry and assented to by every unit owner and their mortgagees (if any) for the time being.

ENFORCEMENT OF MAINTENANCE PERIOD CLAIMS

20.       The Company will at its own expense promptly take all necessary steps to enforce all provisions (if any) in any contract relating to the erection, completion, fitting and furnishing of the building in respect of inadequate, defective and incomplete workmanship or any other matter for which the Company may have a claim and insofar as the result of any such claim shall be the payment of any monies to the Company will hold the same in trust for the body corporate for the purpose of remedying any such matter in respect of which it shall have been paid.

THE FIRST SCHEDULE HEREINBEFORE REFERRED TO

ALL that piece parcel or part of a tract of land situate in Bell Channel Bay Subdivision Lucaya in the Island of Grand Bahama and containing an area of Two and Fifty-eight hundredths (2.58) acres more or less which said piece parcel or part of a tract of land has such position boundaries shape marks and dimensions as are shown in the diagram or plan hereto attached and is marked with the figures and words 2.58 more or less acres and known as Lots numbered Three (3) and Four (4) Block Number Eight (8) Unit Number Three (3) Bell Channel Bay TOGETHER WITH a right of way (in common with all other persons now or without horses or other animals motor cars, carts, carriages or other vehicles of any description for all purposes connected with the lawful use and enjoyment of the said hereditaments and of every part thereof for whatever purpose the same may be from time to time lawfully used and enjoyed to go pass and repass over upon and along the roadways on the said Plan.

THE SECOND SCHEDULE HEREINBEFORE REFERRED TO

The said hereditaments are subject to the following restrictive covenants conditions and stipulations:

(1)        No trade manufacture business or commercial undertaking other than the business of a rental co-operative or condominium apartments with lounges, restaurants and necessary ancillary appurtenances shall be carried on any lot and one (1) commercial shop.

(2)        No temporary buildings of any kind (including any tent or trailer used for sleeping accommodation) shall be built or allowed to remain on the said hereditaments or any part thereof except temporary sheds or workshops intended to be and used only for the works incidental to the erection of any permitted permanent building thereon.

(3)        No building or structure of any kind shall be built erected constructed placed lodged or altered on the said hereditaments or any part thereof until the

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Details plans and specifications and the proposed type construction or alteration shall have been submitted to the Development Company and approved by it in writing such application to the Development Company to be in a form provided by the Development Company and to be accompanied by detailed plans and specifications and details of the proposed type of construction and a plot plan showing the location of such buildings or structures or alterations on the said hereditaments and to be delivered at or forwarded by registered post to the office of the Development Company in Freeport in the Island of Grand Bahama as aforesaid provided that if within Forty-five (45) days after the delivery of such plans and information as aforesaid to the office of the Development Company no written objection shall have been received by the Company to such buildings structures or alterations then such plans and other information as aforesaid shall be deemed to have been approved of by the Development Company.

(4)        No buildings improvements or premises upon the said hereditaments or any part thereof shall be occupied unless and until and except during such time as the same are erected and maintained in a safe clean and presentable condition and comply in all respects with any and all rules and regulations (i) promulgated by any applicable public authority or (ii) promulgated by The Grand Bahama Port Authority, Limited pursuant to an Agreement made with the Government of the said Bahama Islands dated the Fourth day of August in the year of Our Lord One thousand Nine hundred and Fifty-five and recorded in the said Registry in Volume 8 at pages 447 to 479 and amended by an Agreement with the Government dated the Eleventh day of July in the year of Our Lord One thousand Nine hundred and Sixty and recorded in the said Registry in Volume 353 at pages 186 to 350 (iii) specified in any Building Code from time to time established or promulgated by the Development Company or by The Grand Bahama Port Authority, Limited relating (inter alia) to the type of building improvement or premises situate on the said hereditaments or any part thereof.

(5)        No rubbish trash garbage or other waste matter shall be dumped or permitted or suffered to remain upon the said hereditaments or any part thereof other than in sanitary containers and no equipment for the storage or disposal of such material shall be permitted or suffered to be other than in a clean and sanitary condition.

(6)        No incinerator shall be permitted upon the said hereditaments or any part thereof.

(7)        Nothing shall be done upon the said hereditaments or on any part thereof whereby the natural flow of surface water shall be increased or altered in such manner as to cause a nuisance to any adjoining or neighboring property and no affluent or other waste matter of any kind from the said hereditaments or any edifice buildings or structures erected thereon or on any part thereof shall be discharged or permitted or suffered to flow into the sea or any adjoining or neighboring canal marina or lake.

(8)        No sign billboard boarding or other advertising device of any kind shall be erected or displayed upon the said hereditaments or on any part thereof without the prior written consent of the Development Company.

(9)        No motor cars or other vehicles shall be parked or permitted or suffered to be parked or stationed upon the said hereditaments or any part thereof other than in locations situated and landscaped and protected from view in a manner approved of in writing by the Development Company such approval to be obtained in the same manner as is provided in Paragraph Number Three (3) above.

(10)    Nothing shall be done permitted or suffered to be done upon the said hereditaments or any part thereof which may or may become an annoyance or nuisance to the owner of owners of any adjoining or neighboring land.

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THE THIRD SCHEDULE HEREINBEFORE REFERRED TO

APARTMENT NUMBER                                 UNIT ENTITLEMENT %

                                               201                        2-Bedroom                             .98

                                               202                        2-Bedroom                             .98

                                               203                        1-Bedroom                             .73

                                               204                        Efficiency                               .40

                                               205                        2-Bedroom                           1.01

                                               206                        Studio                                     .43

                                               207                        2-Bedroom                           1.01

                                               208                        Studio                                    .43

                                               209                        1-Bedroom                            .73

                                               210                        Efficiency                              .40

                                               211                        Efficiency                               .40

                                               212                        1-Bedroom                             .73

                                               213                        Efficiency                               .40

                                               214                        1-Bedroom                             .73

                                               215                        2-Bedroom                            .98

                                               301                        2 Bedroom                           1.01

                                               302                        2-Bedroom                          1.01

                                               303                        1-Bedroom                            .75

                                               304                        Efficiency                              .43

                                               305                        2-Bedroom                          1.01

                                               306                        Studio                                     .45

                                               307                        2-Bedroom                          1.01

                                               308                        Studio                                    .45

                                               309                        1-Bedroom                            .75

                                               310                        Efficiency                               .43

                                               311                        Efficiency                                .43

                                               312                        1-Bedroom                              .75

                                               313                        Efficiency                                .43

                                               314                        1-Bedroom                               .75

                                               315                        2-Bedroom                             1.01

                                               401                        2-Bedroom                            1.03

                                               402                        2-Bedroom                            1.03

                                               403                        1-Bedroom                              .78

                                               404                        Efficiency                                .45

                                               405                        2-Bedroom                            1.03

                                               406                        Studio                                      .48

                                               407                        2-Bedroom                            1.03

                                               408                        Studio                                      .48

                                               409                        1-Bedroom                              .78

                                               410                        Efficiency                                 .45

                                               411                        Efficiency                                 .45

                                               412                        1-Bedroom                               .78

                                               413                        Efficiency                                 .45

                                               414                        1-Bedroom                               .78

                                               415                        2-Bedroom                             1.03

                                               501                        2-Bedroom                             1.06

                                               502                        2-Bedroom                             1.06

                                               503                        1-Bedroom                               .80

                                               504                        Efficiency                                 .48

                                               505                        2-Bedroom                            1.06

                                               506                        Studio                                       .50

                                               507                        2-Bedroom                            1.06

                                               508                        Studio                                      .50

                                               509                        1-Bedroom                              .80

                                               510                        Efficiency                                .48

                                               511                        Efficiency                                .48

                                               512                        1-Bedroom                              .80

                                               513                        Efficiency                                .48

                                               514                        1-Bedroom                              .80

                                               515                        2-Bedroom                             1.06

                                               601                        2-Bedroom                             1.11

                                               602                        2-Bedroom                            1.11

                                               603                        1-Bedroom                              .85

                                               604                        Efficiency                                .50

                                               605                        2-Bedroom                            1.11

                                               606                        Studio                                      .53

                                               607                        2-Bedroom                            1.11

                                               608                        Studio                                      .53

                                               609                        1-Bedroom                             .83

                                               610                        Efficiency                                .50

                                               611                        Efficiency                                .50

                                               612                        1-Bedroom                              .85

                                               613                        Efficiency                                .50

                                               614                        1-Bedroom                              .85

Vol 1224 Page 45

                                               615                        2-Bedroom                               1.11

                                               701                        2-Bedroom                            1.13

                                               702                        2-Bedroom                            1.13

                                               703                        1-Bedroom                             .88

                                               704                        Efficiency                               .53

                                               705                        2-Bedroom                            1.13

                                               706                         Studio                                     .55

                                               707                        2-Bedroom                            1.13

                                               708                        Studio                                      .55

                                               709                        1-Bedroom                             .85

                                               710                        Efficiency                                .53

                                               711                        Efficiency                                 .53

                                               712                        1-Bedroom                              .88

                                               713                        Efficiency                                 .53

                                               714                        1-Bedroom                               .88

                                               715                        2-Bedroom                             1.13

                                               801                        2 Bedroom                             1.16

                                               802                        2-Bedroom                            1.16

                                               803                        1-Bedroom                              .91

                                               804                        Efficiency                                .55

                                               805                        2-Bedroom                            1.16

                                               806                        Studio                                      .58

                                               807                        2-Bedroom                            1.16

                                               808                        Studio                                      .58

                                               809                        1-Bedroom                              .91

                                               810                        Efficiency                                 .55

                                               811                        Efficiency                                  .55

                                               812                        1-Bedroom                               .91

                                               813                        Efficiency                                 .55

                                               814                        1-Bedroom                               .91

                                               815                        2-Bedroom                             1.16

                                               901                        1-Bedroom                               .93

                                               902                        3-Bedroom                            1.64

                                               903                        1-Bedroom                              .93

                                               904                        Efficiency                                .58

                                               905                        Penthouse                              1.51

                                               906                        Penthouse                              1.51

                                               907                        Penthouse                              1.51

                                               908                        Penthouse                              1.51

                                               909                        Penthouse                              1.51

                                               910                        Penthouse                              1.51

                                               911                        Efficiency                                 .58

                                               912                        1-Bedroom                              .93

                                               913                        Efficiency                                .58

                                               914                        1-Bedroom                              .93

                                               915                        2-Bedroom                            1.18

                                               1001                      Efficiency                                .47

                                               1002                      Efficiency                                .47

                                                000                      Commercial Space                1.11

                                                000                      TOTAL                                   100.00%

Following is a typed copy of the “Official” HHT 1975 Bye-Law Amendments produced by the Bahamas Registrar’s office.

Harbour House Towers 1975 Bye-Law Amendments

COMMONWEALTH OF THE BAHAMAS                          Vol 2460 Page 294

GRAND BAHAMAS

I, Beatrice Restifo, Secretary of the Harbour House Towers Condominium Apartments make Oath and say that I was present and saw the Common Seal of Harbour House Towers Condominium Apartments (hereinafter called “the Company”) affixed to the annexed Amendment dated the Sixteenth day of September A.D. 1975 by Columbus W. Reese, a Member of the Board of Directors of the said Company and that I saw the said Columbus W. Reese sign, execute and deliver the said amendment as and for the Act and Deed of the Company and for the purposes mentioned in the said Amendment.  And Further that I am informed and verily believe that the seal affixed and impressed at the foot or end of the said Amendment is the Common Seal of the Company and was affixed and impressed thereto by the said Columbus W. Reese by the order and with the authority of the Board of Directors of the Company.

SWORN TO this   Sixteenth

day of   September   A.D. 1975    ___________________________________

Before me,

______________________________________

NOTARY PUBLIC

COMMONWEALTH OF THE BAHAMAS                          Vol 2460 Page 295

GRAND BAHAMA

This Admendment of Declaration of Condominium is made the 16th day of September A.D. 1975 by Harbour House Towers Condominium Apartments (hereinafter called “the Body Corporate”) and is supplemental to the Declaration of Condominium (hereinafter called “the Declaration”) dated the Twentieth day of November A.D. 1967 and recorded in the Registry of Records in the City of Nassau in the island of New Providence one of the Islands in the Commonwealth of the Bahamas in Volume 1224 at pages 36 to 96 wherein the apartment buildings called ‘Harbour House Towers’ as described in the Declaration were subjected to the provisions of the Law of Property and Conveyancing (Condominium) Act 1965 (hereinafter called “the Act”.

WHEREAS:

(A) The Body Corporate is desirous of providing Bye-laws in addition to the Bye-laws as provided in the Act;

(B) It has been resolved that the Bye-laws as contained in the Schedule hereto (hereinafter referred to as “the said Bye-laws”) shall henceforth be in force with regard to the property the subject of the Declaration,

NOW THIS INDENTURE WITNESSETH as follows:

  1. All the Bye-laws which have been applicable to Harbour House Towers as set forth in the Schedule to this Act shall continue to be in force and the said Bye-laws contained in the Schedule hereto shall be in addition to the Bye-laws in the said Schedule to the Act.

Vol 2460 Page 296

  1. The Declaration shall henceforth be construed and read as if the said Bye-laws contained in the Schedule hereto had been applicable by the Declaration ab initio.
  2. The Declaration is in all other respects hereby ratified and confirmed.

SCHEDULE HEREINAFTER REFERRED TO

Article 1   Officers

1.     Elected Officers   At the first meeting of the board after each election of the directors, the board shall elect from its members a President,  In the default of such an election the then incumbent, if a member of the board, shall hold office until his successor is elected.  A vacancy occurring from time to time in such office may be filled by the board from among its members.

2.     Appointed Officers   From time to time the board shall appoint a Secretary, and may appoint one or more Vice President, a General Manager, a Treasurer, and such other officers as the board may determine, including one or more assistants to any of the officers so appointed.  The officer so appointed may not necessarily be a member of the Board.  One person may hold more than one office, and if the same person holds both the office of Secretary and the office of Treasurer he may be know as the Secretary-Treasurer.

3.     Term of Office   In the absence of a written agreement to the contrary, the board may remove at its pleasure any officer of the Body Corporate.

4.     The President   The President shall, when present, preside at all meetings of the members and of the board and shall be charged with the general supervision of the business and affairs of the Body Corporate.  Except when the board has appointed a General Manager or Managing Director, the President shall also have the powers and be

Vol 2460 Page 297

charged with the duty of that office.

5.     Vice President   During the absence of or the inability to act of the President, his duties may be performed and his powers be exercised by the Vice-President, or if there are more than one, the Vice-Presidents, in order of seniority (as determined by the board), save that no Vice-President shall preside at a meeting of the board or at a meeting of members who are not qualified to attend the meeting as a director or member as the case may be.  If a Vice-President exercises any such duty or power the absence of the President shall be presumed with reference thereto.  A Vice-President shall also perform such duties and exercise such powers as the board may prescribe.

6.     General Manager   The General Manager, if one be appointed, shall have the general management and direction, subject to the authority of the Board and the supervision of the President, of the Body Corporate’s business and affairs, and the power to appoint and remove any and all employees and agents of the Body Corporate not elected or appointed directly by the board, and to settle the terms of their employment and remuneration.

7.     Secretary   The Secretary shall give or cause to be given all notices required to be given to the members, directors, auditors, mortgagees and all others entitled thereto: he shall attend all meetings of the directors and of the members and shall enter or cause to be entered in the books kept for that purpose minutes of all proceedings at such meetings; he shall be custodian of all books, papers, records, documents and other instruments belonging to the Body Corporate and he shall perform such other duties as may from time to time be prescribed by the board.

8.     Treasurer   The Treasurer shall keep or caused to be

Vol 2460 Page 298

kept full and accurate books of account in which shall be recorded all receipts and disbursements of the Body Corporate and under the direction of the board shall control the deposit of money, the safekeeping of securities and the disbursement of the funds of the Body Corporate, and shall perform such other duties as may from time to time be prescribed by the board.

9.     Other Officers   The duties of all other officers of the Body Corporate shall be such as the terms of their engagement call for, or the board requires of them, any of the powers and duties of an officer to whom an assistant has been appointed may be exercised and performed by such assistant unless the board otherwise directs.

10.     Agents and Attorneys   The Board shall have the power from time to time to appoint agents or attorneys for the Body Corporate with such powers of management or otherwise as may be thought fit.

11.     Remuneration of Officers   Officers of the Body Corporate shall receive no remuneration for their services except for the Manager whose rate of pay shall be established from time to time by the board.  The President when acting for the manager is not entitled to any remuneration but may at the direction of the board receive partial compensation to offset his personal expenses incurred in carrying out the Manager’s functions.

Article 2   Banking Arrangements and Contracts

1.     Banking arrangements   The banking business of the Body Corporate or any part thereof shall be transacted with such bank or trust company as the board may designate, appoint, or authorize from time to time by resolution.  All such banking business or any part thereof shall be transacted on the Body Corporate’s behalf by such one or more officers or other persons as the board may desig-

Vol 2460 Page 299

nate, direct or authorize from time to time by resolution, and to the extent therein provided, including, without restricting the generality of the foregoing, the operation of the Body Corporate’s Accounts, the making, signing, drawing, accepting, endorsing, negotiating, lodging, depositing or transferring of any cheques, promissory notes, drafts, acceptances, bills of exchange and orders relating to any property of the Body Corporate, the execution of any agreement relating to such banking business and defining the rights and powers of the parties thereto, and the authorizing of any officer of such banker to do any act or thing on the Body Corporate’s behalf to facilitate such banking business.

2.     Execution of Instruments   Deeds, transfers, assignments, contracts and obligations on behalf of the Body Corporate may be signed by the President or Vice-President together with the Secretary or any other director.  Any contract or obligation within the scope of any management agreement entered into by the Body Corporate may be executed on behalf of the Body Corporate in accordance with the provisions of the Management Agreement.  Notwithstanding any provisions to the contrary contained in the bye-laws of the Body Corporate, the board must on all occasions direct the manner in which and the person or persons by whom any particular deed, transfer, contract or obligation or any class of deeds, transfers, contracts or obligations of the Body Corporate may or shall be signed.

Article 3   Assessment and Collection of common expenses

All expenses, charges and costs of maintenance or replacement of the common elements and any other expenses, charges or costs which the board may incur or expend pursuant hereto shall be assessed and levied against the owners in the proportions in which they are required to contribute to the common expenses as set forth in the

Vol 2460 Page 300

Declaration.  The board shall from time to time and at least annually prepare a budget for the property and determine by estimate the amount of common expenses for the next ensuing fiscal year or remainder of the current fiscal year as the case may be.  The board shall present the estimated budget at a meeting of the members and the owners shall consider the estimated budget and, if satisfactory, shall approve in principle the budget at such time.  The board shall allocate and assess such common expenses as set out in the approved budget for such period among the owners according to the proportion in which they are required to contribute to the common expenses as set forth in the Declaration.  In addition to the foregoing expenses, the board may include in the annual budget provisions for a reserve fund for contingencies, working capital deficits or replacements, which reserve fund shall be an asset of the Body Corporate.  The board shall advise all owners promptly of the amount of the common expenses payable by each of them respectively, determined as aforesaid, and shall deliver copies of each budget on which such common expenses are based to all owners and mortgagees on the Register.

2.     Owner’s Obligations   Each owner shall be obliged to pay to the Body Corporate or as it may direct the amount of the annual assessment as follows:

One-twelfth (1/12th) of such assessment on the first day of each and every month next following delivery of such assessment until such time as a new assessment shall have been delivered to such owner.

3.     Extraordinary Expenditures   Extraordinary expenditures not contemplated in the foregoing budget and for which the board shall not have sufficient funds may be assessed at any time during the year in addition to the annual

Vol 2460 Page 301

Assessment, by the board serving notice of such further assessment on all owners, which notice shall include a written statement setting out the reasons for the extraordinary assessment, and such extraordinary assessment shall be payable by each owner within (10) days after the delivery thereof to such owner, or within such further period of time and in such installments as the board may determine.

Article 4   Functions and responsibilities of the Manager

The manager, in the performance of its (his) duties hereunder, shall:

(a)  Enforce the terms of the Declaration, bye-laws and rules and regulations and any amendments thereto which presently exist or which may hereafter be made and notified to the Manager in writing.

(b)  Forthwith communicate to all owners the text and import of any further bye-laws or rules and regulations.

(c)   Advise and consult with the board with respect to any further bye-laws, rules and regulations which in the opinion of the Manager ought to be established to further the harmonious and satisfactory operation of the property for the common benefit of the owners.

(d)  Prepare and keep current the register of owners and mortgagees required by the Declaration.

(e)  Collect and receive all moneys payable by the owners under the Declaration and bye-laws, in trust for the Body Corporate, and deposit the same in the proper account to be maintained by the Body Corporate as the board shall direct.  All such moneys shall thereafter be held in trust by the Manager and be used to:

(1)  make payments of all accounts properly incurred by or on behalf of the           Body Corporate.

(2)  Arrange and pay for insurance in accordance with

Vol 2460 Page 302

provisions of the Declaration and bye-laws in amounts directed by the board.

(3) repair and maintain or cause to be so repaired and maintained those parts of the property which require repair and maintenance by the Body Corporate in accordance with the provisions of the Declaration and bye-laws, and without limiting the generality of the foregoing, such repair and maintenance shall include the repair and maintenance of all lawns and landscaped areas, the cleaning and conditioning of the swimming pool by appropriate chemical addition, keeping of the common elements in a neat and tidy condition by the removal of litter therefrom, cleaning and disinfecting the entire garbage area at appropriate intervals, keeping the water pumps and conditioning equipment in proper operation at all times, keeping all electrical wiring circuits and lighting fixtures in the common elements in good working order and providing all necessary light bulbs, and maintaining such staff as may be required at all times to carry out the foregoing promptly and efficiently.

(4) Obtain signed contracts from all persons using space in the marina in accordance with board directives and collect the rental for dock space at currently established rates.

(5) Keep accurate accounts of the financial transactions involved in the management of the property and render to the board monthly statements of income and expenditures with respect thereto and keep such accounts open for inspection by the board and interested owners at all reasonable times.

(6) The duties of the Manager shall not include the duties of the officers of the Body Corporate set forth in Article 1 hereof, except as specifically otherwise pro-

Vol 2460 Page 303

vided.

(7) The manager may engage a subsidiary corporation or any person, firm or associated corporation to perform any work or services for the Body Corporate, within the scope of the managers duties without being in breach of any fiduciary relationship with the Body Corporate, subject, however, to the following provisions:

(a) where the cost of performing such work or services not exceed the sum of $1000.00, the Manager shall be entitled to have such work or services performed by such affiliate.

(b) any work or services to be performed, the cost of which exceeds $1000.00, shall not be performed by any affiliate unless the Manager has first either obtained the approval of the board or has obtained two written tenders from parties other than such affiliate and has the work performed by such affiliate at a cost not exceeding the lower of such tenders.

(8) At the beginning of each fiscal year, the Manager shall furnish to the board in writing an estimated budget for the following year, setting forth by categories the anticipated expenditures for the operation of the property for the coming year, including, without limiting the generality of the foregoing, salaries and wages, Insurance premiums, water, electricity, costs of all repairs, renewals, and maintenance, Non-prorated costs such as garbage collection and CATV must be shown separately.  Should a supplementary budget become necessary in the then remaining portion of the fiscal year it shall be the duty of the Manager to prepare this budget and be available to the board to assist in revising the maintenance schedule.

(9) The Manager will at all times keep the board and

Vol 2460 Page 304

owners advised of the telephone numbers at which he can be reached during normal business hours or after hours in an emergency.  The Manager shall deal in the first instance with minor emergencies and bye-law infractions and shall forthwith report to the board any major emergency or any persistent, flagrant or serious violation of the Declaration, bye-laws or rules and regulations, provided that in the event of an emergency of major proportions, the Manager is hereby authorized to take immediate steps for the protection and preservation of the property.  It is understood and agreed by all parties that the Manager shall use his discretion in determining whether or not an emergency exists and whether or not such emergency is of a minor nature.

(10) As in Article 1 (6).

Article 5   Election and term of Directors

(1)  There shall be seven directors and four board members shall constitute a quorum.

(2)  No persons other than elected members are eligible to attend and vote at board meeting.  Exceptions to this rule are outline in the bye-laws in the case where officers of the Body Corporate are not elected board members.

(3)  At the time of each Annual Meeting three of the most senior board members shall resign and retire and shall not be eligible for reelection until one year has elapsed.

(4)  The board shall be composed of at least five owners who live and reside at Harbour House Towers Condominium Apartments.  The seniority of members is to be determined by the board.

Fiscal Year

The Fiscal year for the purpose of accounting and budget reconciliation shall be from July 1 to June 30.

Vol 2460 Page 305

Fidelity Bonds

The Manager, if appointed by the board, will require a fidelity bond to be posted prior to handling Condominium funds.

Distribution of Board Minutes

The Secretary upon receiving the official minutes of each and every board meeting shall undertake to provide all owners with a copy by ordinary mail directed to the address of record in the Condominium register.

Sales and Rental Income

The surplus derived from rental and sales of Condominium units or property shall be credited to the common expenses pool of funds on June 10th of each fiscal year.

IN WITNESS WHEREOF Harbour House

Towers Condominium Apartments has

Caused its Common Seal to be

Hereunto affixed the day and year

First hereinbefore  wr???????

The Common Seal of Harbour House Towers Condominium

Apartments was affixed hereto by Columbus W. Reese a

Member of the Board of the said Company and the said

Columbus W. Reese     affixed his signature hereto in

the presence of:-

……………………………………………

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