Marymount Townhomes HOA, Inc. Rules, Regulations and General Information (Revised March 9, 2009)

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1 Marymount Townhomes HOA, Inc. Rules, Regulations and General Information (Revised March 9, 2009) This document replaces and supersedes all preceding versions of such information distributed to Lot Owners in any form (i.e. Rules, Regulations and General Information, Amendments, memoranda, condensed lists, reminders, etc.) by the Board of Directors ( BOD ) or its Managing Agent. The document is supplemental to the Declaration of Covenants, Conditions and Restrictions for Marymount at Marsh Oaks A Townhouse Development ( Declaration ), the Articles of Incorporation of Marymount Townhomes HOA, Inc. ( Articles ) and the Bylaws of Marymount Townhomes HOA, Inc. ( Bylaws ). Together, these four documents make up the governing documents for Marymount Townhomes HOA, Inc. The Declaration, Articles and Bylaws can be found on the internet at: Each Lot Owner is encouraged to review and familiarize themselves with these governing documents. General Information Acceptance of Provisions of the Declaration Per Article IX, Section 1 of the Declaration, the purchase, lease or occupancy of a Lot constitutes an agreement to accept and comply with the provisions of the Declaration by such Owner, Tenant, or Occupant. Termite Bond The HOA carries a Termite Bond for all Lot Owners, the cost of which is included in Annual Assessments. Mandatory annual inspections of individual townhomes are required in order for the HOA to retain coverage under the bond. Should a Lot Owner not provide access to their townhome during the scheduled period for inspections, and fail to reschedule such inspection within the required period of time, the Provider of such Bond, the HOA and the BOD will not be responsible for the costs associated with repairs or restoration should subsequent evidence of termite damage be found. Noncompliant Lot Owners will assume the responsibility for all costs for their townhome(s) as well as any extended damage to other areas due to said Lot Owner s negligence. Insurance The HOA carries a Master Insurance Policy for loss/damage to structures (excluding personal property/contents) and liability (injury, death, property damage). Premiums are included in the HOA dues. Lot Owners may increase their personal homeowner s dwelling coverage at their own expense. The BOD makes no recommendation in this regard and suggests that Lot Owners consult their personal insurance providers for further information and guidance. Refer to Article V of the Declaration for additional insurance information. Investment Property In the event a Lot Owner leases Townhome(s), the BOD requires Lot Owners to provide the BOD, or its managing agent, current information regarding the names and phone numbers of tenants/occupants. Additionally, the BOD requires the execution of a Tenant Agreement by all current tenants. Tenant Agreements are available from the BOD, or its managing agent, and are due within ten (10) business days of occupancy. Annual Assessments (Dues) Annual Assessments are payable quarterly to both the Marymount Townhomes HOA, Inc. and the Marsh Oaks HOA, Inc. (the Master HOA). Payment coupons are provided for remittance. Please refer to Article VI of the Declaration for additional information regarding Assessments (Liens, Effect of Nonpayment and Remedies).

2 Sales and/or Transfers of Property The BOD requires Lot Owners to inform the BOD, or its managing agent, of the impending sale of their property as two (2) separate HOA transfers will be necessary (Marymount Townhomes HOA, Inc. and Marsh Oaks HOA, Inc.). Violations, Fines and Suspension of Privileges Letters of notification are sent for first offenses. Thereafter, the BOD may assess the maximum allowable under State Law. Article IX, Section 2 (a) of the Declaration outlines the guidelines established for Marymount Townhomes HOA, Inc. with regard to remedies for violations of covenants, conditions and restrictions. This section also outlines the Lot Owner s responsibility for repairs and maintenance required as a result of willful acts or negligence of a Lot Owner, his family, guests, invitees or tenants. Board of Directors Meetings Regularly scheduled meetings are held monthly and are open to Lot Owners. Meeting Dates and times may be obtained from the BOD or its managing agent. HOA Management Company ( Managing Agent ) Community Association Management Specialists (CAMS) 1630 Military Cutoff Road, Suite 108 Wilmington, NC Phone (910) Fax (910) cams@camsmgt.com Emergency On-Call Service - 24 hours (910) Use Restrictions, Architectural Control and Maintenance Please refer to Articles I and VII of the Declaration for information regarding definitions, use restrictions, architectural control and maintenance. For quick reference, architectural approval from the BOD or its Architectural Control Committee ( ACC ) is required, per the Declaration, for the following: 1. Prior to commencing, erecting or maintaining any dwelling, wall or other structure on any Lot or prior to making any exterior addition to, change in, or alteration to any dwelling, wall or other structure on any Lot (Article VII, Section 1 of the Declaration); 2. Regarding the type and size of any wall or plant screen used to hide any service utilities, fuel tanks or wood piles (Article VII, Section 2 (d) of the Declaration); 3. For the temporary or permanent use on any Lot of a structure of temporary character, trailer, basement, tent, shack, garage, barn or other outbuilding as a residence (Article VII, Section 3 (c) of the Declaration); 4. To keep a boat, motor boat, camper, trailer, motor or mobile home, tractor/trailer or similar type vehicle on any Lot or on any street at any time (Article VII, Section 3 (d) of the Declaration); 5. To place a yard statuary or TV Satellite Receiving Dish or outside radio or television antenna on any Lot (Article VII, Section 3 (f) of the Declaration); 6. In order to undertake, cause, or allow any alteration or construction in or upon any portion of the Common Elements (Article VII, Section 3 (h) of the Declaration); 7. In order to place a sign on any Lot or in the Common Elements (Article VII, Section 3 (i) of the Declaration); 8. For separate water systems for outside irrigation and other outdoor uses (Article X, Section 3 of the Declaration); 9. For subdividing Lots and/or changing boundary lines (Article, Section 3 (j) of the Declaration).

3 Erecting and Altering Structures See Article VII, Section 3 (c) of the Declaration Structures of any nature, whether permanent or temporary (i.e. playscapes, swing sets, dollhouses, ramps, etc.) may not be erected or maintained on any Lot without prior written approval of the BOD or its ACC, except that such temporary structures may be erected or maintained within approved privacy fencing without prior written approval of the BOD or its ACC provided that the height of such temporary structures do not exceed the height of approved privacy fencing. Painting, installation of exterior lighting attached to dwellings or structures, awnings and porch enclosures are considered additions, changes and alterations and therefore require the approval of the BOD or its ACC. With regard to installation of exterior lighting attached to dwellings or structures, motion detectors and spotlights are not permitted on the front or sides of dwellings or structures. Nuisances See Article VII, Section 3 (b) of the Declaration Please be considerate of your next door neighbor regarding noise levels within your individual townhome or Lot, as well as in Limited Common Elements and Common Elements. Trash See Article VII, Section 2 (d) of the Declaration Disposal of garbage, trash and refuse is the responsibility of the Lot Owner. All garbage, trash and refuse must be kept in appropriate containers and stored in enclosed walls or screens approved by the BOD or its ACC (i.e. garages, privacy fencing, etc.). Containers may be set out the night prior to pick-up, and returned to approved storage areas on the day of pick-up. Please make arrangements to comply with these requirements if away. Window Treatments See Article VII, Section 3 (g) of the Declaration Replacement window treatments and upgraded window treatments are permitted provided they are aesthetically similar to those original to the townhome (i.e. mini-blinds, plantation blinds, or plantation shutters), are white, horizontally slatted and conceal other window treatments installed inside such approved treatments. Statuary and Satellite Dishes See Article VII, Section 3 (f) and Section 2 (f) of the Declaration Yard statuary (flower pots, planters, bird feeders, birdbaths, statues, gazing balls, landscape lighting, etc.), requires approval of the BOD or its ACC and will only be permitted/approved by the BOD in the planting area closest to the townhouse/structure. See Article VII, Section 3 (f) and Article VII, Section 2 (f) of the Declaration. Homeowners shall not place statuary of any kind in Common Elements or Association Maintenance Areas. Satellite dishes approved by the BOD or its ACC may not exceed 18" in diameter and may not be mounted on roof, fascia or soffit areas and must not be visible from any street. Signage See Article VII, Section 3 (i) of the Declaration Signs are not permitted on any Lot or in the Common Elements, including in or on doors and windows, without permission of the BOD, except that the following are permitted without prior approval of the BOD: 1. a house number (street address) sign similar to those currently existing in the community, not to exceed 7"x17" and within 17" in height from the ground, placed in the front planting area closest to the townhouse/structure, 2. one For Sale sign not to exceed 2'x3' and placed in the front planting area closest to the townhouse/structure 3. one Open House sign, permitted only on the day of the open house, not to exceed 2 x3 and placed in the front planting area closest to the townhouse/structure 4. up to a maximum of three (3) directional signs indicating an Open House, permitted only on the day of the open house, not to exceed 2 x3 and placed on street corners within Common Elements and Limited Common Elements.

4 Travelways and Parking See Article VII, Section 2 (e) and Section 3 (d) of the Declaration The parking area at the Marsh Oaks clubhouse/pool is available for short-term parking should Lot Owners require parking in addition to the off-street parking area/driveway provided on their Lot. Yard and Garage Sales Sales of any type (i.e. moving, yard, garage, tag, estate, etc.) are not permitted on any Lot, in any Common Elements, Limited Common Elements or Association Maintenance Areas. Fencing See Article VII, Section 2 (d) of the Declaration Approved privacy fencing is excluded from the definition of Limited Common Elements and therefore not maintained by the HOA. Thus Lot Owners are responsible for the maintenance and repair of their approved privacy fencing. The approved color is CWF-UV Cedar Tone Stain. In the event that approved privacy fencing is not maintained by a Lot Owner, the HOA shall maintain/repair approved privacy fencing at the Lot Owner s expense. Changes, alterations or removal of existing fences are not permitted without the prior written approval of the BOD or its ACC. Objects (i.e. garden hoses, extension cords, grill covers, linens, etc.) should never be draped over, nor should debris be discarded over, approved privacy fencing. Invisible fencing for pets is not permitted. Yard Maintenance Within Approved Privacy Fencing The portion of yard located within approved privacy fencing is excluded from the definition of Limited Common Elements and therefore not maintained by the HOA. Thus maintenance of such area is the responsibility of the Lot Owner in an acceptable manner as defined in the Declaration. Plant materials planted in the portion of yard located within approved privacy fencing yet which overhangs such approved privacy fencing and encroaches the portion of yard which is part of the Limited Common Elements and interferes with HOA-contracted maintenance, or encroaches a neighboring Lot and deemed unacceptable to neighboring Lot Owners, should be trimmed regularly to prevent such encroachment. In maintaining the portion of yard located within approved privacy fencing, please keep weep holes (slotted areas between brickwork) unobstructed from mulch and ground covers, soil, shrubbery, vines, etc. to ensure proper water drainage from building exterior and foundation. Obstructed weep holes can result in excessive moisture resulting in costly mold/mildew removal (your townhome or neighboring townhomes), for which you would be responsible. HOA-Contracted Maintenance and Damages Only members of the BOD, or their appointees, may direct or supervise HOA-contracted maintenance personnel or any service provider hired by the HOA. The HOA and its BOD assume no responsibility for any loss or damage to any personal property left in any Common Elements or Limited Common Elements or on any Lot. Lot Owners are responsible for damage to Common Elements, Limited Common Elements or Association Maintenance Areas (turf, mulched areas, planting areas and the plant materials therein, etc.) as a result of the willful act, or active or passive negligence, of any Owner, his family, guests, invitees, or tenants, including damage caused by vehicles parked in/on such areas. Retention Ponds, Drainage Areas, Ditches, and Swales Retention ponds, drainage areas, ditches and swales are not recreational areas and shall not be disturbed or obstructed in any way. These areas are not to be used for recreational purposes (walking, running, cycling, fishing, boating, pet walking, etc.). Disposal or dumping of any materials (i.e. refuse, yard waste, solids and liquids of any type including ground water into such areas is strictly prohibited as these areas are Protected Areas and as such are state-regulated.

5 Maintenance of Limited Common Elements, Common Elements and Association Maintenance Areas Per the Declaration, the HOA assumes the responsibility for the maintenance of Limited Common Elements, Common Elements and Association Maintenance Areas. Thus the HOA has entered into third party maintenance contracts, the terms of which limit or prohibit the performance of certain maintenance activities performed by Lot Owners. No maintenance activities or alterations shall be undertaken by Lot Owners within Common Elements and Association Maintenance Areas. Further, Lot Owners should refrain from performing maintenance activities in Limited Common Elements to ensure that the HOA is not in breach of its maintenance contracts. The following guidelines should help clarify such activities: Lot Owners shall not apply, or contract vendors to apply, chemicals and fertilizers to, overseed, mow, add or reapply pine straw, or change mulch material in, Limited Common Elements. Lot Owners should request approval from the BOD prior to adding, removing, trimming or pruning plant materials in Limited Common Elements. Upon approval by the BOD or its ACC, the addition of plant materials to existing landscaping within Limited Common Elements shall only be permitted in the front planting area closest to the townhouse/structure. Please keep Limited Common Elements (i.e. planting areas and turf areas) free of obstructions for safety considerations with regard to the maintenance of these areas. Installation of water softeners, hot tubs, etc. within the Limited Common Elements on any Lot requires the approval of the BOD or its ACC. However, installation of water softeners, hot tubs, etc. within approved privacy fencing do not require approval from the BOD or its ACC provided they do not encroach or drain into Limited Common Elements, Common Elements, Association Maintenance Areas or neighboring Lots. Holiday lighting, decorations and extension cords should not be stretched across turf areas and travelways (sidewalks and driveways); seasonal or holiday decorations should be removed from Limited Common Elements in a timely manner. Installation of edging in Limited Common Elements is permitted provided it is similar/harmonious with existing edging used throughout the development and only separates planting areas from cemented areas. Stains or spills (oil, grease, paint, etc.) on travelways (walkways, driveways, roadways, etc.), which are Limited Common Elements, shall be immediately cleaned up or removed by the Lot owner. In the event such stains or spills are removed by the Lot Owner, the HOA may have the work done and any associated cost will be assessed to the Lot owner. Pet owners should pick up animal litter immediately from all areas of the development, including Common Elements, Limited Common Elements, and Association Maintenance Areas. Objects should never be draped over HOA-owned and maintained perimeter fencing. Debris (i.e. dead plant materials, flower pots, animal litter, matches, cigarette butts etc.) should never be discarded in Limited Common Elements, Common Elements, or Association Maintenance Areas, including over HOA-owned and maintained perimeter fencing. No landscape plantings may be planted next to, and no personal items may be attached to, the HOA-owned and maintained perimeter fencing.