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HomeMy WebLinkAbout3.0 Condominium declarationCONDOMINIUM DECLARATION FOR AUBURN RIDGE CONDOMINIUMS THE DECLARATION OF COVENANTS RECORDED IN BOOK AT PAGE IS NULL AND VOID AND SUPERSEDED BY THIS CONDOMINIUM DECLARATION. THIS DECLARATION is made on the date set forth below by (the "Declarant "). WHEREAS Declarant is the owner of certain real property in the County of Garfield, State of Colorado, which is more particularly described as set forth in Exhibit "A" attached hereto and incorporated herein by this reference; and WHEREAS Declarant desires to create under the Colorado Common Interest Ownership Act, a Condominium Common Interest Community on the real property described in Exhibit "A ", the name of which is the Auburn Ridge Condominiums, in which portions of said real property will be designated for common ownership; and WHEREAS Declarant has caused to be incorporated under the laws of the State of Colorado, the Auburn Ridge Condominium Association (the "Association "), a nonprofit corporation, for the purpose of exercising the functions as herein set forth; and WHEREAS Declarant has recorded a Condominium Map in Plat Book at Page , as Reception No. in the records of the Gar' eld County Clerk and Recorder. NOW THEREFORE Declarant does hereby publish and declare that the following terms, covenants, conditions, easements, restrictions, uses, conditions, reservations, limitations, and obligations are declared and agreed to be for the protection of the value of the real property, shall be deemed to run with the land, shall be binding upon and inure to the benefit of the Declarant, to Declarant's successors and assigns, to the Association, and to any person or entity acquiring or owning an interest in the above described real property, their grantees, heirs, legal representatives, devisees, successors or assigns. ARTICLE I Definitions Each term not otherwise defined herein or on the Condominium Map shall have the meaning specified or used in the Colorado Common Interest Ownership Act, as it may be amended from time to time (the "Act "). In the event the Act is repealed, the Act, on the effective date of this Declaration, shall remain applicable. -1- Association. The Auburn Ridge Condominium Association, a Colorado nonprofit corporation, which shall act by and through it's Board of Directors and Officers and which shall be governed by its Bylaws, as amended from time to time. Common Elements. All parts of the real property, improvements, installations, and facilities which are not included within any Unit. Detached parking and storage facilities, work areas, all utility lines, ducts, facilities, and installations servicing more than one Unit also constitute a part of the Common Elements, even though located, in whole or in part, within a Unit. Common Expenses. Expenditures made or liabilities incurred by or on behalf of the Association, together with any allocations to reserves, for the administration, operation, management, repair or replacement of the Common Elements. Declarant. , it's successors and assigns. Declaration. Any recorded instrument(s) however denominated, that create a common interest community, including amendments thereto and also including, but not limited to, plats and maps. Owner. Person, persons or other legal entity, or any combination thereof, including the Declarant, who holds fee title to any Unit, but excluding those having merely a security interest for the performance of an obligation. Unit. A physical portion of the common interest community which is designated for separate ownership or occupancy and the boundaries of which are described in or determined from the Declaration, and a proportionate undivided interest in the Common Elements. ARTICLE II The Association The business affairs of the Condominium shall be managed by the Auburn Ridge Condominium Association. Membership. Each owner shall be a Member of the Association. Each membership shall be appurtenant to and inseparable from the Unit upon which it is based, and shall be transferred upon the transfer of title to that Unit. Class of Membership. There shall be two classes of voting membership: Class A. Class A Members shall be all Owners, with the exception of the Declarant, and shall be entitled to one vote for each Unit owned. When more than one person holds an interest in any Unit, all such persons shall be Members. The vote of such Unit shall be exercised as they determine, but in no event shall more -2- than one vote be cast with respect to any such Unit. Class B. The Class B Member(s) shall be the Declarant (as defined in the Declaration), and shall be entitled to three (3) votes for each Unit owned. The Class B membership shall cease and be converted to Class A membership on the happening of either of the following events, whichever occurs earlier: (a) 120 days after the date when the total votes outstanding in the Class A membership equals the total votes outstanding in the Class B membership; or (b) on January 1, 2000. Powers. Any owner shall be deemed to have assented to and ratified the designation and authority of the Association to conduct the management of the Common Elements and other common aspects of the project. The Association has agreed to perform the duties required of it hereunder and shall have the following powers: (a) To adopt and from time to time supplement and amend reasonable rules and regulations governing the use of the Units and Common Elements, which rules and regulations shall be consistent with the rights and duties established in this Declaration. (b) To adopt and amend budgets for revenues, expenditures and reserves and levy and collect assessments for Common Expenses from Unit owners. (c) To hire and terminate managing agents and other employees, agents and independent contractors. (d) To institute, defend, or intervene in litigation or administrative proceedings in its own name, on behalf of itself, or two or more Unit owners, on matters affecting the common interest community. (e) To make contracts and incur liabilities. (f) To regulate the use, maintenance, repair, replacement, and modification of Common Elements. (g) To cause additional improvements to be made as a part of the Common Elements. (h) To acquire, hold, encumber and convey in its own name any right, title, or interest to real or personal property. (i) To grant easements, leases, licenses, and concessions -3- through or over the Common Elements. (j) To impose and receive any payments, fees, or charges for the use, rental or operation of the Common Elements. (k) To impose charges for late payment of assessments, recover reasonable attorney's fees and other legal costs for collection of assessments and other actions to enforce the power of the Association, regardless of whether or not suit was initiated, and, after notice and an opportunity to be heard, levy reasonable fines for violations of the Declaration, bylaws and rules and regulations of the Association. (1) To impose reasonable charges for the preparation and recordation of amendments to the Declaration or statements of unpaid assessments. (m) To provide for the indemnification of its officers and executive board and maintain directors' and officers' liability insurance. (n) To assign its right to future income, including the right to receive Common Expense assessments. (o) To exercise any other powers conferred by the Declaration or bylaws. (p) To exercise all other powers that may be exercised in Colorado by legal entities of the same type as the Association. (q) To exercise any other powers necessary and proper for the governance and operation of the Association. Voting. Each Unit has a proportionate undivided interest in the Common Elements and the Common Expense liability. Each Unit shall have one (1) vote in the Association. In the event of multiple owners of a Unit, the owner present at a meeting of the Association is entitled to cast all the votes allocated to that Unit. If more than one owner is present, one vote shall be cast in accordance with the agreement of a majority in interest of the owners. There is majority agreement if any one of the multiple owners casts the vote without protest being made promptly to the person presiding over the meeting by any of the other owners of the Unit. In the event the Unit owners cannot reach majority agreement on any matter, the Unit owners shall appoint a mutually agreed upon third party whose decision shall be binding. -4- Votes may be cast in person or by proxy duly executed by a Unit owner. If a Unit is owned by more than one person, each owner of the Unit may vote or register protest to the casting of votes by the other owners of the Unit through a duly executed proxy. A proxy may not be revoked without notice to the person presiding over a meeting of the Association. A proxy is void if it is not dated, more than eleven (11) months have passed since the date of the proxy, unless it provides otherwise, or the proxy purports to be revocable without notice. No votes allocated to a Unit owned by the Association may be cast. Meetings. The meetings of the Association shall be held at least once each year. Special Meetings of the Association may be called by the president, by a majority of the executive board, or by Unit owners having twenty percent, or any lower percentage specified in the bylaws, of the votes of the Association. Notice. Each Unit owner shall be entitled to notice of matters affecting the common interest community. Notices of meetings shall be in writing and shall state the time and place of the meeting and the items on the agenda, including the general nature of any proposed amendment to the Declaration or bylaws, any budget changes and any proposal to remove an officer or member of the executive board. Notices shall be delivered not less than ten (10) and no more than fifty (50) days in advance of any meeting. The secretary or other officer specified in the bylaws shall cause notice to be hand delivered or sent prepaid by United States mail to the mailing address of each Unit or to any other mailing address designated in writing by the Unit owner. Ouorum. A quorum is deemed present throughout any meeting of the Association if all Members of the Association are present in person or by proxy at the beginning of the meeting. Actions Without Meeting. Actions requiring voting by Association Members may be taken without a meeting so long as unanimous written consent of the Members is given. ARTICLE III Units Number. The number of units in the Condominium project is ( ). The Declarant reserves no rights to create additional units. Identification. The identification number of each Unit is shown on the Condominium Map and each Unit shall be identified by its designation on said Map. Boundaries. The boundaries of each Unit are as shown on the Condominium Map and are more particularly described as follows: -5- (a) walls, floors and ceilings, exclusive of lath, furring, wallboard, plasterboard, plaster, paneling, tiles, wallpaper, paint and finished flooring; (b) heating, cooling, and hot water apparatus serving only that unit, whether or not located within the boundaries of the unit; Subdivision. A Unit shall not be further subdivided or the boundaries of two adjoining Units altered. Partition. The Common Elements are not subject to partition. ARTICLE IV Assessments Declarant, for each Unit, shall be deemed to covenant and agree, and each Unit owner, by acceptance of a deed therefor, whether or not it shall be so expressed in any such deed or other conveyance, shall be deemed to covenant and agree, to pay to the Association annual Common Expense assessments. Until the Association makes a Common Expense assessment, Declarant may pay all Common Expenses. Initial assessments shall be set by the Association at its first meeting. After any assessment has been made by the Association, assessments shall be made annually and shall be based on a budget made annually by the Association. Such assessments, including fees, charges, late charges, attorney's fees, fines and interest charged by the Association shall be the personal obligation of the Unit owner at the time when the assessment or other charges became or fell due. Purpose. The assessments levied by the Association shall be used for the purposes of promoting the health, safety and welfare to the residents in the common interest community and for maintenance of the Common Elements and exterior of the Condominium building. Allocation of Assessments. Each Unit owner is liable for assessments made and shall be obligated to pay, and shall pay to the Association Common Expense assessments as hereinafter provided. No Unit owner may be exempt from liability for payment of the assessments by waiver of the use or enjoyment of any of the Common Elements or by abandonment of the Unit against which the assessments are made. The amount of any assessment, charge, fine or penalty payable with respect to any Unit owner or Unit shall be a joint and several obligation to the Association of such Unit owner and such Unit owner's heirs, personal representatives, successors and assigns. A party acquiring fee simple title to a Unit shall be jointly and severally liable with the former Unit owner for all such amounts which had accrued and were payable at the time of the acquisition of fee simple title to the Unit by such party without prejudice to such party's right to recover any of said amounts paid from the former Unit owner. -6- (a) Common Expenses benefiting all of the Units shall be assessed against all the Units in accordance with each Unit's undivided interest in the Common Elements. (b) A Common Expense or portion thereof benefiting fewer than all of the Units shall be assessed exclusively against the Units benefitted, equally. (c) If any Common Expense is caused by the misconduct of any Unit owner, the association may assess that expense exclusively against such Unit. (d) The cost of insurance shall be assessed in proportion to risk, and the cost of utilities shall be assessed in proportion to usage. Budget. The Association shall cause to be prepared a budget for the fiscal period showing the estimated costs and expenses which will be payable in that fiscal period and the estimated income and other funds available for that fiscal period. The total amount of assessments shall be determined for each fiscal period by the Association. The amount to be raised by assessments shall be the amount necessary to cover the costs and expenses of the obligations of the Association. Working Capital Fund. To assure that the Association will have the funds to meet unforeseen expenditures or to purchase additional equipment or services, the budget may include a working capital fund at least equal to two (2) months of estimated assessments for each Unit. The Declarant may require the first owner of each Unit to make a non - refundable payment to the Association in an amount equal to one (1) month of the estimated assessment for each Unit, which sum shall be held, without interest, by the Association as a working fund. Said payment may be collected at the time of the closing of the sale by Declarant of each Unit. Such payment shall not relieve an owner from making regular payments of assessments as the same become due. Upon transfer of his Unit, an owner shall be entitled to credit from his transferee for any unused portion of the aforesaid working fund. Special Assessments. In addition to the assessments described above, the Association may levy special assessments, payable over such a period as the Association may determine, for the purpose of defraying, in whole or in part, to the extent the amounts in any capital reserve fund are insufficient therefor, the cost of any construction or reconstruction, repair or replacement of the Condominium or any part thereof, or for any other expense incurred or to be incurred as provided in this Declaration. Supplementary Assessments. In the event the amount received by the Association on account of Common Expense or special assessments is less than the amount required by the Association, whether as a -7- result of defaults by Unit owners in making payments or as a result of mistaken estimates in budgeting or otherwise, the Association may, at any time, levy supplementary assessments to cover the deficiency. Collection of Assessments. Common Expense assessments shall be collected monthly unless determined otherwise by the Association. Any assessment, charge or fee provided for in this Declaration, or any monthly or other installment thereof, which is not fully paid within ten (10) days after the due date thereof shall bear interest at the rate of eighteen percent (18 %) per annum and the Association may assess a late charge thereon. Further, the Association may bring an action at law, or in equity, or both, against any Owner personally obligated to pay such overdue assessments, charges or fees, or monthly or other installments thereof, and may also proceed to foreclose its lien against such owners Unit. An action by the Association against an owner to recover a money judgment for unpaid assessments, charges or fees, or monthly or other installments thereof, may be commenced and pursued by the Association without foreclosing, or in any way waiving, the Association's lien therefor. Lien for Assessments. The Association has a statutory lien on a Unit for any assessment levied against that Unit or fines imposed against its Unit owner. Fees, charges, late charges, attorney's fees, fines and interest charged are enforceable as assessments. The amount of the lien shall include all those items set forth herein from the time such items become due. If an assessment is payable in installments, each installment is a lien from the time it becomes due, including the due date set by any valid Association acceleration of installment obligations. Except as provided herein, a lien under this section is prior to all other liens and encumbrances on a Unit except liens and encumbrances recorded before the recordation of the Declaration, or a security interest on the Unit which has priority over all other security interests on the Unit and which was recorded before the date on which the assessment sought to be enforced became delinquent, or liens for real estate taxes and other governmental assessments or charges against the Unit. A lien under this section is also prior to the security interests described above to the extent of an amount equal to the Common Expense assessments based on a periodic budget adopted by the Association which would have become due, in the absence of any acceleration, during the six (6) months immediately preceding, institution by either the Association or any party holding a lien senior to any part of the Association lien created under this Declaration, of an action, or a nonjudicial foreclosure either to enforce or to extinguish the lien. This section does not affect the priority of mechanics' or -8- materialmens' liens or the priority of liens for other assessments made by the Association. A lien under this section is not subject to the provisions of Part 2 of Article 41 of title 38 or to the provisions of Section 15 -11 -201, C.R.S., as amended. Recording of the Declaration constitutes record notice and perfection of the lien. No further recordation of any claim of lien for assessments is required. A lien for unpaid assessments is extinguished unless proceedings to enforce the lien are instituted within six (6) years after the full amount of assessments become due. This does not prohibit actions or suits to recover sums for which this section creates a lien or to prohibit the Association from taking a deed in lieu of foreclosure. The Association shall be entitled to costs and reasonable attorney's fees incurred by the Association in a judgment or decree in any action or suit brought by the Association under this section. The Association shall furnish to a Unit owner or such Unit owner's designee or to a holder of a security interest or its designee, upon written request, delivered personally or by certified mail, first class postage prepaid, return receipt requested, to the Association's registered agent, a written statement setting forth the amount of unpaid assessments currently levied against such owner's Unit. The statement shall be furnished within fourteen (14) calendar days after receipt of the request and is binding on the Association and every Unit owner. If no statement is furnished to the Unit owner or holder of a security interest or their designee, delivered personally or by certified mail, first class postage prepaid, return receipt requested, to the inquiring party, then the Association shall have no right to assert a lien upon the Unit for unpaid assessments which were due as of the date of the request. In any action by an Association to collect assessments or to foreclose a lien for unpaid assessments, the court may appoint a receiver of the Unit owner to collect all sums alleged to be due from the Unit owner prior to or during the pending of the action. The court may order the receiver to pay any sums held by the receiver to the Association during the pending of the action to the extent of the Association's Common Expense assessments. The Association's lien may be foreclosed in like manner as a mortgage on real estate. ARTICLE V Maintenance -9- The Association shall be responsible for the maintenance and repair of all those portions of the common interest community whose maintenance and repair has not been assigned to the owner by the remaining provisions of this section. For purposes of maintenance, repair, alteration and remodeling, an owner shall be deemed to own, and shall have the right and obligation to maintain, repair, alter and remodel the interior non - supporting walls and the materials making up the finished surface of the perimeter walls, ceilings and floors within the unit, as well as the doors and windows of the Unit, any and all new additions to a Unit hereafter made by the owner thereof, including any new fence or other structure enclosing a patio, balcony, yard or deck area and the Common Elements reserved for the exclusive use of the owner of the unit. Notwithstanding the foregoing, without the prior written consent of all owners, no owner shall make any changes or alterations of any type or kind to the exterior surfaces of any doors or windows to that owner's Unit or to any Common Element or to enclose a patio, balcony, yard or deck area, or modify or alter the appearance or color scheme of the exterior improvements as they may exist from time to time by agreement of the owners, or modify or alter any landscaping now or hereafter installed within the common interest community. An owner shall not be deemed to own lines, pipes, wires, conduits or other systems running through such owners Unit but which serve other Units except in common with all owners. Each owner shall, at such owners sole cost and expense: (a) keep and maintain in good order and repair the equipment and those utilities located in such owners Unit, which serve that Unit exclusively; (b) replace any finishing or other materials removed with materials of similar type, kind and quality; (c) maintain in a clean, safe and attractive condition and in good repair the interior of such owner's Unit, including the fixtures, doors and windows thereof, the improvements affixed thereto, and that portion of the roof serving such Unit; (d) maintain in a neat and clean condition, free and clear of snow, ice and water accumulation all the decks, yard, porches, roof, balconies or patio areas, which have elsewhere in this Declaration been reserved to and for the exclusive use of such owner. ARTICLE VI DEVELOPMENT RIGHTS AND OTHER SPECIAL DECLARANT RIGHTS The Declarant reserves the following Development Rights and -10- other Special Declarant Rights until a sale of one of the units: (a) The right to complete or make improvements indicated on the Condominium Map; (b) The right to maintain signs on the Condominium to advertise the Condominium; (c) The right to use, and to permit others to use, easements through the Common Elements as may be reasonably necessary for the purpose of discharging the Declarant's obligations under the Act and this Declaration; (d) The right to appoint or remove any officer of the Association or any director; (e) The right to maintain a sales office, management office and models. Any real estate used as a sales office, management office and models and not designated a Unit is a Common Element. (f) The right to limit the sale of multiple Units to the same person or entity to no more than 10% of the total Units in the project. Unless sooner terminated by a recorded instrument signed by the Declarant, any Development Right or Special Declarant Right may be exercised by the Declarant for the period of time until the sale of one of the units. ARTICLE VII Restrictions on Use, Alienation and Occupancy The Association shall have the right to adopt reasonable rules and regulations governing the use and occupancy of the Units from time to time. No noxious or offensive activity shall be carried on upon any part of the Condominium nor shall anything be done or placed on or in part of the Condominium which is or may become a nuisance or cause embarrassment, disturbance or annoyance to others. No activity shall be conducted on any part of the Condominium and no improvements shall be made or constructed on any part of the Condominium which are or might be unsafe or hazardous to any person or property. No sound shall be emitted on any part of the Condominium which is unreasonably loud or annoying. No odor shall be emitted on any part of the Condominium which is noxious or offensive to others. No light shall be emitted from any part of the Condominium which is unreasonably bright or causes unreasonable glare. No unsightliness shall be permitted on or in any part of the Condominium. Nothing shall be hung, kept or stored on or in any part of the Common Elements which would or might create an unsightly appearance. No Unit owner shall violate the provisions of this Declaration or the rules and regulations adopted from time to time by the Association whether relating to the use of the Units, the use of the Common Elements or otherwise. Whenever this Declaration or any rule or regulation of the Association prohibits any action of, or assigns responsibility to, any Unit owner and any provision of the Declaration or rule or regulation is violated by a tenant, licensee or guest of any Unit owner or anyone occupying the Unit with the owners consent, the Unit owner shall be responsible for any such violation to the same extent as if the Unit owner had committed the same, except to the extent that such liability is prohibited by law. A Unit may not be conveyed pursuant to a time sharing arrangement as described in Sections 38 -33 -110 to 113, C.R.S. as amended. The Units are subject to all applicable building code restrictions. All leases and rental agreements shall be in writing and subject to the reasonable requirements of the Association. ARTICLE VIII Insurance Commencing not later than the time of the first occupancy of a Unit, the Association shall obtain and maintain in full force and effect at all times certain property, liability and other insurance as hereinafter provided. All such insurance shall be obtained from responsible companies duly authorized to do insurance business in the State of Colorado. All such insurance to the extent possible, shall name the Association as the insured, in its individual capacity and also either as attorney in fact or as trustee for the Unit owners. The cost and expense of insurance obtained by the Association shall be a Common Expense to be covered by assessments as provided in this Declaration. Property. The Association shall obtain and maintain property insurance insuring the Common Elements and each Unit against loss or damage by fire and such other hazards as are covered under standard extended coverage policies, vandalism and malicious mischief and, if available and is deemed appropriate by the Association, war risk, for the full insurance replacement cost of the Condominium, including each Unit. -12- The total amount of insurance must be not less than the full insurable replacement cost of the insured property less applicable deductibles at the time the insurance is purchased and at each renewal date, exclusive of land, excavations, foundations, and other items normally excluded from property policies. Such insurance must include the Units, but not the finished interior surfaces of the walls, floors, and ceilings of the Units. The insurance need not include improvements and betterments installed by Unit owners, but if they are covered, any increased charge shall be assessed by the Association to those Unit owners. Any loss covered by the property insurance policy must be adjusted with the Association. The proceeds must be disbursed first for the repair or restoration of the damaged property, and the Association, Unit owners and lienholders are not entitled to receive payment of any portion of the proceeds unless there is a surplus of the proceeds after the property has been completely repaired or restored or the Condominium is terminated. In the event of a surplus, proceeds shall go to the owners in proportion to their interest in the Common Elements. Liability. The Association shall obtain and maintain commercial general liability insurance against claims and liabilities arising in connection with the ownership, existence, use or management of the Common Elements in the amount of $1,000,000 for each occurrence including bodily injury and /or property damage, insuring the Association, its employees, agents and all persons acting on behalf of the Association. The Unit owners shall be included as additional insureds, but only for claims and liabilities arising in connection with the ownership, existence, use or management of the Common Elements and the Units. The insurance shall cover claims of one or more insured parties against other insured parties. Other. The Association shall have the power or authority to obtain and maintain other and additional insurance coverage, including casualty insurance covering personal property of the Association, fidelity bonds or insurance covering employees and agents of the Association and insurance indemnifying officers, directors, employees and agents of the Association. Except to the extent coverage therefor may be obtained by the Association and be satisfactory to a Unit owner, each Unit owner shall be responsible for obtaining insurance he deems desirable, including insurance covering furnishings and personal property belonging to that Unit owner and covering personal liability of that Unit owner. Insurance policies carried must provide that: (a) Each Unit owner is an insured person under the policy with respect to liability arising out of each Unit owner's interest in the Common Elements or membership in -13- the Association; (b) The insurer waives its rights to subrogation under the policy against any Unit owner or member of his household; (c) No act or omission by any Unit owner, unless acting within the scope of such Unit owner's authority on behalf of the Association, will void the policy or be a condition to recovery under the policy; and (d) If, at the time of a loss under the policy, there is other insurance in the name of a Unit owner covering the same risk covered by the policy, the Association's policy provides primary insurance. In the event that, as a consequence of the hazardous use of any Unit, or of any owner installed improvements to any Unit, the premiums of any policy of insurance purchased by the Association are increased, or a special policy is required, the cost of such increase or specific policy shall be assessed to the Unit owner of such Unit. To the extent the Association settles claims for damages to real property, it shall have the authority to assess negligent Unit owners causing such loss or benefiting from such repair or restoration all deductibles paid by the Association. In the event that more than one Unit is damaged by a loss, the Association in its reasonable discretion, may assess each Unit owner a pro rata share of any deductible paid by the Association. All insurance policies acquired by the Association shall contain a clause providing the insurance thirty (30) days written notice prior to termination of the coverage. ARTICLE IX Easements and Licenses All easements and licenses to which the Condominium is presently subject are recited in Exhibit "B ". In addition, the Condominium may be subject to other easements or licenses granted by the Declarant pursuant to this Declaration or on the Map. Each Unit owner has a right and easement of enjoyment in and to the Common Elements, which shall be appurtenant to and shall pass with the title to every Unit subject to the provisions contained herein. Every Unit owner shall have a non - exclusive easement over, under and across the Common Elements. In the event of future construction within a Unit, each Unit owner shall also have the right, after giving written notice to the Unit owners, to over -dig into the Common Elements and temporarily brace any excavation or existing foundations within a Unit. After such temporary use, the constructing Unit owner shall, at its sole -14- expense, restore and repair the Common Elements to the condition existing prior to such construction work. By undertaking work within the Common Elements, the constructing Unit owner agrees to defend, indemnify and hold harmless the other Unit owners from and against all claims arising out of or relating to such construction, including without limitation for injury to persons or property and for mechanics' and materialmens' liens. Reciprocal easements are hereby declared to exist over and under the real estate and all areas thereof for the existing electric, telephone, water, gas, and sanitary and storm sewer lines and facilities, exhaust, heating and air conditioning facilities, plumbing vent pipes, cable or master television antenna lines, drainage facilities, garbage chutes, stairs, walkways, and landscaping, and for the repair, replacement and maintenance of the same, as needed to service the real estate and /or the individual Units. Each owner has the right, at its sole expense and after giving written notice for at least one (1) business day to the other owners, to relocate such lines and facilities within its Unit; provided, however, that such relocation shall be accomplished without interrupting the need of the other owners for the use of such lines or facilities, except as such other owners specifically permit. Each owner has an easement over the adjoining Units for the purpose of accommodating any encroachment due to engineering errors, errors in original construction, reconstruction, repair, settlement or shifting or movement of the building, or any other similar cause. There shall be valid easements for the maintenance of said encroachments so long as they shall exist, and the rights and obligations of the owners shall not be altered in any way by said encroachment, settlement or shifting. ARTICLE X Amendments This Declaration may be amended. Amendment to the Declaration or to the Condominium Map shall be prepared, executed, recorded, and certified on behalf of the Association by the secretary or the president of the Association. All expenses associated with preparing and recording an amendment to the Declaration or to the Condominium Map shall be the sole responsibility of the Association. Every amendment to the Declaration must be recorded in Garfield County and is effective only upon recordation. No action to challenge the validity of an amendment adopted by the Association pursuant to this section may be brought more than one year after the amendment is recorded. -15- IN WITNESS WHEREOF the Declarant has caused this Declaration to be executed this day of , 1994. State of Colorado ) County of Garfield ) ss Declarant Subscribed and sworn to before me this day of , 1994 by My commission expires: Notary Public Address of Notary