HomeMy WebLinkAbout17.0 Covenants Conditions & RestrictionsMcCLURE RIVER
RANCH
Table of Contents
RECITALS 1
ARTICLE 1: SUBMISSION/PURPOSE 1
Section 1.1 Submission of Real Estate/Purpose. 1
Section 1.2 Planned Community 2
ARTICLE 2: DEFINITIONS 2
Section 2.1 Definitions 2
ARTICLE 3: McCLURE RIVER RANCH ASSOCIATION 5
Section 3.1 Allocated Interests and Voting Rights in the McClure River Ranch Association5
Section 3.2 Governing Instruments 6
Section 3.3 Authority 6
Section 3.4 Option to Engage Professional Management 7
Section 3.5 Election of the Board 7
Section 3.6 Budget 7
Section 3.7 Assessments 7
Section 3.8 Assessment Lien. 7
Section 3.9 Enforcement/Collection. 8
Section 3.10 Statement of Assessments and Liability of Purchasers 8
ARTICLE 4: ASSESSMENT RESPONSIBILITY 9
Section 4.1 Creation of Association Lien and Personal Obligation to Pay Common Expense
Assessments 9
Section 4.2 Apportionment of Common Expenses 9
Section 4.3 All Lots and Tracts 9
Section 4.4 Barn Lots 10
Section 4.5 Ranch Association 10
Section 4.6 Individual Lots or Tracts 10
Section 4.7 Association -Owned Property 10
ARTICLE 5: ARCHITECTURAL COMMITTEE 10
Section 5.1 Architectural Committee 10
Section 5.2 Approval by Architectural Committee 11
Section 5.3 Variances 11
Section 5.4 General Requirements 11
i
Section 5.5 Preliminary Approvals.
Section 5.6 Architectural Plans
Section 5.7 Architectural Committee Not Liable
Section 5.8 Written Records
Section 5.9 Appeal to Board of Directors
ARTICLE 6: GENERAL RESTRICTIONS ON ALL LOTS AND TRACTS
Section 6.1 Zoning Regulations
Section 6.2 No Mining, Drilling, or Quarrying
Section 6.3 No Business Uses
Section 6.4 Signs
Section 6.5 No Discharge of Firearms
Section 6.6 Towers and Antennae
Section 6.7 Tanks
Section 6.8 Used or Temporary Structures
Section 6.9 Exterior Lighting
Section 6.10 Dust Control
Section 6.11 Weed Control
Section 6.12 Road Damage
Section 6.13 Sanitary Systems
ARTICLE 7: RIGHT OF FIRST REFUSAL
Section 7.1
Section 7.2
Section 7.3
Section 7.4
Section 7.5
Right of First Refusal
Association ROFR
Other Owner's Right
No Exercise of ROFR
Unreasonable Terms
ARTICLE 8: EASEMENTS AND LANDS RESERVED
Section 8.1 Easements Reserved
Section 8.2 Irrigation Easements.
ARTICLE 9: SPECIAL DECLARANT RIGHTS AND ADDITIONAL RESERVED RIGHTS
Section 9.1 Special Declarant Rights
Section 9.2 Exercise of Development Rights
Section 9.3 Amendment of Declaration
Section 9.4 Amendment of Plat
Section 9.5 Other Rights
ii
Section 9.6 Rights Transferable 17
ARTICLE 10: RESERVATION OF DEVELOPMENT RIGHTS 17
Section 10.1 Development Rights 17
Section 10.2 Total Units/Lots. 17
Section 10.3 Order of Development. 17
Section 10.4 Affordable Housing. D 17
Section 10.5 Entitlements. 17
Section 10.6 Lot Line Adjustments 17
Section 10.7 Amendment of the Declaration 18
Section 10.8 Amendment of the Plat 18
Section 10.9 Declaration Operative on New Lots, Tracts and Dwelling Units 18
Section 10.10 Construction Easement 18
Section 10.11 Termination of Expansion and Development Rights 18
Section 10.12 Declarant's Exercise of Special Declarant Rights and Other Development Rights.
19
ARTICLE 11: ENFORCEMENT 19
Section 11.1 Enforcement Action 19
Section 11.2 Limitations on Actions 19
ARTICLE 12: INSURANCE 19
Section 12.1 Insurance 19
Section 12.2 Fidelity Insurance 19
Section 12.3 Insurance Premiums are Common Expenses 20
ARTICLE 13: GENERAL PROVISIONS 20
Section 13.1 Covenants to Run with the Land 20
Section 13.2 Termination and Amendment of Declaration 20
Section 13.3 Severability 20
Section 13.4 Repeal of the Act 20
Section 13.5 Section Headings 20
Section 13.6 Notices 20
EXHIBIT A TO DECLARATION OF PROTECTIVE COVENANTS 22
EXHIBIT B 23
EXHIBIT C 24
EXHIBIT D 26
iii
DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS
FOR
McCLURE RIVER RANCH
(Master Association)
This Declaration of Covenants, Conditions and Restrictions for McClure River Ranch
("Declaration") is made effective as of the day of , 2020 by Aspen Polo
Partners, LLP, a Colorado limited liability partnership ("Declarant").
RECITALS
A. Declarant is the owner of certain real property in Garfield County, Colorado, which is
more particularly described as set forth in Exhibit A attached hereto and by reference made a part
hereof which is known as McClure River Ranch.
B. Declarant desires to create a Common Interest Community on a portion of such real
property, in which portions of such real property will be designated for separate ownership and uses.
C. Declarant has caused the "McClure River Ranch Association, Inc.," a Colorado
nonprofit Ranch Association, to be incorporated under the laws of the State of Colorado, as an owners'
association for the purpose of exercising the functions of that Association as herein set forth.
D. Declarant has also caused the "MRR Barn Lots Association, Inc.," a Colorado
nonprofit Ranch Association, to be incorporated under the laws of the State of Colorado, as an owners'
association for the purpose of exercising the functions of that Association as herein set forth.
Declarant has caused a separate declaration of covenants, conditions and restrictions to be created and
recorded with regard to the MRR Barn Lots Association.
E. Declarant reserves the right to create additional association(s) for the purpose of
exercising owners' association functions on other portions of the real property described in Exhibit A
and other real property described herein as real property subject to Reserved Development Rights.
ARTICLE 1: SUBMISSION/PURPOSE
Section 1.1 Submission of Real Estate/Purpose. The Declarant hereby submits the real
estate described in Exhibit B, and such additional real property as may be subsequently added
pursuant to the expansion rights reserved in this Declaration, together with all easements, rights, and
appurtenances thereto and the buildings and improvements erected or to be erected thereon
(collectively, the "Real Estate"), to the provisions of the Colorado Common Interest Ownership Act,
C.R.S. §§ 38-33.3-101, et seq., as it may be amended from time to time (the "Act") and to the terms
and conditions of this Declaration. Declarant hereby declares that all of the Property described in
Exhibit B, and such real property as may be added by any expansion or annexation to the Community,
shall be held or sold, and conveyed subject to the easements, covenants, conditions, and restrictions
provided in this Declaration. Declarant further declares that this Declaration is made for the purpose
of protecting the value and desirability of the Real Estate, that this Declaration shall run with the Real
Estate and shall be binding on all parties having any right, title or interest in the Real Estate or any
part thereof, their heirs, legal representatives, successors, and assigns and shall inure to the benefit of
each Lot Owner thereof. The name of one of the common interest communities created hereby is the
"McClure River Ranch" and the name of the other common interest community is MRR Barn Lots.
It is the intention of Declarant, expressed by its execution of this instrument, that the lands within the
McClure River Ranch and the Barn Lots communities shall be developed and maintained as a highly
desirable equestrian and polo facility, and rural residential area. It is the purpose of these covenants
that the present natural beauty, the natural growth and native setting and surroundings of the Real
Estate shall always be protected insofar as is possible in connection with the uses and structures
permitted by this instrument.
Section 1.2 Planned Community. The intent of the Declarant is that the McClure River
Ranch shall be considered a phased planned community for purposes of the Act. The MRR Barn Lots
shall be a planned community for purposes of the Act.
ARTICLE 2: DEFINITIONS
Section 2.1 Definitions. Each capitalized term in this Declaration or on the PUD Plan or
the Plat shall have the meaning specified or as used in the Act, unless otherwise defined in this
Declaration. The following terms shall have the following meanings:
(a) "Act" means the Colorado Common Interest Ownership Act, C.R.S. §§ 38-33.3-101,
et seq., as it may be amended from time to time.
(b) "Allocated Interests" means the Common Expense liability and votes of the Ranch
Association, except as specifically provided for allocation of certain specific expenses.
(c) "Assessment" includes all Common Expense Assessments, Barn Assessments and any
other expense levied to a Lot pursuant to this Declaration or the Act by an Association.
(d) "Association" means either or both, as the context requires, of the Ranch Association
and the Barn Association, and any further or additional owners' association(s) that may be created
with regard to the real property described in Exhibit A or any property which may be added to the
Community pursuant to the Development Rights and Special Declarant Rights reserved hereunder.
(e) "Barn Association" means MRR Barn Lot Association, Inc., a Colorado nonprofit
Ranch Association, and its successors.
(f) "Barn Lot" means any of Lots 1 through 6 as shown on the Plat.
(g) "Barn Lots Gate" or "Gate" means an electronically operated gate to be constructed
on Chukka Trail along (and extending across Chukka Trail) the eastern property line of Lot 1.
(h) "Cabins" means the residential structures which may be constructed on Tract A as
shown on the Plat.
2
(i) "Clubhouse Lot" means Lot 7 as shown on the Plat.
(j) "Common Elements" means any portion of the Real Estate within the Community
other than the Lots, which is designated on the Plat as a Common Element or which is owned by an
Association and, as such, shall be co -owned by the Owners of such Association. Tract B is a Common
Element of the Ranch Association.
(k) "Common Expense" means any expenditure made or liability incurred on behalf of an
Association, together with any allocations to reserves, other than expenditures relating to a particular
Lot or are based on actual usage by such Lot or an Owner.
(1) "Common Expense Assessment" means an Assessment levied for Common Expenses.
(m) "Community" means and refers to the community of McClure River Ranch and the
community of the MRR Barn Lots. As the context requires, Community may mean one community
or both communities.
(n) "Declarant" means the Declarant named in this Declaration, and any successor and/or
assignee designated by written notice or assignment executed by Declarant and by the transferee and
recorded, to the extent any rights or powers reserved to Declarant are transferred or assigned to such
transferee.
(o) "Declarant Control" means the period of time commencing on the date of recordation
of this Declaration and expiring on the earlier of (i) sixty (60) days after conveyance of seventy-five
percent (75%) of the Lots that may be created by Declarant, or (ii) two (2) years after the last
conveyance of a Lot by Declarant in the ordinary course of business; provided, however, that if
Declarant Control has not terminated pursuant to the foregoing provisions, Declarant Control shall in
any case terminate on the date upon which all property that may be annexed into the Community has
become a part of the Community and the last Lot within the Community that can be conveyed by
Declarant has been conveyed by Declarant.
(p) "Development Rights" or "Special Declarant Rights" means those rights set forth in
this Declaration and those rights set forth in the Act.
(q) "Director" means any person serving as a member of the Executive Board of an
Association.
(r) "Executive Board," "Board" or "Board of Directors" means the body, regardless of
name, designated in this Declaration or the Bylaws of an Association to act on behalf of an
Association.
(s) "Exercise Track" means a track or surface designed for exercising equines.
(t) "Governing Documents" means this Declaration; the Plat; the PUD Plan; the PUD
Guidelines; and the Articles of Incorporation, Bylaws and Rules and Regulations of any Association,
as all of the foregoing may be amended from time to time.
3
(u) "Improvement(s)" means structures installed within the Community or within or upon
a Lot.
(v) "Leach Field" means septic tank and septic drain field for subsurface wastewater
disposal.
(w) "Lot" means a physical portion of the Community, designated for separate ownership,
shown and designated as a Lot on the Plat for the Community, the boundaries of which are defined
on the Plat and in this Declaration.
(x) "Master Association" means the Ranch Association.
(y) "Member" means and refers to those persons entitled to membership in an Association,
as provided in the Bylaws of such Association and/or as set forth herein.
(z) "Officer" means any person serving as an officer of an Association in accordance with
the Bylaws.
(aa) "Owner" means the Declarant or any other person or entity that owns a Lot or Tract.
(bb) "Permitted Transferee" means a (1) the spouse, children, grandchildren or
great-grandchildren of an Owner, (2) a trust established for the sole benefit of an Owner or the spouse,
children, grandchildren or great-grandchildren of an Owner, or (3) the personal representatives,
beneficiaries or estate of an Owner upon the Owner's death, whether transferred by will or intestacy,
provided that such recipient is a lineal descendant of the Owner or a spouse of a lineal descendant of
the Owner.
(cc) "Permitted Transfer" means a transfer (1) by operation of law to a surviving joint
tenant, (2) of a deceased's interest to a devisee or devisees by will or trust, or (3) a transfer of all or a
part of a partner's interest in a partnership or owner's interest in an entity as a result of dissolution,
merger, or consolidation provided that at least 50% of the ownership of the resulting entity is owned
by the same owners as prior to such entity actions.
(dd) "Plat" means the Final Subdivision Plat of McClure River Ranch which was approved
by the Board of County Commissioners of Garfield County and which is an engineering survey (and
any supplements and amendments thereto) of the Community depicting and locating thereon the
location of the Lots, the Common Elements, areas reserved for future development, and all of the land
and improvements thereon, which Plat is incorporated herein and made a part of this Declaration by
reference.
(ee) "Pond" means a body of water.
(ff) "PUD Guide" means a written document approved by the Garfield County Board of
County Commissioners and recorded in the Garfield County Records in which the uses and
development standards for the Community are described.
4
(gg) "PUD Plan" means a map approved by the Garfield County Board of County
Commissioners and recorded in the Garfield County Records on which it is depicted graphically and
described in narrative form the zone districts and building areas of the Community.
(hh) "Ranch Association" means McClure River Ranch Association, Inc., a Colorado
nonprofit Ranch Association, and its successors.
(ii) "Real Estate" means the property described in Exhibit B, and such additional property
as may be subsequently added, pursuant to the expansion rights reserved in this Declaration, together
with all easements, rights, and appurtenances thereto and the buildings and improvements erected or
to be erected thereon. All easements and licenses which the Community is subject to as of the date
of this Declaration are recited in Exhibit C.
(jj) "Residential Lot" means any Lot designated as Residential Lots on the Plat or in this
Declaration, subject to restrictions of record, and subject to the reserved right of Declarant to re-
designate the type of use allowed.
(kk) "Rules and Regulations" means any instrument, however denominated, which is
adopted by the Board of Directors of an Association for the regulation and management of that
Association, including any amendment to such instruments.
(11) "Subdivision" and the term "Subdivide". The term "Subdivision" shall mean the
McClure River Ranch according to this Declaration and the Plat. The terms "subdivide" or
"subdivided" shall apply to the creation of a separate Lot or Tract processed as a subdivision under
the terms of the Garfield County Land Use Code.
(mm) "Tract" means an area of land designated as such on the Plat. There are three Tracts
(A, B & C) in the Community as shown on the Plat. Tract B shall be owned by the McClure River
Ranch Association. Tracts A and C shall remain the real property of Declarant unless and until either
or both of such Tracts shall be further developed as provided herein. Tract C has not, as of the date
of this Declaration, been submitted to the Community.
(nn) "Water System" means the Ponds, ditches, wells and well houses, casing, pumps and
pump houses, pipes, valves, any related well equipment, and any water delivery infrastructure.
(oo) "Wells" means all water wells on Community property. All wells within the
Community shall be held in the name of the Ranch Association, no matter where located or who pays
for drilling a Well or which or how many Owners are served by a Well.
ARTICLE 3: McCLURE RIVER RANCH ASSOCIATION
Section 3.1 Allocated Interests and Voting Rights in the McClure River Ranch Association.
All persons or entities who own or acquire the title in fee to Tract A, or Lot 7, by whatever means
acquired, shall automatically become "Members" of McClure River Ranch Association, Inc., a
Colorado nonprofit Ranch Association (hereinafter referred to as "Ranch Association"). Further, the
5
Barn Association shall be a Member of the Ranch Association.
3.1.1 The Owner of Lot 7 shall each be entitled to one (1) membership in the
Association and 33.33% of the Allocated Interests; the Owner of Tract A shall each be entitled
to one (1) membership in the Association and 33.33% of the Allocated Interests; and the Barn
Association shall be entitled to one (1) membership in the Association and 33.33% of the
Allocated Interests. The Allocated Interests that are allocated to the Barn Lots Association,
are allocated 5.55% to each of Lots 1 through 6 (Barn Lots Association members).
3.1.2 Each membership shall be entitled to one (1) vote in the Association. If more
than one (1) individual or entity owns a Lot or Tract, a representative of such multiple Owners
shall be designated and shall vote all the votes allocated to such membership. There shall be
no fractional voting permitted. The Barn Lots Association membership shall have one vote
and it shall be cast by the member of the Barn Lots Association appointed by the Barn Lots
Association to the Board of Directors of the Ranch Association.
3.1.3 The Members representing a majority of votes in the Ranch Association shall
constitute a quorum.
3.1.4 In the event future Lots, which are not solely dedicated for purposes of
providing affordable housing, are created within Tract A as a result of the exercise of reserved
development rights, each such Lot shall be entitled to a membership in the Ranch Association
or any other Association created on behalf of such owners of Lots in Tract A.
Section 3.2 Governing Instruments. The administration of the Ranch Association shall be
subject to this Declaration, the Articles of Incorporation of the Ranch Association, Bylaws of the
Ranch Association and any Rules and Regulations promulgated by the Ranch Association.
Section 3.3 Authority. The Association shall perform the functions and manage the
Community as provided in this Declaration so as to protect the value and desirability of the
Community and to further the collective interests of the Owners. The business affairs of the
Community shall be managed by the Association. The Association, acting through its through its
Board of Directors, shall have the powers, authority and duties as necessary and proper to manage the
business and affairs of the Community. The Association shall have all of the powers, authority and
duties permitted or set forth in the Act. The Association shall have the power to assign its right to
future income, including the right to assign its right to receive Common Expense Assessments, but
only upon the affirmative majority vote of the Members present at a meeting called for that purpose.
Specifically, in addition to the general duties of managing the business and affairs of the Association,
the Board of Directors of the Ranch Association shall have the duties of:
(i) operation, maintenance, repair and replacement of the Leach Fields, Water
System, Polo Fields, Cabins (if any are constructed on Tract A), Clubhouse (if constructed on
Lot 7), all utilities, all roads, fences, the Barn Lots Gate, weed control and landscaping of the
Ranch Community; and
(ii) enforcement of the provisions of this Declaration, the Articles and Bylaws of
6
the Ranch Association, and the rules and regulations adopted by the Board of Directors.
No Member of the Board and no officer shall be liable for actions taken or omissions made in the
performance of such Member's duties except for wanton and willful acts or omissions. The Board of
Directors shall act by majority vote.
Section 3.4 Option to Engage Professional Management. The Board of Directors may
employ a professional management agent or agents at such compensation as the Board of Directors
may establish, to perform such duties and services as the Board of Directors shall authorize. The
Board of Directors may delegate such powers as are necessary to perform the manager's assigned
duties, but shall not delegate policy-making authority or those duties set forth in Section (with
respect to adoption of the budget), Section (in regard to the exercise of discretion in allocating
costs to particular Tracts or Lots) and all of Article _ (Architectural Control). The Board of Directors
may delegate to one (1) of its Members the authority to act on behalf of the Board of Directors on all
matters relating to the duties of the managing agent or manager, if any, which might arise between
Board of Directors meetings.
Section 3.5 Election of the Board. The Board of Directors of the Ranch Association shall
be composed of three (3) persons. One member of the Board of Directors shall be appointed by the
Barn Lot Association, one member of the Board of Directors shall be appointed by the Owner of Tract
A, and one member of the Board of Directors shall be appointed by the Owner of Lot 7. The member
of the Ranch Association appointed by the Barn Lots Association shall be a Barn Lot Owner.
Section 3.6 Budget. The Ranch Association must prepare an annual budget. Within thirty
(30) days after adoption of any proposed budget for the Ranch Association, the Board of Directors
shall mail, by ordinary first-class mail, or otherwise deliver a summary of the budget to all the
Members and shall set a date for a meeting of the Members to consider ratification of the budget not
less than fourteen (14) nor more than sixty (60) days after mailing or other delivery of the summary.
Unless at that meeting a majority of all Members reject the budget, the budget is ratified, whether or
not a quorum is present. In the event that the proposed budget is rejected, the periodic budget last
ratified by the Members must be continued until such time as the Members ratify a subsequent budget
proposed by the Board.
Section 3.7 Assessments. All Members shall be obligated to pay assessments imposed by
the Ranch Association to pay the general overhead and management costs of the Ranch Association
and expenses of management (including a reasonable management fee), operation, maintenance,
repair and replacement expenses arising from the operation of the Community. Assessments shall be
made in accordance with Article below.
Section 3.8 Assessment Lien. Assessments chargeable to any Lot or Tract shall constitute
a lien on such Lot superior to all other liens and encumbrances except: (i) liens and encumbrances
recorded before the recordation of this Declaration; (ii) a security interest on the Lot which has
priority over all other security interests on the Lot and which was recorded before the date on which
the assessment sought to be enforced became delinquent; and (iii) liens for real estate taxes and other
governmental assessments or charges against the Lot. Assessments chargeable to the Barn Lots
Association shall constitute a lien on all Barn Lots, jointly and severally.
7
3.8.1 An assessment lien under this Section 3.8.1 is superior to a security interest on
the Lot which has priority over all other security interests on the Lot and which was
recorded before the date on which the assessment sought to be enforced became
delinquent to the extent of:
(a) any attorneys' fees and costs being incurred in an action to enforce the lien;
plus
(b) an amount equal to the common expense assessments based on a periodic
budget adopted by the Ranch Association which would have become due, in
the absence of any acceleration, during the six (6) months immediately
preceding institution of an action to enforce the lien, but in no event shall such
priority accorded to the assessment lien exceed one hundred fifty percent
(150%) of the average monthly assessment during the immediately preceding
fiscal year multiplied by six (6).
Section 3.9 Enforcement/Collection. This Section does not affect the priority of
mechanics, or materialmen's liens or the priority of liens for other assessments made by the Ranch
Association.
3.9.1 If any assessment shall remain unpaid twenty-five (25) days after the due date
thereof, the Ranch Association may impose a surcharge of 1.75% of such assessment
on the first day of each calendar month thereafter so long as such assessment shall be
unpaid, provided, however, that the maximum surcharge in one (1) year shall be no
greater than twenty-one percent (21 %).
3.9.2 Recording of this Declaration constitutes record notice and perfection of the lien.
No further recordation is required.
3.9.3 The Ranch Association's lien may be foreclosed in like manner as a mortgage on
real estate.
3.9.4 Upon such foreclosure, the Ranch Association's claim shall include the amount
of unpaid assessments, penalties thereon, the costs and expenses of such proceedings,
the costs and expenses of fling the notice of lien, and reasonable attorneys' fees, and
any deficiency shall be a common expense assessed equally to all Lot and Tract
Owners (except Lots or Tracts owned by the Association). The Ranch Association
may bid on the Lot or Tract at foreclosure sale and hold, lease, mortgage, or convey
the same.
Section 3.10 Statement of Assessments and Liability of Purchasers. The Ranch Association
shall furnish to an Owner or his 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 Ranch Association, a statement setting forth the amount of unpaid assessments
currently levied against such Owner's Tract. The statement shall be furnished within fourteen (14)
8
business days after receipt of the request and is binding on the Ranch Association, the Board of
Directors, and every Owner. If no statement is furnished to the 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 Ranch Association shall have no right to assert a priority
lien upon the Lot for unpaid assessments which were due as of the date of the request. The grantee
of a Lot or Tract shall be jointly and severally liable with the grantor for all unpaid assessments against
the Lot or Tract accrued prior to the conveyance, without prejudice to the grantee's right to recover
from the grantor the amounts paid by the grantee therefor.
ARTICLE 4: ASSESSMENT RESPONSIBILITY
Section 4.1 Creation of Association Lien and Personal Obligation to Pay Common
Expense Assessments. Declarant, for each Tract and Lot (except for any Lot or Tract owned by the
Ranch Association), shall be deemed to covenant and agree, and each 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 and such other
Assessments as are imposed by the Association. Such Assessments, including fees, charges, late
charges, attorney fees, fines and interest charged by the Association shall be the personal obligation
of the Owner of such Lot or Tract from and after the time when the Assessment or other items charged
by the Association become or fall due. The Association annual Common Expense Assessments and
such other Assessments as are imposed by the Association, including fees, charges, late charges,
attorney fees, fines and interest charged by the Association, shall be a charge on each Lot or Tract and
shall be a continuing lien upon the Lot or Tract against which each such Assessment or charge is
made. If any Assessment is payable in installments, the full amount of the Assessment is a lien from
the time the first installment becomes due. The personal obligation to pay any past due sums due the
Association shall not pass to a successor in title unless expressly assumed by them and approved by
the Board of Directors. No Owner may become exempt from liability for payment of the Common
Expense Assessments or other Association charges by waiver of the use or enjoyment of the property
within the Community or by abandonment of the Lot or Tract against which the Common Expense
Assessments are made. All Assessments and other Association charges shall be payable in the
amounts specified in the levy thereof, and no offsets or reduction thereof shall be permitted for any
reason including, without limitation, any claim that the Association or the Board is not properly
exercising its duties and powers under this Declaration.
Section 4.2 Apportionment of Common Expenses. Except as provided in this Declaration,
all Common Expense Assessments shall be assessed against all Lots or Tract (except for any Lot or
Tract owned by the Ranch Association) in accordance with formulas for liability for the Common
Expenses as set forth in this Declaration.
Section 4.3 All Lots and Tracts. The following Common Expense liabilities shall be paid
for one-third each by the Owners of Tract A, Lot 7 and the Barn Lot Association: All Common
Expenses not specifically described in Section 4.4, 4.5 or 4.6, below, including but not limited to,
expenses for property management and ranch maintenance employees, insurance, security costs,
property taxes for Association -owned real estate (except for Tract B, which shall be payable by the
Barn Lots Association), accounting or attorney fees (including fees related to wells, ditches and
perfecting and protecting water rights); utilities and other fees that are not attributable to a specific
9
Lot or Tract; common landscaping (such as at primary entrance and along Chukka Trail east of the
Barn Lots Gate), common lighting and weed control; all costs of operation, maintenance, repair and
replacement of all ditches serving the Community; and all costs of operation, maintenance, repair and
replacement of the maintenance barn and associated dwelling units on Tract B.
Section 4.4 Barn Lots. The following Common Expense liabilities shall be paid for solely
by the Barn Lot Association: all expenses for operation, maintenance, repair and replacement of or
for Tracts A, Tract B, the Exercise Track, Chukka Trail West of the Barn Lots Gate, 50% of Chukka
Trail East of the Barn Lots Gate (including snow removal), the Barn Lots Gate, landscaping west of
the Barn Lots Gate, all aspects of the irrigation Water System except for irrigation on Tract A and Lot
7.
Section 4.5 Ranch Association. The following Common Expense liabilities shall be paid
for one-half each by the Owners of Tract A and Lot 7: all expenses for operation, maintenance, repair
and replacement of or for 50% of Chukka Trail East of the Barn Lots Gate (including snow removal),
parking and tailgating and associated areas on Tract A, irrigation on Tract A and Lot 7, walking and
riding trails on and around Tract A, the Water Well on Lot 7.
Section 4.6 Individual Lots or Tracts.
4.6.1 The Owner of Lot 7 shall pay all expenses related to any structures built on Lot
7.
4.6.2 The Owner of Tract A shall pay all expenses related to any structures built on
Tract A, including but not limited to up to four residential cabins.
4.6.3 All expenses for operation, maintenance, repair and replacement of a Well
serving only one Lot shall be paid for by such Lot Owner.
4.6.4 All expenses for operation, maintenance, repair and replacement of a Leach
Field shall be paid for by the Owners of the Lots or Tracts served thereby.
4.6.5 In the event that the need for maintenance, repair, or replacement of any aspect
of the Community, or any portion thereof, is caused through or by the negligent or willful act or
omission or misconduct of an Owner, or the Owner's agents, employees, guests, customers, or
invitees, including, but not limited to, damage from water, then the expenses, costs, and fees incurred
by the Association for such maintenance, repair, or replacement shall be a personal obligation of such
Owner.
Section 4.7 Association -Owned Property. Property owned by the Ranch Association shall
not be subject to assessments of the Ranch Association.
ARTICLE 5: ARCHITECTURAL COMMITTEE
Section 5.1 Architectural Committee. The Architectural Committee shall be comprised of
three (3) Owners, who will be appointed by the Board of Directors of the Ranch Association. Each
10
member of the Architectural Committee shall have a three (3) year term, which may be renewed at
the discretion of the Board of Directors. The Architectural Committee shall have and exercise all of
the powers, duties, and responsibilities set out in this instrument, and unless required by law, may, but
shall not be required to, establish guidelines and requirements for compliance with its authority,
including the establishment of costs and fees reasonably related to the processing and evaluation of
requests for Committee action.
Section 5.2 Approval by Architectural Committee. No improvements of any kind,
including but not limited to dwelling houses, barns, stables, outbuildings, swimming pools, tennis
courts, ponds, driveways and parking areas, fences, walls, garages, antennae, flagpoles, curbs, walks,
landscaping, irrigation ditches or structures, and wells shall ever be constructed or altered (including
any change in exterior color or materials), on any lands within the Barn Lots Community or Ranch
Community, nor may any vegetation be altered or destroyed nor any landscaping performed on any
Lot or Tract, unless the complete architectural plans for such construction or alteration or landscaping
are approved in writing by the Architectural Committee prior to the commencement of such work.
Minor adjustments to the location of building envelopes and barn envelopes may be allowed by the
Architectural Committee, where necessary to avoid interference with irrigation ditches, structures,
ponds or other easements, subject to obtaining County approvals where necessary. No person shall
have the right to rely on any verbal approval. In the event the Architectural Committee fails to take
any action within sixty (60) days after complete architectural plans for such work have been submitted
to it, then all of such submitted architectural plans shall be deemed to be approved, except for any
changes or alterations to any irrigation ditch or structure, for which such inaction shall be deemed a
denial. In the event the Architectural Committee shall disapprove any architectural plans, the person
or association submitting such architectural plans may appeal the matter to the next annual or special
meeting of the Members of the Ranch Association, where a vote of at least two-thirds (2/3) of the
votes entitled to be cast at said meeting shall be required to change the decision of the Architectural
Committee. Architectural Committee approval is not required for the establishment of lot lines,
building envelopes, building massing, roads, driveways, ponds and other matters which are included
in any Garfield County land use approval for the entitlements of the Community.
Section 5.3 Variances. Where circumstances, such as topography, location of property
lines, location of trees and brush, irrigation ditches, structures, ponds or other irrigation necessities or
other matters require, the Architectural Committee may allow reasonable variances as to any of the
covenants contained in this Declaration, on such terms and conditions as it shall require and said
decision of the Committee shall be final and non -appealable.
Section 5.4 General Requirements. The Architectural Committee shall exercise its best
judgment to see that all improvements, construction, landscaping and alterations on the lands within
the Community conform and harmonize with the natural surroundings and with the existing structures
as to external design, materials, color, siting, height, topography, grade, landscaping and finished
ground elevation.
Section 5.5 Preliminary Approvals. Persons or associations who anticipate constructing
improvements on lands within the Community, whether they already own lands in the Community or
are contemplating the purchase of such lands, may submit preliminary sketches of such improvements
to the Architectural Committee for informal and preliminary approval or disapproval, but the
11
Architectural Committee shall never be finally committed or bound by any preliminary or informal
approval or disapproval until such time as complete architectural plans are submitted and approved
or disapproved.
Section 5.6 Architectural Plans. The Architectural Committee shall disapprove any
architectural plans submitted to it which are not sufficient for it to exercise the judgment required of
it by this Declaration.
Section 5.7 Architectural Committee Not Liable. The Architectural Committee shall not
be liable in damages to any person or association submitting any architectural plans for approval, or
to any Owner or Owners of lands within the Community, by reason of any action, failure to act,
approval, disapproval, or failure to approve or disapprove, with regard to such architectural plans.
Any person or association acquiring the title to any property in the Community, or any person or
association submitting plans to the Architectural Committee for approval, by so doing does agree and
covenant that he or it will not bring any action or suit to recover damages against the Architectural
Committee, its members as individuals, or its advisors, employees, or agents.
Section 5.8 Written Records. The Architectural Committee shall keep and safeguard for at
least five (5) years complete permanent written records of all applications for approval submitted to
it (including one (1) set of all architectural plans so submitted) and of all actions of approval or
disapproval and all other actions taken by it under the provisions of this instrument.
Section 5.9 Appeal to Board of Directors. Any final decision of the Architectural
Committee may be appealed to the Board of Directors within fourteen (14) days of the decision by
delivering a notice thereof to the President of the Ranch Association or to the Registered Agent of the
Ranch Association, as such Registered Agent is identified in the records of the Colorado Secretary of
State. The Board of Directors shall act on the appeal at its next regularly scheduled meeting, or if
approved by a majority of the Board of Directors, at a Special Meeting of the Board of Directors held
for the purpose of hearing the appeal. The Board of Directors shall provide a written decision
concerning the appeal to all interested parties within seven (7) days of the date the appeal was heard.
ARTICLE 6: GENERAL RESTRICTIONS ON ALL LOTS AND TRACTS
Section 6.1 Zoning Regulations. No lands within the Community shall ever be occupied
or used by or for any structure or purpose or in any manner which is contrary to the zoning regulations
and entitlement approvals of Garfield County, Colorado, including the PUD Plan and the PUD Guide,
validly in force from time to time as the same may be amended, except as the same may be allowed
under said regulations as a nonconforming structure or use. Subject to the right of the Declarant to
exercise reserved Development Rights, no lands within the Communities, shall be further subdivided
without the approval of the Board of County Commissioners of Garfield County, Colorado.
Section 6.2 No Mining, Drilling, or Quarrying. No mining, quarrying, tunneling,
excavating, or drilling for any substance within the earth, including, but not limited to, oil, gas,
minerals, gravel, sand, rock, geothermal and earth, except for activities conducted under prior mineral
reservations, agricultural, utility, water and septic purposes shall ever be permitted within the limits
of the Community.
12
Section 6.3 No Business Uses. Except for conducting Polo and other recreational events,
no lands within the Community shall ever be occupied or used for any non-agricultural commercial
or business purpose without the consent of the Board of Directors, nor for any noxious activity, and
nothing shall be done or permitted to be done on any of said lands which is a nuisance or might
become a nuisance to the Owner or Owners of any of said lands. Nothing herein shall be deemed to
prohibit recreational facilities or activities including, without limitation, equestrian, horse boarding
and training, horse shows and other equestrian sports or equestrian events which are open to the
public, tennis, golf, etc., nor any home occupation provided the same is permitted under the Garfield
County Land Use Code in effect and as amended from time to time and further provided such use
does not constitute a nuisance or violate any other provision of this Declaration.
Section 6.4 Signs. No advertising signs, billboards, unsightly objects, or nuisances shall
be erected, altered, or permitted to remain on any Lot or Tract in the Community. Directional signs
and special event signs shall be permitted.
Section 6.5 No Discharge of Firearms. The discharge of firearms shall not be permitted on
any of the lands in the Community without approval of the Board of Directors and only if reasonably
related to bona fide ranching or farming necessities. Hunting activities may take place only with the
prior written consent of the Board of Directors, and notwithstanding any such consent, shall not be
conducted in a manner that is disruptive of the peace and tranquility of adjacent properties nor in a
manner that could or is likely to create a threat to the safety of persons or property.
Section 6.6 Towers and Antennae. Except as this Section _ may be pre-empted by
Federal or State law, no towers or radio or television antennae or satellite transmission receiving
antennae, except for those with a diameter of thirty-six inches (36") or less, shall be erected on any
Lot or Tract without approval of the Architectural Committee and shall be fully screened from view
from adjacent properties.
Section 6.7 Tanks. No tanks of any kind shall be erected, placed, or permitted upon any
Lot or Tract unless buried or if located above ground the location and screening shall be as determined
by the Architectural Committee.
Section 6.8 Used or Temporary Structures. No used or previously erected or temporary
house, structure, house trailer, or nonpermanent outbuilding shall ever be placed, erected, or allowed
to remain on any Lot or Tract, except, as may be approved by the Architectural Committee or to the
extent permitted by all applicable County regulations, during construction periods, and no dwelling
house shall be occupied in any manner prior to its completion.
Section 6.9 Exterior Lighting. All exterior lights and light standards on Lot or Tracts shall
be approved by the Architectural Committee for harmonious development and the prevention of
lighting nuisances to other lands in the Community and shall also fully comply with any applicable
Garfield County lighting regulations.
Section 6.10 Dust Control. Each Owner shall be responsible for ongoing dust control on
any driveway within any Lot or Tract owned by said Owner. The Ranch Association shall take
reasonable steps to ensure minimal dust pollution results from roads within the Community and such
13
roads may, in the discretion of the Ranch Association, be treated as necessary with magnesium
chloride or other dust suppressants. The Ranch Association shall have the right to treat private
driveways and assess the costs thereof against the respective Owner if such Owner fails to fulfill his
responsibility for his individual dust control. Nothing herein shall be deemed to require control of
dust resulting from agricultural activities such as, without limitation, tilling and crop rotation.
Section 6.11 Weed Control. The Ranch Association may, in its discretion, implement and
follow a program of noxious weed control which may address the control and elimination of Canadian
Thistle and other undesirable weeds. The Ranch Association shall have the right to enter upon any
Lot or Tract and conduct a weed control program within the area of such Lot or Tract lying outside of
the building envelope shown on the Plat.
Section 6.12 Road Damage. Each Owner of a Lot or Tract is responsible for any damage
caused to the roadways within the Community during the construction of improvements upon such
Owner's property by any vehicle or equipment belonging either to said Owner or to any person or
entity using the roads within the Community while engaged in any activity benefitting said Owner.
Metal treads or other "lugged" tread or tired vehicles are not permitted to drive across the roads within
the Community; however, such equipment may access lands within the Community on a trailer or
flatbed vehicle as may be appropriate provided any damage resulting therefrom is repaired and paid
for as provided herein. Each Owner shall also be responsible for any damage caused by utility cuts
in roads, washouts and run off damage caused by failure to install culverts properly and in a timely
manner as may be necessary in connection with the construction of improvements upon or any other
uses made by such Owner to his Lot or Tract. The Board of Directors shall have the right to establish,
implement and enforce an impact fee system to allocate costs for road damage and general wear and
tear on the roads within the Community upon terms and conditions which said Board deems best in
the interests of the Members of the Ranch Association. Such impact fee system may include charges
based upon "per vehicle", "per load", "per ton", or "per trip" calculations. Said system may also deny
access to the Community to any vehicle for which said impact fee has not been paid. The Board may
also implement and enforce weight limits on the roads within the Community.
Section 6.13 Sanitary Systems. No sewerage disposal system, sanitary system, cesspool, or
septic tank shall be constructed, altered, or allowed to remain or be used on any Lot or Tract unless
fully approved as to design, capacity, location, and construction by all proper public health agencies
of the State of Colorado and the County of Garfield and also by the Architectural Committee.
ARTICLE 7: RIGHT OF FIRST REFUSAL
Section 7.1 Right of First Refusal. Except for a Permitted Transfer or a transfer to a Permitted
Transferee, no disposition of a Barn Lot by any Barn Lot Owner shall be attempted, made, or effective
unless and until the Barn Lot Owner proposing such disposition shall give notice to the Ranch
Association thereof (which notice shall set forth the interest therein proposed for disposition, the name
of the persons or entities to whom such disposition is proposed and the time, terms, and conditions of
proposed disposition) ("ROFR"); and the Ranch Association (or the Ranch Association's designee)
or, if the Ranch Association or the Ranch Association's designee does not so elect, the other Lot
Owners and any Tract Owners shall have the right to acquire the Barn Lot proposed for disposition
in accordance with the manner, time, terms, and conditions in such notice. As used herein the term
14
"disposition" shall mean any proposed sale or transfer of a Barn Lot or the lease of a Barn Lot for
greater than five years, but shall not
Section 7.2 Association ROFR. The Ranch Association or the Ranch Association's
designee may elect to acquire the Shares proposed for Disposition by giving notice thereof to the Barn
Lot Owner proposing disposition within 30 days of the receipt of the notice of proposed disposition.
Such Barn Lot Owner shall then be bound to transfer the Barn Lot proposed for disposition free and
clear of all liens and encumbrances whatsoever to the Ranch Association or the Ranch Association's
designee, as the case may be, in accordance with the terms set forth in the notice of proposed
disposition.
Section 7.3 Other Owner's Right. In the event the Ranch Association or the Ranch
Association's designee does not elect to acquire the Barn Lot proposed for disposition, then, within
five days after the expiration of the 30 -day period hereinabove provided for, the Ranch Association
or the Ranch Association's designee shall give notice thereof to each of the other Barn Lot Owners
and Tract Owners of the Ranch Association. Any such Barn Lot Owner or Tract Owners shall have
the right to acquire the Barn Lot proposed for disposition in accordance with the manner, time, terms,
and conditions in such notice (which shall be as stated in the original notice). Such Barn Lot Owner
or Tract Owners may elect to acquire the Barn Lot proposed for disposition upon giving notice thereof
to the Ranch Association within 30 days of the receipt of the notice of proposed disposition from the
Ranch Association. If more than one Barn Lot Owner or Tract Owner elects to acquire such Barn Lot
proposed for disposition then there shall be a random selection process for determining which of such
Barn Lot Owners or Tract Owners shall have the right to acquire the Barn Lot proposed for
disposition. The Barn Lot Owner proposing disposition shall then be bound to transfer the Barn Lot
proposed for disposition free and clear of all liens and encumbrances whatsoever to the acquiring
Barn Lot Owner or Tract Owner, as the case may be, in accordance with the terms of proposed
disposition set forth in the notice of proposed disposition.
Section 7.4 No Exercise of ROFR. If the Ranch Association, the Ranch Association's
designee and the other Barn Lot Owners or Tract Owners do not elect as hereinabove provided to
acquire the Barn Lot proposed for disposition, then the Barn Lot Owner proposing such disposition
may proceed with disposition of the Barn Lot, but only to the persons or entities and in the manner,
at the time and upon the terms and conditions set forth in such Barn Lot Owner's notice of proposed
disposition.
Section 7.5 Unreasonable Terms. Notwithstanding any provision to the contrary herein, if
the notice of proposed disposition specifies: (1) a consideration in other than United States money,
the Ranch Association, the Ranch Association's designee, and the other Barn Lot Owners or Tract
Owners shall have the right to acquire the Barn Lot proposed for disposition for the United States
money equivalent of the specified consideration; and (2) a manner, time, terms, or conditions that
cannot be complied with without unreasonable effort, the Ranch Association, the Ranch Association's
designee, and the other Barn Lot Owners or Tract Owners shall have the right to acquire the Barn Lot
proposed for disposition by complying with the reasonable equivalent of the specified manner, time,
terms or conditions.
15
ARTICLE 8: EASEMENTS AND LANDS RESERVED
Section 8.1 Easements Reserved. There is hereby reserved to and for the benefit the Ranch
Association all easements shown and described on the Plat (including easements for access,
construction, operation, maintenance, repair and replacement of Leach Fields, Ponds, the Water
System, irrigation systems, utility extensions, roads, fences, ditches and other facilities used by other
Members of the Ranch Community), and further, perpetual easements twenty (20) feet in width: (1)
ten (10) feet on each side of the boundary line along the entire perimeter of each Lot or Tract, for the
purpose of constructing, maintaining, operating, replacing, enlarging, and repairing electric,
telephone, water, irrigation, sewer, gas, and similar lines, pipes, wires, conduits, ditches, fences and
walking and equestrian riding trails; and (2) everywhere within the Community, except within
Building Envelopes designated on the Plat or approved by the Architectural Committee, for the
purpose of installing, accessing, operating, maintaining, repairing and replacing water wells, water
lines and related equipment and facilities as may be necessary to serve Lots or Tracts. The precise
location of said easements shall be first approved by the Architectural Committee and shall be
established after the installation of the water lines or wells.
Section 8.2 Irrigation Easements. There is hereby reserved to and for the benefit of the
Ranch Association, its successors and assigns, perpetual easements across all of the lands in the
Community along the line of all domestic water lines and irrigation ditches and laterals presently in
existence and across all other lands in the Community, for the purpose of constructing, maintaining,
relocating, replacing and operating domestic water supply systems or irrigation ditches and laterals
and, if the Architectural Committee so determines, to construct, maintain and operate other irrigation
systems, including, without limitation, sprinklered irrigation systems, all for the proper irrigation of
all lands or fields in the Community or located on any Lot or Tracts therein.
Section 8.3 Tract B. Subject to any reasonable rules and regulations which may be
promulgated by the Board of Directors and subject to events being scheduled on such lands, there is
hereby reserved a perpetual non-exclusive easement for all Barn Lot Owners to use the Polo Field
and Exercise Track on Tract B for exercising horses, playing and practicing polo, training horses, and
other similar uses consistent with the purposes of a polo field and exercise track. Any Barn Lot Owner
who causes damage to Tract B shall be responsible for all costs or expenses of repair or replacement
of any such damage, and a lien therefor is authorized and established against that party's property,
pursuant to this Declaration.
ARTICLE 9: SPECIAL DECLARANT RIGHTS AND ADDITIONAL RESERVED RIGHTS
Section 9.1 Special Declarant Rights. Declarant hereby reserves the following Special
Declarant Rights and Additional Reserved Rights for a time period running for fifty (50) years
commencing from the date of the recording of this Declaration.
Section 9.2 Exercise of Development Rights. Declarant shall have the right to exercise any
expansion or development right reserved in Article , or any other provision of this Declaration.
Section 9.3 Amendment of Declaration. Declarant shall have the right to amend or
supplement this Declaration in connection with the exercise of any development rights.
16
Section 9.4 Amendment of Plat. Declarant shall have the right to amend the Plat in
connection with the exercise of any development rights.
Section 9.5 Other Rights. Declarant shall have the right to exercise any additional reserved
right created by any other provision of this Declaration or otherwise permitted by the Act.
Section 9.6 Rights Transferable. Any Special Declarant Right or Additional Reserved
Right created or reserved under this Article for the benefit of Declarant may be transferred to any
Person by an instrument describing the rights transferred and recorded in every county in which any
portion of the Community is located. Such instrument shall be executed by the transferor Declarant
and the transferee.
ARTICLE 10: RESERVATION OF DEVELOPMENT RIGHTS
Section 10.1 Development Rights. Declarant expressly reserves the right to subdivide, plat
and construct additional Lots, Tracts and dwelling units and associated roadways, driveways and
access ways (the "Additional Improvements"), to subdivide Lots, relocate boundaries between Lots
or Tracts or the Reserved Property, by subdivision or otherwise, and, as applicable, to submit such
property to the Community, on all or any portion of Tract A and the property described in Exhibit D.
(the "Reserved Property"). Tract C is not at the time of the initial recording of this Declaration
submitted to the Community. Declarant reserves the right to withdraw Tract A or any portion thereof
from the Community.
Section 10.2 Total Units/Lots. The Community presently contains seven (7) Lots and two
(2) Tracts. An additional Tract (Tract C) is, at the time of recording this Declaration, owned by
Declarant. Pursuant to the PUD Guide, the Community is presently approved for the development of
up to fifty-four (54) dwelling units. Subject to approval of the Garfield County Board of County
Commissioners, Declarant reserves the right to construct and have ownership of up to an additional
forty-six (46) Lots and/or dwelling units in the Community including in the Reserved Property, to be
platted and constructed in addition to the existing Lots and Tracts in the Community, for a maximum
total of one -hundred (100) dwelling units, Lots or Tracts in the Community.
Section 10.3 Order of Development. Declarant may exercise its development rights on all
or any portion of the Reserved Property or the Community owned by Declarant in whatever order of
development Declarant, in its sole discretion, determines.
Section 10.4 Affordable Housing. Declarant reserves the right to develop on-site affordable
housing in connection with the exercise of the above development rights and thereafter. Declarant
also reserves the right to subdivide or condominiumize said affordable housing residences.
Section 10.5 Entitlements. Declarant reserves the right to rezone and amend the PUD Guide
or any other entitlements concerning the Community with regard to any of the Lots or Tracts or
Reserved Property as may be approved by Garfield County.
Section 10.6 Lot Line Adjustments. The Declarant also reserves the right to adjust the
17
common boundary lines between any Lot(s) or Tract(s) or Reserved Property owned by Declarant.
Section 10.7 Amendment of the Declaration. If Declarant elects to exercise any or all of the
development rights or other special rights reserved in this Article, Declarant shall record an
amendment to this Declaration in the Garfield County records describing at a minimum the legal
description of the additional or resulting Lots, or Tracts or dwelling units; a description of any
additional Common or Limited Common Elements; and a schedule indicating the resulting
reallocation of the voting interests and allocated interests according to Section ; provided,
however, any New Lots or Tracts or dwelling units which are solely designated as being for purposes
of affordable housing shall not have a vote in the Association.
Section 10.8 Amendment of the Plat. Declarant shall, contemporaneously with recording
of an amendment of this Declaration, file an amendment of the Plat (the "Supplemental Plat")
showing the location of the New Lots or Tracts or dwelling units. The Supplemental Plat shall
substantially conform to the requirements contained in this Declaration.
Section 10.9 Declaration Operative on New Lots, Tracts and Dwelling Units. Any such new
Lots or Tracts or dwelling units and improvements thereon shall be subject to all the terms and
conditions of this Declaration and of any supplemental declaration or declarations, and shall be
subject to ownership with all the incidents pertaining thereto as specified herein upon recordation of
the Supplemental Plat and Supplemental Declaration.
Section 10.10 Construction Easement. Declarant expressly reserves the right to perform
work, and repairs and construction work and to store materials in secure areas, in Lots or Tracts then -
owned by Declarant, and the future right to control such work and repairs, and the right of access
thereto, until its completion. All work may be performed by Declarant without the consent or
approval of any Lot Owner. Declarant has and reserves an easement through the Community as may
be reasonably necessary for the purpose of discharging Declarant's obligations and exercising
Declarant's reserved rights in this Declaration. Such easement includes the right to construct
underground utility lines, pipes, wires, ducts, conduits, and other facilities across the land not
designated as Reserved Property in this Declaration or on the Plat for the purpose of furnishing utility
and other services to the buildings and improvements to be constructed on the Reserved Property.
Declarant's reserved construction easement includes the right to grant easements to public utility
companies and to convey improvements within those easements anywhere in the Community or
existing easements established or otherwise reserved, which are not occupied by an improvement or
Building Envelope. If Declarant grants any such easements, this Declaration and Plat will be amended
to include reference to the recorded easement. In exercising its rights pursuant to this Section,
Declarant shall, at its expense, promptly restore and revegetate any land areas and vegetation which
may be disturbed by its construction activities, including the installation of utilities, to a condition
approximating that which existed prior to disturbance, and shall utilize best construction practices
applicable to the specific activity in order to minimize the nature and extent of disturbance.
Section 10.11 Termination of Expansion and Development Rights. The development rights
reserved to Declarant, for itself, its successors and assigns, shall expire fifty (50) years from the date
of recording this Declaration, unless the development rights are:
18
(a) extended as allowed by law; or
(b) reinstated or extended by the Association, subject to whatever terms,
conditions, and limitations the Board of Directors may impose on the
subsequent exercise of the development rights by Declarant.
Section 10.12 Declarant's Exercise of Special Declarant Rights and Other Development
Rights. The rights reserved by Declarant under this Declaration accrue to Declarant and transferees
or assignees of Declarant. No other party may claim any entitlement or direct or indirect benefit from
such rights. The determination to utilize such rights or not utilize such rights is a determination to be
made in the sole and absolute discretion of Declarant or Declarant's transferees or assignees from
time to time.
ARTICLE 11: ENFORCEMENT
Section 11.1 Enforcement Action. The Board of Directors, on behalf of the Ranch
Association and all or some of the Owners and each Owner, shall have the right to prosecute any
action to enforce the provisions of this Declaration by injunctive relief and for damages, as applicable,
by reason of any violation of any provisions of this Declaration.
Section 11.2 Limitations on Actions. In the event any construction or alteration or
landscaping work is commenced upon any of the lands in the Community in violation of any provision
of this Declaration and no action is commenced within 365 days after the issuance of a certificate of
occupancy for such construction or alteration or landscaping to restrain such violation, then injunctive
or equitable relief shall be denied, but an action for damages shall still be available to any party
aggrieved. Said 365 -day limitation shall not apply to injunctive or equitable relief against other
violations of this Declaration. No bond shall be required to be posted by any party seeking to enforce
the provisions of this Declaration against the Owner of a Lot or Tract and all of said Owners hereby
waive the requirement of posting a bond in such action.
ARTICLE 12: INSURANCE
Section 12.1 Insurance. The Ranch Association may purchase property insurance policies
covering the Community property, roads, easements, equipment, and other property that the Ranch
Association, in its discretion, deems advisable. In addition, the Ranch Association may purchase
commercial general liability insurance against claims and liabilities arising in connection with the
ownership, existence, use, management or other activities related to the land shown on the Plat. The
Ranch Association may purchase any other insurance policies it deems advisable.
Section 12.2 Fidelity Insurance. If any Owner or employee of the Ranch Association
controls or disburses funds of the Ranch Association, the Ranch Association must obtain and
maintain, to the extent reasonably available, fidelity insurance. Coverage shall not be less in
aggregate than one year of current assessments plus reserves, as calculated from the current budget
of the Ranch Association.
12.2.1 Any person employed as an independent contractor by the Tracts Association
for the purposes of managing the Community must obtain and maintain fidelity insurance in
19
an amount not less than the amount specified herein, unless the Ranch Association names such
person as an insured employee in a contract of fidelity insurance.
12.2.2 The Ranch Association may carry fidelity insurance in amounts greater than
required herein and may require any independent contractor employed for the purposes of
managing the Project to carry more fidelity insurance coverage than required herein.
Section 12.3 Insurance Premiums are Common Expenses. Premiums for insurance that the
Ranch Association acquires and other expenses connected with acquiring such insurance are common
expenses.
ARTICLE 13: GENERAL PROVISIONS
Section 13.1 Covenants to Run with the Land. All of the covenants, conditions and
restrictions contained in this Declaration shall be a burden on the title to all of the lands in the
Community, and the benefits thereof shall inure to the Owners of all of the lands in the Community.
Section 13.2 Termination and Amendment of Declaration. This Declaration and/or the Plat
may be terminated or amended by the Owners of sixty-seven percent (67%) of the votes in the Ranch
Association. A copy of any resolution of termination or amendment, certified as correct and complete
and certifying that the requisite percentage of the Owners have approved such resolution, shall be
placed of record in Garfield County, Colorado, not more than six (6) months after the date of said
amendment. If this Declaration is so amended, then it shall continue in effect, as amended, for so
long thereafter as may be stated in said amendment.
Section 13.3 Severability. Should any part or parts of this Declaration be declared invalid
or unenforceable by any court of competent jurisdiction, such decisions shall not affect the validity
of the remaining covenants.
Section 13.4 Repeal of the Act. In the event that the Act is repealed, the provisions of the
Act immediately before its repeal shall control this Declaration. However, to the extent that the
Bylaws of the Ranch Association differ from the Act as repealed, the provisions of the Bylaws shall
control.
Section 13.5 Section Headings. The Section headings in this instrument are for convenience
only and shall not be construed to be a part of the covenants contained herein.
Section 13.6 Notices. Except as otherwise provided in this Declaration or the Bylaws, all
notices, demands, bills, statements, or other communications under this Declaration shall be in writing
and shall be deemed to have been duly given if delivered personally or if sent by United States mail,
first class postage prepaid:
13.6.1 if to a Member, at the address which the Member has designated in writing and
filed with the Secretary or, if no such address has been designated, at the address provided for
the Owner of such Lot or Tract in the Garfield County Assessor's Office;
13.6.2 if to the Ranch Association, the Board of Directors, or any property manager,
20
at the principal office of the Ranch Association or of the property manager if previously
designated in writing by the Board of Directors or at such other address as shall be designated
by notice in writing to the Members pursuant to this Section; or
13.6.3 if to any committee, at the principal address of the Ranch Association or at
such other address as shall be designated by notice in writing to the Members pursuant to this
Section.
IN WITNESS WHEREOF, the Declarant has executed this instrument effective as of the date
set forth above.
STATE OF
COUNTY OF
) ss.
)
DECLARANT:
ASPEN POLO PARTNERS, LLP,
a Colorado limited liability partnership
By:
, Authorized Agent
The foregoing Declaration of Covenants, Conditions and Restrictions for McClure River
Ranch was acknowledged before me on the day of , 2020, by
, as Authorized Agent of Aspen Polo Partners, LLP, a Colorado limited
liability partnership, the Declarant.
Witness my hand and official seal.
My commission expires:
Notary Public
21
EXHIBIT A TO DECLARATION OF PROTECTIVE COVENANTS
A tract of land situated in Lots 8, 9 and 10 of Section 31 and in Lots 5 and 13 of Section 32, all in
Township 7 South, Range 87 West of the 6th Principal Meridian, Garfield County, Colorado, lying
southerly of and adjacent to the southerly right of way line of old state Highway 82 and being more
particularly described as follows:
Beginning at a point on said southerly right of way line whence a stone found in place for the witness
corner to the northeast corner of said Section 31 bears N 26 Degrees 00' 43" E 1433.52 feet; thence S
79 Degrees 58' 52" E 2125.37 feet along said southerly right of way line to the northwest corner of a
parcel of land described in Book 1013 at Page 423 of the records of the Garfield County Clerk and
Recorder; thence along the westerly boundary line of said parcel on the following two (2) courses: S
04 Degrees 55' 00" W 461.90 feet; thence S 01 Degrees 00' 00" E 861.25 feet to a point on the
northerly right of way line of the Roaring Fork Transit Authority railroad right of way; thence 169.57
feet along said northerly railroad right of way line on the arc of a 1565.69 foot radius curve to the left,
the chord of which bears S 54 Degrees 32' 43" W 169.49 feet to a point on the southerly boundary
line of said Lot 13; thence N 89 Degrees 54' 14" W 651.37 feet along the southerly boundary line of
said Lot 13 to the northeast corner of said Lot 10; thence S 00 Degrees 10' 37" E 354.80 feet along
the easterly boundary line of said Lot 10 to a point in the center of the Roaring Fork River; thence
along the center of said Roaring Fork River on the following seven (7) courses: S 86 Degrees 53' 04"
W 294.14 feet; thence S 85 Degrees 32' 23" W 117.60 feet; thence S 78 Degrees 29' 25" W 123.94
feet; thence S 89 Degrees 17' 47" W 118.54 feet; thence S 67 Degrees 42' 27" W 386.40 feet; thence
S 62 Degrees 48' 18" W 124.67 feet; thence S 57 Degrees 58' 42" W 235.29 feet to a point on the
easterly boundary line of Blue Creek Ranch recorded as Reception No. 623535 in the records of the
Garfield County Clerk and Recorder; thence along the easterly boundary line of said Blue Creek
Ranch on the following three (3) courses: N 00 Degrees 10' 37" W 736,64 feet; thence N 89 Degrees
54' 14" W 231,46 feet; thence N 00 Degrees 02' 13" W 1677.90 feet to the southwest corner of a
parcel of land described in Book 333 at Page 511 of the Garfield County records; thence S 79 Degrees
52' 12" E 278.00 feet along the southerly boundary line of the parcel described in said Book 333 at
Page 511 to the southeast corner of said parcel; thence N 00 Degrees 02' 13" W 156.69 feet along the
easterly boundary line of said parcel to the point of beginning; containing 100.44± acres, more or
less.
22
EXHIBIT B
(Real Property Submitted to Declaration)
McCLURE RIVER RANCH ASSOCIATION:
Tract A, Tract B, Lot 1, Lot 2, Lot 3, Lot 4, Lot 5, Lot 6 and Lot 7 as shown on the Final Plat of
McClure River Ranch recorded the day of , 2020, in the records of the Garfield
County Clerk and Recorder's Office.
23
EXHIBIT C
(Licenses and Easements affecting the Community)
United States Patent dated 30 June 1892, and recorded 2 May 1903, in Book 73 at Page 167, as
Reception No. 082729; and as reserved in the United States Patent dated 5 June 1894 and recorded
11 August 1894 in Book 12 at Page 333 as Reception No. 017568.
Reservation of an undivided one-half interest in and to any and all oil, gas rights and any and all
assignments thereof or interests therein on or under said land described in the deed recorded dated
10 January 1944 and recorded 10 January 1944 in Book 208 at Page 584 as Reception No. 150766.
Right-of-way Easement dated 25 August 1961 and recorded 19 October 1961 in Book 337 at Page
229 as Reception No. 215432.
Right-of-way Easement dated 8 November 1973 and recorded 31 January 1974 in Book 454 at Page
467 as Reception No. 261611.
Right-of-way Easement dated 21 October 1975 and recorded 22 October 1975 in Book 479 at Page
875 as Reception No. 269894.
Order of Possession and Rights of Access document dated 13 May 1992 and recorded 26 August
1992 in Book 840 at Page 224 as Reception No. 438360.
Rule & Order and Rights of Access document dated 8 November 1993 and recorded 27 December
1993 in Book 887 at Page 640 as Reception No. 457087.
Quit Claim Deed for Water Rights, dated August 31, 2006, and recorded September 1, 2006, as
Reception No. 705846.
Resolution No. 2007 -PC 05, A Resolution Concerned With an Amendment to the Garfield County
Comprehensive Plan, Study Area I, By the Garfield County Planning Commission, dated 11 June
2007 and recorded 14 December 2007 as Reception No. 739330.
Resolution No. 2009-81, A Resolution Concerned With Approving the Planned Unit Development
and Preliminary Plan for the TCI Lane Ranch PUD and Retracting and Replacing Resolution 2009-
71 (in its entirety) In Order To Correct Scriveners Errors in the PUD Guide for the TCI Lane Ranch
Planned Unit Development, dated 7 December 2009 and recorded 9 December 2009 as Reception
No. 778758.
Land Use Change Permit dated 9 February 2010 and recorded 10 February 2010 as Reception No.
781907.
Land Use Change Permit recorded 21 May 2010 as Reception No. 786310.
24
Resolution No. 2010-57, A Resolution Concerned With the Approval of an Extension for the TCI
Lane Ranch PUD Preliminary Plan Located East of Catherine Store and CR 100 on Old Highway
82, Garfield County, dated 19 July 2010 and recorded 4 August 2010 as Reception No. 789509.
Resolution 2010-101, A Resolution of Approval For and Amendment to the TCI Lane Ranch
Planned Unit Development To Remove the Designation of "Employee Units" From the
Development Site Plan, dated 20 December 2010 and recorded 5 January 2011 as Reception No.
796752.
Fencing Agreement dated 8 June 2012 and recorded 27 August 2012 as Reception No. 823180.
Resolution 2013-58, A Resolution Concerned With the Approval of a Third Extension for the TCI
Lane Ranch PUD Preliminary Plan, dated 3 September 2013 and recorded 4 September 2013 as
Reception No. 840245.
Resolution No. 2015-49, A Resolution Concerned With the Approval of a Fourth Extension for the
TCI Lane Ranch PUD Preliminary Plan, dated 8 September 2015 and recorded 9 September 2015 as
Reception No. 867726.
Resolution No. 2016-37, A Resolution of Approval for a Correction to Resolution No. 2010-101
Which Granted Approval for the Removal of "Employee Units" from the TCI Lane Ranch
Development Site Plan, dated 2 May 2016 and recorded 3 May 2016 as Reception No. 876726.
Resolution No. 2016-59, A Resolution Concerned With the Approval of a Fifth Extension for the
TCI Lane Ranch PUD Preliminary Plan, dated 12 September 2016 and recorded 13 September 2016
as Reception No. 882266.
25
EXHIBIT D
(Lands Reserved for possible Expansion or Annexation into the Community — Reserved Property)
Tract C as shown on the Final Plat of McClure River Ranch recorded the day of ,
2020, in the records of the Garfield County Clerk and Recorder's Office.
The property described in document recorded in Book 333 at Page 511 of the Garfield County
Records.
26