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SANDY HARBOR ASSOCIATION, INC.
HORSESHOE BAY, TEXAS

RESTRICTIONS:

Amendment 1
The following restrictions, covenants and conditions cover all lots in Section One, Section Two, Section Three, and Section Four of Sandy Harbor Subdivision, Llano County, Texas. All lots are held and hereafter shall be conveyed subject to the following reservations, restrictions and covenants:

I.  DEFINITIONS:
Amendment 2
a.  The word “lot,” as used herein, is intended to refer to a single piece or parcel of land shown as a lot on Section One, Section Two, Section Three, and Section Four subdivision plats of Sandy Harbor Subdivision.

b.  The word “plot,” as used herein, is intended to refer to a parcel of land consisting of one or more lots and a part (or parts) of an adjoining lot or lots, or two (2) contiguous parts of any two (2) adjoining lots into which any lots shown on attached Exhibit “A” may be divided pursuant to powers retained by the undersigned.

c.  The word “street,” as used herein, shall include any street, drive, road, lane or public ways shown on the attached map.

d   The word “residence,” as used herein, is intended to refer to a fully enclosed structure, designed and intended for use and occupancy by a single family, with all rooms fully connected and attached.

e.  The term “out-buildings,” as used herein, shall include any and all buildings, structures and other improvements located on a lot or plot but not connected or attached to a residence

Amendment 3
f.  The term “renter,” as used herein, shall include only those persons holding a lease for a period of six months or more.
å˘ Property rental for any period less than six months is prohibited.

Amendment 4
g.  The term “guest quarters,” as used herein, shall include an out-building that consists of sufficient space to accommodate a property owner’s non-paying guests.  Guest quarters may not be used as rental property since they do not meet the requirements to be used as a residence.

Amendment 5
h.  Property owner or owner means: "an individual, fiduciary, partnership, joint venture, corporation, association, or other legal entity that owns record title to real property in Sandy Harbor subdivision, or the guardian, executor, or administrator of
an individual or estate who owns record title to subdivision property."

Amendment 6
i. References herein to Sandy Harbor Property Owners Association or SHPOA shall mean Sandy Harbor Association, Inc.

II.  USE OF LAND

a.  One only single family residence, and incidental outbuildings, shall be constructed or permitted to remain on any lot or plot.

Amendment 7
b.  No lot or plot, and no residence or out-building, located on any lot or plot shall ever be used for other than a single family residence, or normal purposes incidental thereto, it being intended that the owner of any lot or plot may utilize a single family residence, and  incidental out-buildings, for the temporary or occasional entertainment of friends, non-paying guests and/or business associates, only in such manner and in such number as will not annoy or inconvenience any other owner of any lot or plot, whether adjoining or not.  No buildings or lot shall ever be used or occupied for any purpose except for that of private residence exclusively and shall not be used or occupied for trade or business of any kind whatsoever.  Specifically excepted from this prohibition are phone or Internet businesses or other business where no “face to face” customer interaction is conducted on the premises.  Rental of property for less than six months does not constitute residential use, but is a business use and is prohibited.

Amendment 8
c.  No garage or out-building on any lot or plot shall ever be used as a residence.

Amendment 9
d.  No animals, livestock or poultry of any kind shall be raised, bred or kept on any lot.  Dogs, cats or other household pets may be kept, provided they are not kept, bred or maintained for any commercial purpose.  Dogs shall not be permitted to run at large and shall be kept within fenced or closed areas when not confined to a leash.

Amendment 10
e.  No vehicle may be permanently parked in view of any street or neighborhood residence that is not currently licensed with a valid state inspection decal affixed as prescribed by the State of Texas.  Owners of vehicles in violation of this restriction may be assessed $100 for each 30 day period in violation until the vehicle is removed or properly licensed and inspected.  Such assessment shall be and is hereby secured by a lien against the property owners lot(s) and shall be payable to Sandy Harbor Property Owners’ Association, Inc. at Sandy Harbor, Llano County, Texas.

Amendment 11
f.  Hunting any game animal on any lot or plot in the Sandy Harbor community is prohibited.  The use of or discharge of firearms other than for protection of property and destruction of rabid, poisonous or destructive animals is expressly prohibited in Sandy Harbor.

III.  CONSTRUCTION OF RESIDENCE, GARAGES AND OUT-BUILDINGS

Amendment 12
a.  No residence, out-building, garage, fence or structure of any kind shall be commenced, erected or maintained, nor shall any addition thereto or change or alteration thereof be made on any part of the land shown on attached Exhibit “A” until plans and specifications designs, plot plans and grading plans have been submitted to the Architectural Committee and all of the same, as well as the lot or plot upon which all buildings, improvements or structures of any kind are to be constructed, have been approved in writing.  In passing upon all of such plans, specifications and drawings, the undersigned may take into consideration, among other things, the suitability of any such proposed building or other structure and the materials of which it is to be constructed, to the lot or plot upon which it is to be constructed, and the effect thereof, as planned, upon adjacent, neighboring or other lots or plots.  A copy of all such plans, specifications and drawings, and such other written information as may reasonably be required by the Architectural Committee, shall be left with the Architectural Committee after approval thereof.  No construction solely for the purpose of creating rental property shall be permitted.   The Architectural Committee will require a minimum of :
1)  A site plan showing the “footprint” of the building and showing the location of all proposed improvements, including structures, patios, driveways, fences and walls.
2)  A description of the exterior materials, textures and shapes of all buildings and structures.
3)  Dimensional floor plans of all enclosed spaces and garages.
4)  Exterior elevations of all proposed buildings and structures.
5)  Any other data requested by the Architectural Committee.

Amendment 13
b.   No residence having an inside floor area of less than 850 square feet shall be constructed, erected or maintained on any lot of the Sandy Harbor subdivision.  The inside or area of open porches, breezeways, carports, garages, servant’s quarters, out-buildings, enclosed porches, balconies, porte-cocheres, bay windows, architectural appurtenances such as cornices, etc. shall be excluded in determining the required square feet of inside floor area of a residence.

Amendment 14
c.  No building of any character may be moved from outside the Sandy Harbor subdivision to any lot or plot so covered, excepting only a house trailer such as may be used by workmen during the actual period of construction of a residence wholly in accordance with all restrictions hereof, and in any event, not exceeding sixty (60) days, whether consecutive or not.  No residence or guest quarters consisting of external metal shall be permitted.  All footings, piers and foundations of the main residence shall be concrete or masonry construction.  Skirting surrounding pier and beam foundations is required.

Amendment 15
d.  Setbacks.  Unless otherwise indicated on attached Exhibit “A,” no residence, out-building, structure, improvements, fence, wall, hedge, or obstruction of any character, except as otherwise herein elsewhere provided, shall be erected, planted or maintained or permitted to remain on any lot or plot nearer to an adjoining street or streets than the building line or lines shown on attached Exhibit “A”, nor shall any residence, out-building or structure be located nearer than ten (10) feet to the side lot line, except that any residence or outbuilding or structure erected prior to January 1, 2006 in violation of the setback requirements shall be permitted to remain.

Amendment 16
e.  No outside toilet or toilets shall be installed or maintained on any lot or plot except for portable toilet facilities that may be required for the use of workmen during construction of a residence.

Amendment 17
f.  All plumbing, appliances and facilities of any residence or out-building shall be installed, connected and maintained with a properly approved septic tank system, or with the sewer system currently in use in Sandy Harbor.

g.   No noxious, offensive, unlawful or immoral use or activity shall ever be made, carried on or maintained on any lot or plot, nor shall any nuisance be created or maintained.

h.   All garbage, trash and unsightly rubbish shall be removed promptly or otherwise removed and disposed of, and not permitted to remain on any lot or plot.

i.    No residence or out-building shall be occupied or used for residential or storage purposes (other than for the storage of building materials to be used in the construction and completion thereof) until the same shall have been fully completed, including interior and exterior painting.

Amendment 18
j.    No radio, television towers, or aerial wires or devices shall be maintained over any part of any lot or plot not occupied by a permanent structure.

k.   The construction or maintenance of billboards, poster boards or advertising structures of any kind on any part of any lot or plot is prohibited, excepting:
      1.)  Signs not exceeding, in the aggregate, five (5) square feet in overall size, and extending not more than six (6) feet in height when attached to any post, wall or other hanging device, and advertising property shown on attached Exhibit “A” for sale by the owner thereof, other than the undersigned, and,
      2.)  Signs exceeding five (5) square feet in overall size and extending to any height, and advertising property shown on attached Exhibit “A” for sale by the undersigned, as owner thereof, both of which shall be permitted as otherwise prescribed above.

l.    Owners of any lot or plot may cut a driveway over drainage ditches, provided a culvert or pipe of sufficient size to provide adequate drainage of the ditch, is installed and maintained, wholly at the expense of such owners.

Amendment 19
m.   All lots are sold for the purpose of home sites and the erection of permanent construction and improvements thereon and no camping facilities of any nature, temporary or permanent, shall be permitted.

n.   No electric, water or telephone service shall be installed or connected on any lot prior to the time actual construction of improvements is started.

Amendment 20
o.   Owners of the lots may obtain water from Lake LBJ, subject to approval of the Lower Colorado River Authority, at their own cost and responsibility, or drill and maintain wells at their own cost and responsibility.

IV.  MISCELLANEOUS

a.  The undersigned will keep the weeds, brush or grass cut, at a reasonable level, upon all unsold lots or plots, owned by the undersigned.

Amendment 21
b.  Owners of any lot or plot shall keep the weeds, brush or grass cut, at a reasonable level, and failing to do so, the Sandy Harbor Association, Inc.may (but at no time shall be required to do so) have all of the same cut, at a reasonable level, and the cost or expense thereof shall be due and payable by owners to the Sandy Harbor Association, Inc., upon demand. After 180 days, the amount of any unpaid bills may be applied as an additional assessment to the owners property as a lien.

Amendment 22
c.  All Sandy Harbor common areas and boat launch facilities are for Sandy Harbor property owners and their non-paying guests only.  Renters may also utilize Sandy Harbor common areas.   Boat trailers and towing vehicles displaying a Sandy Harbor Identification Decal will be allowed in and upon the docking and public areas, but only for the purposes of loading and/or unloading boats.  Docking areas shall not be used for the storage of boat trailers.  Any boat trailer and towing vehicle not displaying a Sandy Harbor Identity Decal  may be towed at the owners’ expense.


Amendment 23
d.  The owners of any lot or plot, and members of their families and their non-paying guests, shall enjoy the non-exclusive privileges of ingress to and egress from the Lake and/or the Park and/or docking areas shown on attached Exhibit “A.”  All fishing piers, beach improvements and other equipment and devices erected and/or maintained thereon shall be available for use, on a non-exclusive basis and at their sole risk, by all owners of any lot or plot, and members of their families and their non-paying guests, as well as owners of any lot or plot in any other subdivision that the undersigned hereafter may own and/or develop.  Solely at the discretion of the Board of Directors of the Sandy Harbor Property Owners Association, Inc., renters paying a $20.00 assessment may be issued a renter’s decal.  The renter’s decal, when displayed on the renter’s vehicle, will enable the renter to utilize fishing piers, beach improvements and other equipment and devices erected and/or maintained thereon.  This privilege is not extended to renters’ guests and may be revoked at the discretion of the Sandy Harbor Board of Directors at any time.  The undersigned assumes no responsibility of any kind for the maintenance or condition of the Lake.

Amendment 24
e.  To provide for the operation, maintenance, and improvement of the streets, docks, piers, parks and beach areas of Sandy Harbor, an assessment shall run against each lot and residence of the Sandy Harbor Subdivision.  The initial assessment shall be $20.00 for each lot and $125.00 per residence per year.  This assessment shall be effective upon filing of this amended restriction in the real property records of Llano County.   Any  assessment shall be and is hereby secured by a lien on each said lot or residence respectively and shall be payable to Sandy Harbor Property Owners’ Association, Inc. at Sandy Harbor, Llano County, Texas on the 1st day of April each year.   The Board of Directors of Sandy Harbor Association, Inc. alone shall have the authority to determine the nature, extent and kind of improvements and concessions to be erected and/or maintained for said streets, docks, piers, parks and beach areas.

Amendment 25
1)  From time to time, increased costs or the needs of the Sandy Harbor community may require a change in the initial assessment.  Therefore, the Board of Directors of Sandy Harbor Association, Inc. may recommend a change in the amount of the assessment at any regularly scheduled public board meeting.  Upon Board recommendation, any change in the amount of assessment must be approved by a majority of Property Owners attending a regularly scheduled quarterly Property Owners’ meeting.

f.    All rights of every kind to transport persons and property by air over the lands shown on attached Exhibit “A” are reserved in the undersigned for the benefit of the owners of lots and plots shown on said attached Exhibit “A.”

g.   The undersigned expressly reserves an easement in, on, over, under and through those portions of the lands shown on attached Exhibit “A” as lie five (5) feet in either direction from any and all tract lines and from any and all street lines, for the purpose of constructing and maintaining and permitting the construction and maintenance of pipe lines, conduits, telephone, telegraph and electric light poles, towers and other equipment necessary to supply any public or private utility service, but nothing herein contained at any time or in any manner shall be construed, either expressly or impliedly, as a representation, warranty, promise or guarantee by the undersigned that any or all of such public or private utility services can or will be constructed, maintained and/or provided.  Fences, walls and shrubbery hedges, but not building or structure of any character, may be erected and maintained on such reserved easements, provided: (1) that such fences, walls and hedges do not interfere in any way with the use of such easements by the public or private utilities then utilizing or thereafter desiring to utilize the same, and (2) that the rights of the owners of such fences, walls and hedges shall and at all times be and remain subordinate and inferior in every way to the rights of public or private utilities, and (3) that such public or private utilities at any time may, without liability of any kind to the owner or owners thereof, remove any such fence, wall or hedge where the removal of the same is incidental to the performance of public or private utility operations.  Furthermore, the undersigned reserved the right to vacate any reserved easement appurtenant to any lot or plot, provided such vacation shall not prevent access by public or private utilities then occupying any such easement appurtenant to any lot or plot.

h.   The undersigned expressly reserves the right, from time to time, as it may see fit by amended dedication or otherwise, to re-divide and/or re-plat any property shown on attached Exhibit “A” not theretofore sold by it; to change the size of any lot or lots shown in this or any subsequent dedication and/or map of said subdivision; to change the minimum “inside floor area” of any residence as otherwise provided in Paragraph 3.b. above; to change the location of streets and easements prior to the time the same shall have been opened up actually and fully for public use or availed of by the public or by public utilities all without the consent of any person or persons owning any property in said subdivision; PROVIDED, HOWEVER, that no such change shall:
(1)  Operate to deprive any then owner of a lot or plot of reasonable access to such lot or plot; and/or,
(2)  Result in reducing the frontage or depth of any lot or plot now shown on attached Exhibit “A” to a number of square feet less than the smallest lot as now shown on attached Exhibit “A”.

i.    In the event of any dispute over the proper interpretation of any of the provisions of this dedication, the determination and interpretation of the undersigned shall be final and binding upon all interested persons.

Amendment 26
j.  Sandy Harbor residents may submit complaints to the Sandy Harbor Board of Directors.  Such complaints may be presented in writing at any time to the Board, or orally during the course of a regularly scheduled Sandy Harbor Board meeting.

k.   The restrictions herein set out shall be referred to, adopted and made a part of each and every contract and deed executed by and/or on behalf of the undersigned conveying any of the lots or plots covered thereby, or any part thereof, and to all such intents and purposes as though incorporated in full therein; and each such contract and/or deed shall be conclusively held to have been so executed, delivered and accepted upon the express conditions, reservations and restrictions herein stated.  And further, when said property is conveyed and referred to in accordance with and by reference to the map or plat of said Subdivision and subject to the restrictions, covenants, conditions, easements and reservations as shown by the map or plat of said Subdivision and the dedication thereof, and reciting the Volume and page thereof in the Deed Records of the Llano County, Texas such reference to said map or plat and dedication thereof in such manner shall be of the same force and effect as if said restrictions, covenants, conditions, easement and reservations were fully embodied in such instrument.

l.  All of the restrictions, covenants, reservations, liens, and charges appearing anywhere herein, as well as those appearing in any contract, deed or other conveyance to or covering any lot or plot shown in attached Exhibit “A,” or any part thereof, shall be construed together, but if any one of them shall be held to be invalid, or for any reasons is not enforced or construed to be enforceable, none of the others shall be affected or impaired thereby, but shall remain in full force and effect.

m.  All lots and plots covered hereby shall be conveyed expressly subject to the easements reserved herein, and to all easements and restrictions now of record and affecting the title thereto, especially, but in nowise limited to, Easement, executed April 11, 1951, by A.X. Schroeter and wife, Bertha Schroeter, to Lower Colorado River Authority, and recorded in Volume 80, pages 435, 436 and 437 of the Deed Records of Llano County, Texas, which instrument is herein referred to and made a part hereof to the same extent and effect as if copied at length herein.

n.   The restrictions herein set forth are imposed upon each lot and plot of land for the benefit of each and every other lot and plot.  All of such restrictions shall constitute covenants running with the land and shall inure to the benefit of and be binding upon the undersigned, its successors and assigns, and each and every purchaser of and person acquiring any interest in any lot or plot, or any part thereof, and their heirs, legal representatives and assigns.  All persons so acquiring any of the lands covered by these restrictions shall be deemed and taken to agree and covenant to conform to and observe all such restrictions as to the use of such lands; and the undersigned, its successors and assigns, and the owner or owners of any part of such lands and of any interest therein acting jointly and severally, shall have the right to sue for and obtain an injunction to prevent the breach of, or to enforce the observance of, the restrictions and covenants above set forth in addition to the ordinary legal action for damages.  The failure of any one or all of such persons to enforce any of the restrictions or covenants herein set forth at the time of its violation shall in no event be deemed to be a waiver of the right to enforce the same at any time thereafter, nor shall the failure to enforce such restrictions as to any one or more lots or plots, or as to any one or more owners thereof, be deemed a waiver of the right to enforce them, or any of them, as to any and all other lots, plots and/or owners; nor shall the failure of the undersigned to enforce any such covenants, conditions or restrictions give rise or form the basis of any action against it by any person.

o.   The undersigned may assign or convey by appropriate instrument to any person or corporation any or all of the rights, reservations, easements and privileges herein created and/or reserved, or in any deed, contract or written instrument herein authorized, whereupon such person or corporation shall succeed to the assignor’s rights and be bound by its obligations.  In like manner and upon the same conditions, the same may be assigned and reassigned by subsequent assigns.

Amendment 27
p.   All of the restrictions and covenants herein set forth, save as the same may be changed pursuant to provisions of this dedication, shall continue and be binding upon the undersigned, its successors and assigns, and all persons claiming by, through or under it.

V.  Amendment, Modification, and Extension of Restrictions

Any three owners of lots to which these Restrictions apply may request an amendment of the Restrictions.  The right to amend implies only those changes contemplating a correction, improvement or reformation of the Restrictions rather than destruction of them.  An amendment adopted under this procedure binds all property owners subject to the Restrictions.  The following procedure shall be used to extend, add to, correct, or modify these Restrictions:
1.  A written request for an amendment shall be submitted to the President or current presiding officer of the Sandy Harbor Property Owners Association (SHPOA) not earlier than one week prior to the next annual meeting.  The request shall state the exact wording of the amendment as requested.  The request must be signed and dated by the owners of at least three lots subject to these Restrictions.
2.  The President or presiding officer shall appoint a Review Committee of at least three members of the SHPOA Board of Directors to review the proposed amendment.  
3.  The Review Committee shall have the power to review the language of the proposed amendment.  The Review Committee may use its discretion to modify the language of the proposed amendment in order to conform to the style, definitions, and references (such as recording information) contained in the then existing Restrictions; to correct for grammar, spelling, and punctuation, and to adjust for any procedures for amendment required by the then existing Restrictions.  The Review Committee may also reject any proposed amendment which would result in the destruction of these Restrictions or which would be illegal or against established public policy.
4.  The Review Committee shall report out its version of the proposed amendment by written report to the President or presiding officer within 30 days of its appointment.  If the Review Committee recommends rejection of the entire proposed amendment, it shall report as such to the President or presiding officer.  The President or presiding officer shall have no obligation to submit a rejected proposal to a vote.
5.  Within 60 days of receipt of the Review Committee report, the SHPOA, through any of its officers, shall mail to each affected property owner in the section of the subdivision governed by these Restrictions a notice that includes:
           (i)  the exact wording of the proposed amendment,
           (ii)  a ballot accepting or rejecting the proposed amendment, and
           (iii)  the date by which a property owner's ballot must be received to be counted.
6.  Ballots shall be mailed to the last known address of the property owner in the records of the SHPOA.  The deadline for receiving a ballot to be counted shall not be later than the 30th day before the date the notice is mailed.
7.  A property owner may not cast more than one vote, regardless of the number of lots the person owns.  If more than one person owns an interest in any lot, the owners may cast only one vote for that lot.  A person may not vote if the person has an interest in a lot only by virtue of being a lienholder.
8.  A ballot cast under this procedure is secret and may not be counted unless it is placed inside an unmarked envelope that is placed inside another envelope and that outside envelope bears the signature and printed name of the property owner casting the enclosed ballot.
9.  Prior to the date ballots are sent, the President or presiding officer of the SHPOA shall appoint an Election Canvassing Chairperson and a Committee to canvass and count the votes and determine the outcome.  The President or presiding officer shall also certify to the Election Canvassing Committee the number of votes necessary to pass the amendment.
10.  All votes must be counted by the Election Canvassing Committee within seven days of the deadline for receipt.  In order to pass, the proposed amendment must receive a favorable vote of fifty-one percent or more of the property owners casting a vote.  If the amendment receives the required number of votes, the Election Canvassing Committee Chairperson shall certify the result to the President or presiding officer of the SHPOA within three days.  The amendment shall become effective immediately upon this certification.
11.  Within 15 days of certification of the results, the President or presiding officer shall file in the real property records of Llano County an instrument that indicates that the amendment was adopted.

Sandy Harbor Association, Inc.
Horseshoe Bay, Texas

Restrictions