VENICE SHORES PROPERTY OWNERS ASSOCIATION Proposed Deed Restrictions

VENICE SHORES PROPERTY OWNERS ASSOCIATION Proposed Deed Restrictions 1. Introduction 2. Summary of Changes 3. Draft Deed Restrictions with changes highlighted 4. Current Deed Restrictions on web site for reference September 20, 2016 Page 1

Venice Shores Second Amended and Restated Subdivision Deed Restrictions Proposed Deed Restrictions Introduction This packet was developed to explain the proposed changes to the Venice Shores (VS) Deed Restrictions. By way of background, the last revision to the VS Deed Restrictions was in 1986. There are actually two identical documents one covering VS & VS-1 adopted in October 1981 and a second document covering VS-2 & VS-3 adopted in November 1986. The reason for the 1986 document was to have all of Venice Shores under the same deed restrictions. The two documents currently add confusion when trying to make changes to the deed restrictions. The process of amending our deed restrictions can only be completed through a majority of property owner signatures on a petition. The signatures must match the signatures as filed at the Macomb County Register of Deeds on your most current property deed. Our Deed Restrictions can be amended at any time, but the amendments will only take effect on a 10-year renewal cycle. 2016 is a year that would put into effect any approved amendments to our Deed Restrictions. The process of amending our current deed Restrictions must be completed by November 30, 2016 to take effect. This communication is to share and summarize the proposed changes. Additional information will be available as board members go door-to-door and meet with property owners for signatures. You will find the following in this correspondence: 1. Summary of Changes 2. Draft Deed Restrictions with changes highlighted 3. Current Deed Restrictions available on the VS web site for reference a www.veniceshores.org Thank you, Venice Shores Property Owners Association Board of Directors September 20, 2016 Page 2

Venice Shores Amended Subdivision Deed Restrictions Summary of Changes The following summarizes the changes included in the proposed deed restrictions attached in this package. The VSPOA board is recommending only three (3) changes to our current deed restrictions at this time. Although a lot of time and effort was put in to reviewing several sections for change, the new board is not comfortable in moving forward with them without further study and input from our property owners. The changes that are being recommend will allow additional time to review possible changes and put together a broad range of ideas that will align our subdivision with twentiethcentury resident needs, building codes, and materials. The following changes are the only items being addressed at this time: 1) Merging of the two sets of subdivision restrictions (Page-1): a The proposed document will combine Venice Shores Subdivision, Venice Shores Subdivision NO.1, Venice Shores Subdivision NO.2 and Venice Shores Subdivision NO.3 into one single set of restrictions. b Currently there are two sets of IDENTICAL restrictions covering VS & VS-1 (1981) and a second set covering VS-2 & VS-3 (1986). 2) Term (Section14) - The board is requesting two changes in this section: a The 1 st change would extend the combined deed restrictions (Item 1) until November 30, 2017. This would allow the board time to review all sections of our restrictions and bring back a broader range of proposed updates. If no changes are petitioned, the current document will roll over without change. b The 2 nd change would shorten the renewal period from 10 years to 5 years beginning November 30, 2017. This would allow future property owners to address potential issues in the subdivision every 5 years. This does not change the process required to make changes to the restrictions. It will still require a majority of the property owners to sign a petition to make changes. It will allow for more frequent reviews and possible updates if the majority of property owners desire. At this time these are the only changes the VSPOA Board is recommending to the subdivision property owners. If we are successful in making these changes, a new package will be developed over the next year and brought back to the property owners for review and approval. If we do not complete the above changes by November 30, 2016 the next time any changes can be made to our Subdivision Restrictions will be November 30, 2026. September 20, 2016 Page 3

This is a very ambitious undertaking by your new board of directors to deliver some positive changes for Venice Shores over the next year. It is important that you understand the three changes above and their impact before you are asked to sign a petition. This will help the board complete their task faster as they go door to door. These are not complex changes so please read and understand them and have questions ready. Please help the board make a positive impact on Venice Shores for our future. Thank you for your help, John Gabor President, VSPOA Additional Items: 1. If you have a copy of your most current deed please have it ready for review. If your signatures do not match the filed deed at the county it will not count on the petition. 2. If your property is in a trust we will need a copy of the title and signature page(s) of the trust to file with the petitions. We do not need to read or a copy of the complete document. 3. Once you sign a petition you cannot change your mind later and remove your name. 4. Not signing the petition is a NO vote. 5. If you have a spouse who has passed away and you have not updated your deed at the county, we will also need a photocopy of the death certificate. 6. We have assigned lead board members by street with their contact information to coordinate this process. Please contact them as soon as possible to schedule a signing time or to inform them that you are not in agreement with the changes. STREET CONTACT PHONE # North River John Gabor 248-640-3407 Clairpointe Karl Bobcean 586-493-9159 Gloca Mora Scott Hall 586-463-3683 San Juan Kevin Paton 586-292-1770 Windmill Mark Deldin 586-615-1378 Bayhaven James Faircloth 586-549-2255 September 20, 2016 Page 4

SECOND AMENDED AND RESTATED SUBDIVISION RESTRICTIONS VENICE SHORES SUBDIVISION VENICE SHORES SUBDIVISION NO. 1 VENICE SHORES SUBDIVISION NO. 2 VENICE SHORES SUBDIVISION NO. 3 AMENDED OCTOBER 2, 1981 (VSPOA and VSPOA NO. 1) AMENDED NOVEMBER 29, 1986 (VSPOA NO. 2 and VSPOA NO. 3) AS FURTHER AMENDED ON NOVEMBER 29, 2016, WHICH SUPERSEDES AND REPLACES ALL PRIOR SUBDIVISION RESTRICTIONS The undersigned being the owners of lots within VENICE SHORES SUBDIVISION, VENICE SHORES SUBDIVISION NO. 1, VENICE SHORES SUBDIVISION NO. 2 and VENICE SHORES SUBDIVISION NO. 3, of part of the land in private claims 140, 373 and 374, Town 2 North, Range 14 East, Harrison Township, Macomb County, Michigan as recorded in Liber 33, Pages 44 and 45, Liber 34, Pages 31 and 32, Liber 39, Pages 46 and 47, and Liber 41, Pages 49 and 50. For the purpose of providing a uniform plan for the improvement and use of the lots in said subdivisions to the end that the value and appearance of said subdivisions may be protected, certain Subdivision Restrictions were recorded in Liber 1075, Pages 382 through 385, inclusive, and Liber 1337, Pages 276 through 279, inclusive. Pursuant to the terms of the Subdivision Restrictions, these Subdivision Restrictions were subsequently amended and recorded in Liber 3368, Pages 387 through 419, inclusive, and Liber 4079, Pages 11 through 40, inclusive. According to the terms set forth in the Subdivision Restrictions, as amended, which provide for further amendment, the undersigned do hereby declare that all lots in said VENICE SHORES SUBDIVISION, VENICE SHORES SUBDIVISION NO. 1, VENICE SHORES SUBDIVISION NO. 2 AND VENICE SHORES SUBDIVISION NO. 3 are expressly subject to the following agreements, covenants and restrictions which shall apply to and run with all land included within the aforementioned VENICE SHORES SUBDIVISIONS. 1. LAND USE AND BUILDING TYPE No lot shall be used except for residential purposes. No building shall be erected, altered, placed or permitted to remain on any lot other than one single family detached dwelling unit not exceeding two stories in height whose usable living space, exclusive of open or closed porches, open breezeways, basements, and garages, shall not be less than the following: (a) 1 Story 1200 sq. ft. (b) 2 Story 800 sq. ft. on first floor 1500 sq. ft. total (c) 1 ½ Story 1000 sq. ft. on first floor 1400 sq. ft. total (d) Multi-Level 1200 sq. ft. exclusive of any below grade level areas September 20, 2016 Page 5

No detached garages, boathouses, or any building other than the single family dwelling is permitted on any lot. Existing boathouses may not be enlarged nor may they be re-erected if torn down. No residential building sites shall be smaller than one lot as shown on the recorded plat., except lots #232 thru #257 which may exclude the land east of the canal abutting said lots. No dwelling shall cover more than thirty (30) percent of the lot area. No front elevation in any five (5) consecutive dwellings shall be the same; or be similar, but appear to differ due to minor changes in construction or color. Each of the five (5) dwellings shall have an entirely different front elevation. No old buildings may be moved onto the subdivision, and no used materials may be used for construction except reclaimed brick of the hard-burned variety. Shingle, wood, asbestos, metal, plastic, or siding of any other kind may be used as finished exterior, but shall not exceed twenty-five (25) percent of the total exterior surface, excluding roof area. The balance of the finish exterior, excluding windows and doors, must be brick, split rock, or stone individually mortared into place on site. No building shall be erected, placed or altered on any lot until the construction plans, specifications and a site plan showing the location and lot number of the structure have been approved by the Building Committee of the Venice Shores Property Owners Association as having met the terms of these recorded restrictions. 2. BUILDING LOCATION All dwellings erected on any residential lots shall be located no less than twenty-five (25) feet from the front lot line which shall establish the building line for the street. On any lot having a curved front lot line, the dwelling shall be located thirty-five (35) feet from the middle point of the front lot line. Projections forming a part of the residence shall be construed as part of the residence and must be constructed within the building line. Bay window, vestibules, sun parlors, enclosed porches and other attached and enclosed structures and projections shall be considered as a part of the residence and shall be constructed within the building line. Steps and open porches shall not be construed as part of the residence. Vestibules shall not be construed as part of an open porch, but shall be considered as an enclosed porch to be constructed within the building line. All single residential dwellings in this subdivision shall be erected so as to provide a minimum of ten (10) feet of side yards with at least five (5) feet on one side and five (5) feet on the other side. Provided however that such provision does not conflict with the requirements of the building code or zoning ordinance of Harrison Township then existing. Side drives shall be placed on the right side of the house when viewed from the street and facing the house, except that on lots abutting on corners the entrances to garages may be from the abutting street without regard to whether it is on the right or left side of the house. Dwellings on corner lots that adjoin lots at the rear which face a side street shall maintain a front yard of twenty-five (25) feet on both the front and side street. Garages which face a side street on which dwellings also face in the same block shall be located twenty-five (25) feet from the street. September 20, 2016 Page 6

3. GRADE LINE The grade line of all residential buildings constructed on any street of this subdivisions shall not be less than twelve (12) inches nor more than twenty (20) inches above the established side-walk grade in front of the premises. 4. FENCES No fences shall be placed on any residential lot within twenty-five (25) feet of the front line and only ornamental wire or iron or open wooden fences not exceeding four (4) feet in height shall be placed on any portion of said lot. 5. TEMPORARY STRUCTURES Structures of a temporary character are expressly prohibited within these subdivisions and no trailer, tent, garage, basement, shed or any other out buildings shall be used on any lot at any time as a residence, either temporarily or permanently. Sheds or workshops for use in connection with the building of permanent buildings which shall be used in the course of construction upon such lots may be erected, but must be removed when the permanent structures are completed. 6. EASEMENT No structure of any kind (other than an ornamental fence) shall be erected on any easement reserved for installation and maintenance of public utilities. 7. No noxious or offensive activity shall be carried on upon any lot nor shall anything done thereon which may be or may become an annoyance or nuisance to the neighborhood. No lot shall be used or maintained as a dumping ground for rubbish, trash, garbage or other waste. Equipment for the storage or disposal of such material shall be kept in clean and sanitary condition. No animals, livestock, or poultry of any kind shall be raised, bred or kept on any lot except that dogs, cats or other household pets may be kept provided that they are not kept, bred, or maintained for any commercial purpose. 8. SIGNS No signs of any kind shall be erected or maintained to display to the public view on any lot except one professional sign of not more than one square foot, one sign of not more than five square feet, advertising the property for sale or rent, or signs of any legal size used by a builder or real estate broker to advertise the property during the construction or sales period. Signs must be maintained in good condition at all times and must be removed on termination of the use. September 20, 2016 Page 7

9. CANAL USAGE Nothing shall extend into the canals as platted from any property at any time, e.g., watercraft, seawalls, piers, pilings, catwalks, etc. Existing, non-conforming, fixed structures are excluded from this covenant until such time as they are altered or replaced. Canals are for the recreational use of the property owners. Commercial use by boat liveries, marinas, or any other rental, repair or sales business is prohibited. 10. MOTOR HOME PARKING The parking of motor homes in the front or rear yards is prohibited. Side yard parking of said vehicles is allowed between the front line and rear line of the house. 11. INTERRUPTION OF THE NATURAL FREEZING OF WATERWAYS Any bubbling device or other mechanical or artificial means to interrupt the natural freezing of any canal must comply with the following: 1) The portion of open water accessible from the canal must be marked and protected by fencing or a grab line. 2) At least two reflectorized warning signs, no smaller than one-bytwo feet, with the word "DANGER" in reflectorized letters printed no smaller than six inches high must be prominently displayed. 3) All systems must be controlled such that the open water not extend beyond the lot line or more than four feet from the boat at the water line when the ice has obtained a thickness of four inches. 12. VENICE SHORES PROPERTY OWNERS ASSOCIATION MEMBERSHIP The owner or owners of each lot shall be members of the Venice Shores Property Owners Association. This membership is mandatory and entitles the owner, or owners collectively, one vote at all Association Meetings for each lot owned. The "owner" or "owners" as set forth herein shall be defined as the legal titleholders of record on March 1 st of each year. 13. ASSOCIATION DUES AND ASSESSMENTS 1. The Association may, in its discretion, assess an annual dues and/or assessment. Any such dues and/or assessments shall be assessed equally against each member of the Association, and for each lot owned, regardless of size, shape, value or location and whether developed or undeveloped, and payment of said membership dues and/or assessment shall be mandatory and enforceable commencing March 1, 1987. September 20, 2016 Page 8

2. The amount of the annual dues and/or assessment shall be governed by the Association By-Laws and may be amended or revised at the Annual Meeting of the Association by a majority vote of the members present at the annual Meeting. The dues and/or assessment shall be due and payable on March 1 st of each year. Any member whose dues and/or assessment shall remain unpaid as of the following June 15 th shall be deemed delinquent. The Board of Directors of the Association shall record with the Macomb County Register of Deeds a Notice of such delinquency against each lot owned by the delinquent member, showing the amount due and owing, and such Notice shall act as a lien upon the delinquent member's lot, and any subsequent titleholder of such lot shall assume the indebtedness of the delinquent member. The Board of Directors shall discharge the lien only upon payment in full of the amount due and owing by the delinquent member, plus recording costs and attorney fees sustained in effectuating and discharging the lien. 3. In the event a member shall be deemed delinquent in the payment of his dues and/or assessment, all rights and privileges of said delinquent member, including the right to vote at Association Meetings, shall be suspended during the period of delinquency. Upon payment in full of any and all dues and/or assessment due and owing by the delinquent member, all rights and privileges, including the right to vote at Association Meetings, shall be restored to said member. 4. The Board of Directors of the Association may commence litigation, or proceed with any legal remedy then available, against a delinquent member in order to enforce the payment of the dues and/or assessment due and owing. The enforcement shall include, but shall not be limited to, the commencement of an action to enforce these Deed Restrictions with any and all remedies allowable by law. All legal costs, including Court cost and attorney fees, shall be taxed against the delinquent member and added to the amount then due and owing by said delinquent member. 5. The dues assessed under the provisions of this Deed Restriction and Association By- Laws shall be deposited in the General Fund of the Association for use in the general operating expenses of the Association. 6. The assessment assessed under the provision of this Deed Restriction and Association By-Laws shall be deposited in a Special Account established and held for the purpose of payment of the expenses and costs of canal maintenance and dredging approved by the Board of Directors. 7. Any member shall be entitled to inspect the books and records of the Association Treasurer upon proper application, at a convenient time and place. Such books and records of the Association Treasurer shall be subject to audit at the direction of the Board of Directors or by a vote of the majority of the members present at the Annual Meeting. The Association Treasurer must be bonded. 8. The dues and assessment set forth herein shall become mandatory and enforceable on March 1, 1987 and the enforcement provisions set forth hereinabove shall not be effective until said date. Enforcement may commence only on dues and/or assessment payable after March 1, 1987. September 20, 2016 Page 9

9. For purposes set forth herein: 14. TERM A. "Association" shall mean Venice Shores Property Owners Association. B. "Board of Directors" shall mean the Directors of said Association as elected according to its By-Laws. C. "Owner" shall mean all legal titleholders of a lot, collectively, as of March 1 st of each year. D. "Member" shall mean the owner of a lot subject to these Deed Restrictions. The covenants and restrictions are to run with the land and shall be binding on all parties hereto and all persons claiming under them until November 30, 2017, after which time said covenants shall be automatically extended for successive periods of five (5) years (November 30, 2022, November 30, 2027, etc) unless an instrument signed by a majority of the then owners of the lots has been recorded agreeing to change said covenants and restrictions in whole or part. 15. ENFORCEMENT The restrictions and conditions contained in this instrument shall operate for the benefit of any of the owners of land in this sub and may be enforced by the parties hereto or the owner of any lot in said tract by proceedings at law or in equity against any person or persons violating or attempting to violate any covenant either to restrain violation or to recover damages. 16. SEVERABILITY Invalidation of any of these covenants by judgment or court order shall in no wise affect any of the other provisions, which shall remain in full force and effect. September 20, 2016 Page 10