Casa del Mar CONDO OWNER INFORMATION

CASA DEL MAR HOMEOWNERS ASSOCIATION RULES AND REGULATIONS

• Maximum Occupancy per unit is 4 adults and 2 children as per the Galveston Fire Code. This occupancy restriction also applies to use of the common areas and swimming pools. Children under the age of 18 must be accompanied by their parents at all times. Swimming pool rules are posted in the pool areas.
  
• No animals or pets of any kind are allowed in the units or on the common areas at any time.
  
• Balconies must be kept free of clutter and are not to be used for storage of personal or household items. Please do not hang clothing, towels or decorations from the balconies. Wind chimes, flags and hanging plants are not allowed; potted plants should be kept to a minimum and maintained in a neat, healthy condition. No items are allowed to be adhered to or penetrate the exterior of the building or balconies. Storm blinds must be approved by Management prior to installation.
  
• No signs, foil, cardboard, or any other item visible from the exterior, shall be displayed in the window of any unit. Only white backed drapes and white security bars or storm blinds are allowed on windows.
  
• All vehicles must be parked in designated parking areas and must have the proper parking permit. A maximum of two permits are allowed per unit. There is no assigned parking. No boats, trailers, recreational vehicles, etc. are allowed to park on property without advance permission of Management
  
• Owners and guests may not make or permit loud, disturbing or objectionable noise. Stereos, TVs and radios must be played at a volume so as not to disturb other occupants of the building. Contractors and/or owners who are performing work on the property must not perform loud work which could disturb others before 9am, after 5pm or on weekends.
  
• Any common sidewalks, driveways or parking areas, may not be obstructed or used by any owner or guest as a play area; for use of bicycles, rollerblades or skateboards, or for any other purpose than ingress or egress. Bicycles must be kept either inside your unit or locked securely onto the bicycle racks provided on the ground level. Bicycles secured to the racks must be maintained in working condition. The common are water hoses are not to be used by non-employees.
  
• Trash receptacles are located throughout the property; we appreciate everyone keeping the property clean by placing all household trash in the proper receptacles. The Dumpsters located at the rear of the property are to be used for household trash only. Owners are responsible for removal of any other items from the property, i.e. discarded furniture, water heaters, air-conditioning systems, etc.
  
• Barbecue grills, hibachis or smokers are never to be used or stored on the balconies, in the units or in the hallways of the project as per the City of Galveston Fire Ordinance. Barbecue pits are located on the west side of the property for use by all owners and guests.
  
• All owners and guests must wear appropriate attire for a family establishment when in common areas or limited common areas, specifically clothing which conceals the person in a manner suitable for a family atmosphere. Consumption of alcoholic beverages is not allowed in the common areas or at the swimming pools.
  
• Access to the roofs by an owner's contractor may be obtained 8am to 4pm. Contractors are responsible for properly disposing of old air conditioners and leaving their work areas free of any trash or debris.
  
• Owners are responsible for the maintenance of the interiors of their units and may hire outside professional contractors to make necessary repairs. Access to units must be provided by the owner, keys to private units are not available at the office. In the event of an emergency or in order to prevent damage to units and based on available personnel, interior work may be performed by the Association's on-site staff. Any service calls (including lock outs) will be billed at a rate of $60 per hour plus parts. Only an owner may request or authorize billable repairs.
  
• In the event Casa del Mar is your permanent residence, the front desk must be notified to hold your mail. No large parcels (maximum 12" x 12") can be accepted at the desk. Arrangements must be made to have parcels delivered directly to the unit and they must be accepted by the owner/guest.
  

Casa del Mar Construction Projects

At a Special-called meeting of the Owners, held August 5, 2006 in Casa del Mar's brand new 2,500 square foot meeting facility, a large majority of the Owners voted in favor of two major improvement projects which are now complete and have dramatically enhanced the overall appearance of Casa del Mar. These projects mark the completion of a property wide re-modeling effort which began several years ago. We believe these projects have allowed the owners to experience increased property values as well as a new found pride in Casa del Mar.

The first phase of this final project included the removal of all four stair towers located at the north end of the property and the adjoining walkways which serve as access to units located to the north of the central elevators.

The second phase of the project included the complete removal and reconstruction of all remaining unit balconies, the removal of the original cedar siding and the installation of new fire-resistive Hardi-plank siding throughout the property. The design of these balconies is similar to those on the south side of the property which were previously remodeled during the 2005 and 2006 improvement projects.

We are excited to have this major project complete for the enjoyment of our owners and guests and are proud to have Casa del Mar reclaim its position as the original leading condominium property on Galveston Island!

The contract for this work was awarded to and complete by Jamail Construction. Jamail has worked for nearly ten years with Casa del Mar's design team, including Gossen & Livingston Architects, Pinnacle Engineering and Resort Group, managing agent, completing the interior remodel and all structural steel renovations outlined above. Negotiations and value engineering reduced the original estimated of the cost of the recently approved projects in excess of one million dollars.

Construction of the Phase III project began in the fall of 2006 and was complete in the winter of 2007. Over the past 8 years, Casa del Mar has undergone a property wide remodel which has included; $ 400,000 on a new roof (2001); $ 1,400,000 on the replacement of the central stair towers and elevators, Phase I (2002-2003); $ 5,000,000 on the replacement of the south stair towers and elevators, new meeting room, remodeled lobby and the replacement of all south facing balconies, Phase II (2004-2007). The final project, Phase III, in the amount of $ 5,200,000, completes the overall remodel/reconstruction of one of Galveston Island's leading condominium properties. Additionally, the Rental Association has spent over $1,600,000 on refurbishing the interiors of over 180 units which participate in Casa del Mar's rental program (1997 - 1999).

The majority of these funds have been contributed by the Owners in previously approved Special Assessments, leaving the Homeowners Association with long-term financing obligations of less than ten percent of the combined cost of these improvements. The Owners, who have experienced dramatic increases in property values, are looking forward to having Casa del Mar reclaim its position as the original leading condominium property in Galveston, located at 61st and Seawall, the premier location on Galveston Island.

It should also be noted for prospective property owners that Phase II and Phase III were financed by a combination of sources, including a special assessment to each unit, a portion of common area fees devoted to the project and bank loans. The per unit special assessment for Phase II was $11,200 and the per unit special assessment for Phase III was $18,550. Final payment for each of the projects was due on September 15, 2007.

We are excited to continue to improve the property for the enjoyment of our owners and guests and are looking forward to having Casa del Mar reclaim its position as the original leading condominium property on Galveston Island! If you have additional questions regarding the construction projects, please contact Theresa Elliott at 409-740-2431.

Rental Association Information

• 150 of the 276 owners at Casa del Mar are members of the Rental Association.
  
• The Rental Association has its annual meeting in January of each year and all members are notified of the meeting.
  
• The Rental Association of Casa del Mar was established in 1988 (as a non-profit corporation) and is managed by Resort Group, Inc.
  
• There is a $100 subscription fee required to join the Rental Association which is non-refundable and non-transferable.
  
• If you purchase a unit which was previously in the Rental Association, the unit will be considered to be up to "rental standards" and you will not have to upgrade your unit. If you purchase a private (non-rental) unit, you will most likely have to purchase new carpet, sofa and chair, bedspreads and drapes, install tile and new wallpaper in the bathroom, as well as various other improvements in order to bring the unit up to rental standards. These items have been replaced/updated in all rental units as part of the on-going refurbishing projects of the Rental Association. A percentage of rental revenue is accumulated each month and is put into a reserve fund to pay for these refurbishments. This is one of the benefits of being in the Rental Association. The costs to upgrade a private unit to rental standards may be obtained by having a manager inventory the unit and give an estimate of the costs involved.
  
• Each month, all of the revenue (rental income) is put into one "pot" and all of the expenses (maintenance, cleaning & office supplies, utilities, employee wages, etc.) are put into another "pot". The expenses are deducted from the revenues to arrive at the profit. The profit is divided equally among the owners in the Rental Association and checks are issued accordingly. You will receive a profit and loss statement each month from the Rental Association. (The Rental Association is completely separate from the Homeowners Association and Homeowner Association dues are not deducted from Rental proceeds. Homeowner Association dues, property taxes, interior liability and content insurance are payable separately by each owner.)
  
• The amount of your rental check will fluctuate from month to month. During the busy summer season you can expect large check amounts and during the slower fall and winter seasons the check amounts will, in most cases, decrease considerably.
  
• The Rental Association maintains and oversees replacement of all appliances and equipment (including air conditioning systems) for all rental units which have been in the Rental Association for three or more years.
  
• Each rental unit's electricity and phone service are paid for by the Rental Association.
  
• The Rental Association has an extensive marketing and sales program to promote the hotel. We advertise in newspapers, trade magazines, on the internet and we participate in many special promotions and package plans.
  
• You may use your unit upon request by simply calling our toll free reservations line and making reservations. If your unit is occupied, we will assign another unit for your use. You should make reservations as far in advance as possible to ensure that we have your unit available. (The toll free line should not be used for business questions on statements, etc., as it is used for reservations only.) Owners are encouraged to use their units during non peak times whenever possible.
  
• In the event you occupy your unit for a period of three or more consecutive weeks, the owner will be responsible for paying $15 for phone service, $25 for check-out housekeeping service and the electricity bill for the period of time the unit was unavailable for rental. Owners may occupy their units a maximum of three weeks March - August and a maximum of three months September - February.
  
• There is no charge for you to use your unit, however, you will not receive revenue for the days your unit is unavailable for rent due to owner usage. You will see a deduction in revenue for owner occupied days on your monthly statement based on the pro-rata earnings per day for the month. There is a charge for the maid service to clean your unit after you occupy it which is currently $15.00 and that charge can be billed to your statement or paid upon check-out.
  
• If you wish to let a friend or relative use your unit free of charge, the above stated policy applies. Please note that we will only take reservations from actual owners, not their relatives or friends. You should always indicate whether the guest will be responsible for the maid service charges or if you wish to be billed for them.
  
• A copy of the Rental contract will further explain the details of the Rental Association
  

If you have additional questions, please call Theresa Elliott at (409) 740-2431.

Rental Association Owner Rental Checks

Below is a list of the yearly total of the rental checks which were issued to owners with units in the rental pool. Homeowner Association Dues are not deducted prior to Rental checks being issued. Homeowner's dues, taxes, and insurance are payable separately by each individual homeowner.