05-090
CITY OF SHOREWOOD
RESOLUTION NO. 05-090
A RESOLUTION APPROVING THE FINAL PLAT OF
LAKE VIRGINIA WOODS
WHEREAS, the final plat of Lake Virginia Woods has been submitted in the manner
required for the platting of land under the Shorewood City Code and under Chapter 462 of
Minnesota Statutes, and all proceedings have been duly had thereunder; and
WHEREAS, said plat is consistent with the Shorewood Comprehensive Plan and the
regulations and requirements of the laws ofthe State of Minnesota and the City Code ofthe City
of Shorewood.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of
Shorewood as follows:
1. The plat of Lake Virginia Woods is hereby approved.
2. The approval is specifically conditioned upon the Developer recording the
Development Agreement attached hereto and made a part hereof as Attachment I.
3. The Mayor and City Administrator/Clerk are authorized to execute the Certificate
of Approval for the plat on behalf of the City Council.
4. The final plat, together with this resolution, and the Development Agreement
shown as Attachment I shall be recorded within sixty (60) days of the date of
certification of this Resolution.
BE IT FURTHER RESOL YED, that the execution of the Certificate upon said plat by
the Mayor and City Administrator/Clerk shall be conclusive, showing a proper compliance
therewith by the subdivider and City officials and shall entitle such plat to be placed on record
forthwith without further formality, all in compliance with Minnesota Statutes and the
Shorewood City Code.
ADOPTED BY THE CITY COUNCIL OF THE CITY OF :J;J;OREWOOD this 26th day of
September 2005.
a
WOODY LOVE, MAYOR
ATTEST:
. DAWSON, CITY ADMINISTRATOR/CLERK
CITY OF SHOREWOOD
DEYELOPMENTAGREEMENT
LAKE VIRGINIA WOODS
THIS AGREEMENT, made this 2nd day of May , 2006, by and
between the CITY OF SHOREWOOD, a Minnesota municipal corporation, hereinafter
referred to as the "City", and Virginia Shores Development, LLC, a limited liability
corporation, hereinafter referred to as the "Developer".
WHEREAS, the Developer has an interest in certain lands legally described in Exhibit
A, attached hereto and made a part hereof, which lands are hereinafter referred to as the
"Subject Property"; and
WHEREAS, Developer proposes to develop the Subject Property into thirteen (13)
single-family residential lots; and
WHEREAS, the Developer has made application for a preliminary plat for the
property with the Zoning Administrator, which preliminary plat was considered by the
Planning Commission at their meeting held on 7 June 2005, and at a meeting ofthe City
Council on 25 July 2005; and
WHEREAS upon recommendation of the Planning Commission, the City Council did
consider and grant preliminary plat approval; and
WHEREAS, the Developer has filed with the City the Final Plat for "Lake Virginia
Woods", a copy of which plat is attached hereto and made a part hereof as Exhibit B;
NOW, THEREFORE, in consideration of the mutual covenants and guarantees
contained herein, the parties hereto agree as follows:
1) Conditions of Approval- The Developer shall comply with the conditions of
approval as set forth in Shorewood Resolution No. 05-066, attached hereto as Exhibit C. In
addition, development ofthe property is subject to the requirements of the R-1A1S, Single-
Family ResidentiaVShoreland zoning district.
(01) Minimum setbacks (for all structures) shall be as follows:
(a) Front:
(b) Rear:
(c) Side minimum/total:
(d) Side yard abutting a street:
(e) Wetland buffer/Setback:
50 feet
50 feet
10/30 feet
50 feet
35/15 feet
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Attachment I
(02) Maximum building height, as defined by the Shorewood Zoning Code, shall be
two and one-half stories or 35 feet, whichever is less.
(03) The Developer shall comply with the requirements of Shorewood's wetland
code (Chapter 1102) and the Wetlands Conservation Act of 1991 [Minn. Stat. 103
G.22l et. seq. (hereinafter refelTed to as the WCA)]. It is the intent ofthis agreement
that areas adjacent to wetlands be maintained in their natural state.
(a) A minimum 35-foot buffer strip shall be maintained adjacent to all
wetlands.
(b) Natural vegetation shall be maintained in wetland buffer strips. Where
disturbed by site development, wetland buffer strips shall be restored with
natural vegetation.
(c) Wetland buffer strips shall be identified within each lot by permanent
monumentation approved by the City. The Developer shall provide to the City
a map showing the location of proposed wetland monuments and a
conservation easement over the wetland buffer area.
(d) A monument is required at each lot line where it crosses a wetland
buffer strip and as necessary to establish required setbacks from the wetland
buffer strip. Monuments shall be placed within 60 days of completion of site
grading or prior to issuance of a building permit, whichever occurs first.
( e) The Developer shall record with the Hennepin County Recorder or
Registrar of Titles, a notice of the wetland buffer requirement against the title
of each lot with a required wetland buffer strip.
(f) No structures, including, but not limited to, decks, docks, patios, and
play equipment may be located in the wetland buffer strip or the required
wetland setback area, except that fences shall be allowed within the wetland
setback area.
(g) No artificial obstructions, including, but not limited to, decks, docks,
patios, and play equipment may be located within the wetland area. No cutting
of wetland vegetation or dredging shall be allowed within the wetland area.
2.) Improvements Installed by Developer - Developer agrees at its expense to
construct, install and perform all work and furnish all materials and equipment in connection
with the installation of the following improvements:
(0 l) All site grading including building pad correction where needed;
(02) Street grading, stabilizing and bituminous surfacing;
(03) Surmountable concrete curb and gutter;
(04) Sanitary sewer;
(05) Water main laterals or extensions, including all necessary building services,
hydrants, valves and other appurtenances;
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(06) Storm sewer and surface water drainage facilities;
(07) Street name signs and traffic control signs;
(08) Required tree preservation, reforestation and landscaping;
consistent with the plans and specification prepared by Otto Associates, dated 13 April 2006,
and received and approved by the City Engineer.
It is understood that underground utility lines, including gas, electric, telephone, and television
cable shall be installed by the respective private utility companies pursuant to separate
agreements with the Developer.
3.) Final Plat, Grading, Drainage and Utility Plan, Building Plan - The Developer
has filed with the City Clerk the final plat titled Lake Virginia Woods for the development of
the Subject Property. Said plat is attached hereto and made a part hereof as Exhibit B. Said
final plat, together with the grading, drainage, and utility plans, referenced in paragraph 2
above and this Development Agreement, is herewith adopted and approved by the City.
4.) Pre-construction Meeting - Prior to the commencement of construction,
Developer or its engineer shall arrange for a pre-construction meeting to be held at Shorewood
City Hall. Such meeting shall be coordinated with the City Engineer and shall include all
appropriate parties specified by the City Engineer.
5.) Standards of Construction - Developer agrees that all of the improvements set
forth in paragraph 2 above shall be constructed and installed in accordance with engineering
plans and specifications approved by the City Engineer and the requirements of applicable
City ordinances and standards, and that all of said work shall be subject to final inspection and
approval by the City Engineer.
6.) Materials and Labor - All of the materials to be employed in the making of said
improvements and all of the work performed in connection therewith shall be of uniformly
good and workmanlike quality, shall equal or exceed the quantities and qualities required by
the approved plans and specifications, and shall be subject to inspection and approval ofthe
City, which approval shall not be unreasonably withheld ifthe materials and work are
consistent with the plans and specifications and the standards set forth herein. In case any
materials or labor supplied shall be rejected by the City as defective or unsuitable, then such
rejected materials shall be removed and replaced with approved materials, and rejected labor
shall be done anew to the reasonable satisfaction and approval of the City at the cost and
expense of Developer.
7.) Schedule of Work - The Developer shall submit a written schedule in the form
of a bar chart indicating the proposed progress schedule and order of completion of work
covered by this Agreement. It is understood and agreed that the work set forth in paragraph 2,
except the final lift of asphalt, shall be performed to be completed by 1 November 2006. The
final lift of asphalt shall be completed by 1 July 2007. Upon receipt of written notice from the
Developer of the existence of causes over which the Developer has no control, that will delay
,..,
:J
the completion of the work, the City, at its discretion, may extend the dates specified for
completion.
8.) As-Built Plan - Within sixty (60) days after the completion of construction of
the Improvements, Developer shall cause its engineer to prepare and file with the City a full
set of "as-built" plans, including a mylar original and four (4) black line prints, showing the
installation ofthe Improvements within the plat. Failure to file said "as-built" plans within
said sixty (60) day period shall suspend the issuance of building permits and certificates of
occupancy for any further construction within the plat until the documents called for herein
are filed.
9.) Easements - Developer, at its expense, shall acquire all easements from
abutting property owners necessary to the installation of the sanitary sewer, water main, storm
sewer, and surface water drainage facilities within the plat, if and to the extent required by the
Mim1ehaha Creek Watershed District, and thereafter promptly assign said easements to the
City.
lO.) Pre-existing Drain Tile - All pre-existing drain tile disturbed by Developer
during construction shall be restored by Developer.
1l.) Staking, Surveying and Inspection - It is agreed that the Developer, through its
engineer, shall provide for all staking and surveying for the above-described improvements
and delineation ofthe wetland buffer areas. In order to ensure that the completed
improvements conform to the approved plans and specifications, the City will provide for
resident inspection as determined necessary by the City Engineer.
12.) Grading, Drainage, and Erosion Control - Developer, at its expense, shall
provide grading, drainage and erosion control plans to be reviewed and approved by the City
Engineer. Said plans shall provide for temporary dams, earthwork or such other devices and
practices, including seeding of graded areas, as reasonably necessary, to prevent the washing,
flooding, sedimentation and erosion oflands and streets within and outside the plat during all
phases of construction. Developer shall keep all streets within, and adjacent to, the plat free
of all dirt and debris resulting from construction therein by the Developer, its agents or
assignees.
13.) Street Signs - Developer, at its expense, shall provide standard city street
identification signs and traffic control signs in accordance with the Minnesota Manual on
Uniform Traffic Control Devices, as directed by the City Engineer.
14.) Access to Residences - Developer shall provide reasonable access, including
temporary grading and graveling, to all residences affected by construction until the streets are
accepted by the City.
15.) Occupancy Permits - The City shall not issue a certificate of occupancy until
all Improvements set forth in paragraph 2, except the final lift of asphalt, are completed and
approved by the City Engineer.
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16.) Final Inspection - At the written request of the Developer, and upon
completion of the Improvements set forth in paragraph 2 above, the City Engineer, the
contractor, and the Developer's engineer will make a final inspection of the work. When the
City Engineer is satisfied that all work is completed in accordance with the approved plans
and specifications, and the Developer's engineer has submitted a written statement attesting to
same, the City Engineer shall recommend that the improvements be accepted by the City.
l7.) Conveyance of Improvements - Upon completion of the installation by
Developer and approval by the City Engineer of the improvements set forth in paragraph 2
above, the Developer shall convey said improvements to the City free of all liens and
encumbrances and with warranty of title, which shall include copies of all lien waivers.
Should the Developer fail to so convey said improvements, the same shall become the
property of the City without further notice or action on the part of either party hereto, other
than acceptance by the City.
l8.) Replacement - All work and materials performed and furnished hereunder by
the Developer, its agents and subcontractors, found by the City to be defective within one year
after acceptance by the City, shall be replaced by Developer at Developer's sole expense.
Within a period of thirty (30) days prior to the expiration of the said one-year period,
Developer shall perform a televised inspection of all sanitary sewer lines within the plat and
provide the City with a VHS videotape thereof.
19.) Restoration of Streets, Public Facilities and Private Properties - The Developer
shall restore all City streets and other public facilities and any private properties disturbed or
damaged as a result of Developer's construction activities, including sod with necessary black
dirt, bituminous replacement, curb replacement, and all other items disturbed during
construction.
20.) Reimbursement of Costs - The Developer shall reimburse the City for all costs,
including reasonable engineering, legal, planning and administrative expenses incurred by the
City in connection with all matters relating to the administration and enforcement of the
within Agreement and the performance thereof by the Developer. Such reimbursement of
costs shall be made within thirty (30) days of the date of mailing of the City's notice of costs
to the address set forth in paragraph 29 below.
21.) Claims for Work - The Developer or its contractor shall do no work or furnish
no materials not covered by the plans and specifications and special conditions ofthis
Agreement, for which reimbursement is expected from the City, unless such work is first
ordered in writing by the City Engineer as provided in the specifications. Any such work or
materials which may be done or furnished by the contractor without such written order first
being obtained shall be at its own risk, cost and expense.
22.) Surety for Imt>rovements - Deposit or Letter of Credit - For the purpose of
assuring and guaranteeing to the City that the improvements to be constructed, installed and
furnished by the Developer as set forth in paragraph 2 above, shall be constructed, installed
and furnished according to the tenns of this Agreement, and to ensure that the Developer
submit to the City as-built plans as required in paragraph 8 and that the Developer pay all
5
claims for work done and materials and supplies fumished for the performance ofthis
Agreement, the Developer agrees'to furnish to the City either a cash deposit or an irrevocable
letter of credit approved by the City in an amount equal to 150% ofthe total cost of said
Improvements estimated by the Developer's engineer and approved by the City Engineer.
Said deposit or letter of credit shall remain in effect for a period of one year following the
completion of the required improvements. The deposit or letter of credit may be reduced in
amount at the discretion ofthe City upon approval by the City of the partially completed
Improvements, but in no event shall the deposit or letter of credit be reduced to an amount less
than 125% of the cost ofthe remaining Improvements. At such time as the Improvements
have been approved by the City,. such deposit or letter of credit may be replaced by a
maintenance bond. Any letter of credit shall contain language stating that the Developer's
lender shall, 30 days prior to the expiration of the letter of credit, notify the City by certified
mail that the letter of credit will not be renewed.
23.) Insurance - The Developer shall take out and maintain public liability and
property damage insurance covering personal injury, including death, and claims for property
damage which may arise out of the Developer's work or the work of their subcontractors, or
by one directly or indirectly employed by any of them. This insurance policy shall be a single
limit public liability insurance policy in the amount of $2,000,000.00 and shall remain in
effect until the improvements set forth in paragraph 2 have been accepted by the City. The
City shall be named as additional insured on said policy and the Developer shall file a copy of
the insurance coverage with the City.
Prior to commencement of construction of the Improvements described in paragraph 2 above,
the Developer shall file with the City a certificate of such insurance as will protect the
Developer, his contractors and subcontractors from claims arising under the workers'
compensation laws ofthe State of Minnesota. The insurance coverage required hereby may
be supplied by the Developer's contractors and subcontractors, thereby satisfying the
requirements of this section.
24.) Laws, Ordinances, Regulations and Permits - Developer shall comply with all
laws, ordinances, and regulations of all regulatory bodies having jurisdiction ofthe Subject
Property and shall secure all permits that may be required by the City of Shorewood, the State
of Minnesota, the Minnehaha Creek Watershed District, and the Metropolitan Council
Environmental Services before commencing development ofthe plat. Building permits for
Lots 8-13 shall be subject to review and approval by the Minnesota Pollution Control Agency.
25.) Local Sanitary Sewer Access Charges (LSSAC) - Developer shall, prior to
release of the final plat by the City, make a cash payment to the City in the sum of $l5,600
($l200 for each lot) as local sanitary sewer access charges.
26.) Park Fund Payment - Developer shall, prior to release ofthe final plat by the
City, make a cash payment to the City in the sum of $26,000 ($2000 for each lot) for the Park
Fund.
27.) Municipal Water Charges - Pursuant to Shorewood City Code a $10,000
municipal water connection charge is required to be paid for each unit. The Developer has
6
agreed to extend municipal water service to the project. Pursuant to Chapter 903 of the
Shorewood City Code, the developer shall pay for the cost of installing water to the project or
the required connection charges, whichever is greater.
28.) Tree Preservation Measures - The City has adopted a Tree Preservation Policy
("Policy") which has been incorporated into the City Code. In addition to the Policy, the
Developer has prepared and the City has reviewed a detailed tree preservation plan prepared
by Lifestyle Homedesign Services, dated 2 May ,2006 ("Plan").
The Developer agrees that the tree preservation measures provided for in the Policy and in the
Plan are the responsibility of the Developer, and that the Developer shall also be responsible
for any acts of its subcontractors or agents which are in violation of either the Policy or the
Plan.
As partial security for its obligation under this paragraph 28, the Developer agrees that prior to
the issuance of each building permit, it will provide for two thousand dollars ($2000) in cash
or letter of credit per lot to be deposited with the City as security for such obligation.
29.) Notices - All notices, certificates and other communications hereunder shall be
sufficiently given and shall be deemed given when mailed by certified mail, return receipt
requested, postage prepaid, with proper address as indicated below. The City and the
Developer by written notice given by one to the other, may designate any address or addresses
to which notices, certificates or other communications to them shall be sent when required as
contemplated by this Agreement. Unless otherwise provided by the respective parties, all
notices, certificates and communications to each ofthem shall be addressed as follows:
To the City:
Zoning Administrator
CITY OF SHOREWOOD
5755 Country Club Road
Shorewood, Minnesota 5533l
With a Copy to:
Shorewood City Attorney
c/o Leonard Street & Deinard
l50 South Fifth Street, Suite 2300
Minneapolis, MN 55345
To the Developer:
Terry Pernsteiner, President
Virginia Shores Development, LLC
ll022 Tanglewood Lane, LLC
Champlin, MN 55316
30.) Proof of Title - Developer shall furnish a title opinion or title insurance
commitment addressed to the City guaranteeing that Developer is the fee owner or has a legal
right to become fee owner of the Subject Property upon exercise of certain rights and to enter
upon the same for the purpose of developing the property. Developer agrees that in the event
Developer's ownership in the property should change in any fashion, except for the normal
process of marketing lots, prior to the completion ofthe project and the fulfillment of the
7
requirements of this Agreement, Developer shall forthwith notify the City of such change in
ownership. Developer further agrees that all dedicated streets and utility easements provided
to City shall be free and clear of all liens and encumbrances.
31.) Indemnification - The Developer shall hold the City hannless from and
indemnify the City against any and all liability, damage, loss, and expenses, including but not
limited to reasonable attorneys' fees, arising from or out of the Developer's performance and
observance of any obligations, agreements, or covenants under this Agreement. It is further
understood and agreed that the City, the City Council, and the agents and employees of the
City shall not be personally liable or responsible in any manner to the Developer, the
Developer's contractors or subcontractors, materialmen, laborers, or any other person, finn or
corporation whomsoever, for any debt, claim, demand, damages, actions or causes of action of
any kind or character arising out of or by reason of the execution of this Agreement or the
performance and completion of the work and Improvements hereunder.
32.) Declaration of Covenants, Conditions and Restrictions - Developer shall
provide a copy of the Declaration of Covenants, Conditions and Restrictions, which
Declaration shall include the Conditions of Approval set forth in paragraph l) of this
Agreement and shall include the City as a signatory thereto, for review and approval by the
City prior to recording.
33.) Remedies Upon Default-
(01) Assessments. In the event the Developer shall default in the performance of
any of the covenants and agreements herein contained and such default shall not have
been cured within thirty (30) days after receipt by the Developer of written notice
thereof, the City may cause any ofthe improvements described in paragraph 2 above to
be constructed and installed or may take action to cure such other default and may
cause the entire cost thereof, including all reasonable engineering, legal and
administrative expense incurred by the City to be recovered as a special assessment
under Minnesota Statutes Chapter 429, in which case the Developer agrees to pay the
entire amount of such assessment within thirty (30) days after its adoption. Developer
further agrees that in the event of its failure to pay in full any such special assessment
within the time prescribed herein, the City shall have a specific lien on all of
Developer's real property within the Subject Property for any amount so unpaid, and
the City shall have the right to foreclose said lien in the manner prescribed for the
foreclosure of mechanic's liens under the laws of the State of Minnesota. In the event
of an emergency, as determined by the City Engineer, the notice requirements to the
Developer prescribed by Minnesota Statutes Chapter 429 shall be and hereby are
waived in their entirety, and the Developer shall reimburse the City for any expense
reasonably incurred by the City in remedying the conditions creating the emergency.
(02) Performance Guaranty. In addition to the foregoing, after notice and failure to
cure, the City may also institute legal action against the Developer or utilize any cash
deposit made or letter of credit delivered hereunder, to collect, pay, or reimburse the
City for:
8
(a) The cost of completing the construction of the improvements described
in paragraph 2 above.
(b) The cost of curing any other default by the Developer in the
performance of any of the covenants and agreements contained herein.
(c) The cost of reasonable engineering, legal and administrative expenses
incurred by the City in enforcing and administering this Agreement.
(03) Additional Remedies. Notwithstanding any other remedy available to the City
under this Agreement, the City may elect to proceed under this paragraph to remedy a
violation of Developer's obligations under paragraph 27 hereof.
(a) Upon discovery of an apparent violation of the Plan or Policy, the City
will notify the Developer in writing of the violation. The notice will
contain a description of the circumstances constituting the violation, the
provision of the Policy or Plan which is apparently violated, the steps
which must be taken to correct the violation and the date by which the
compliance must occur.
(b) If compliance has not occurred within such time, or if the violation, by
virtue of its repeated nature, seriousness or other factors are such that a
penalty may be appropriate, the matter will be scheduled for a hearing
by the City Council at a meeting not sooner than ten (lO) days
following the date on which written notice is mailed to the Developer.
(c) Following the hearing, the Council shall render its decision in writing.
If the Council determines that the Plan or Policy has been violated,
(whether or not the violation has been corrected) it may take some or all
of the following actions:
(i) impose a monetary penalty of not more than $l 000 for each
violation.
(ii) order that the Developer stop work on all construction for which
building permits have been issued; and withhold the issuance of
additional building permits until it has received assurances satisfactory
to the City that no future violations of the Plan or Policy are likely to
occur.
(iii) take any other actions or enforce any other remedies available to it
under this Agreement, the Policy or the City Code.
(03) Legal Proceedings. In addition to the foregoing, the City may institute any
proper action or proceeding at law or at equity to abate violations of this Agreement,
or to prevent use or occupancy ofthe proposed dwellings.
9
34.) Headings - Headings at the beginning of paragraphs hereof are for convenience
of reference, shall not be considered a part of the text of this Agreement, and shall not
influence its construction.
35.) Severability - In the event any provisions of this Agreement shall be held
invalid, illegal, or unenforceable by any court of competent jurisdiction, such holding shall not
invalidate or render unenforceable any other provision hereof, and the remaining provisions
shall not in any way be affected or impaired thereby.
36.) Execution of Counterparts - This Agreement may be simultaneously executed
in several counterparts, each of which shall be an original, and all of which shall constitute but
one and the same instrument.
37.) Construction - This Agreement shall be construed in accordance with the laws
of the State of Minnesota.
38.) Successors and Assigns - It is agreed by and between the parties hereto that the
Agreement herein contained shall be binding upon and inure to the benefit of their respective
legal representatives, successors, and assigns.
IN WITNESS WHEREOF, the parties hereto have caused these presents to be
executed on the day and year first above written.
DEVELOPER
Virginia Shores Development, LLC
CITY OF SHOREWOOD
By: ~
Its: Mayor
ATTEST:
10
STATE OF MINNESOTA
ss.
COUNTY OF HENNEPIN
On this ~n4 day of rv\cU../.k-- ,2006, before me, a Notary Public within
and for said County, personally appearet! Woody Love and Craig W. Dawson to me personally
known, who, being each by me duly sworn, did say that they are respectively the Mayor and
City Administrator/Clerk ofthe municipal corporation named in the foregoing instrument, and
that said instrument was signed and sealed on behalf of said corporation by authority of its
City Council, and said Mayor and City Administrator/Clerk acknowledged said instrument to
be the free act and deed of said corporation.
TWILA GROUT
NOTARY PUBLIC.. MINNESOTA
My Commission Expires Jan. 31,2010
c(llL~L tjiVld
Notary Public
STATE OF MINNESOTA
ss.
COUNTY OF HENNEPIN
" \"-.,<4-
II/I/Il . The foregoing instrument was acknowledged before me this CY day of
I Y ~J ' 2006, by Terry Pemsteiner, President, Virginia Shores Development, LLC.
TWILA GROUT
NOTARY PUBLIC.. MINNESOTA
My Commission Expires Jan. 31, 2010
((]wQL K--~
Notary Public
THIS INSTRUMENT WAS DRAFTED BY:
Shorewood Planning Department
REVIEWED BY:
Leonard Street and Dienard
l50 South Fifth Street, Suite 2300
Minneapolis, MN 55402
(TJK)
11
Legal Description:
"The South 591.36 feet of that part of the Southwest Quarter of the Southeast Quarter lying
Easterly of Smithtown Road, Section 3l, Township l17, Range 23, Hem1epin County,
Minnesota.
AND
The North 198 feet of the South 789.36 feet of that part of the Southwest Quarter of the
Southeast Quarter ofSection3l, Township ll7, Range 23, Hennepin County, Minnesota, lying
Easterly of Smithtown Road."
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CONSERVATION EASEMENT
THIS INSTRUMENT is made by Virginia Shores Development, LLC, a Minnesota limited
liability company, Grantor, in favor of the City of Shorewood, a Minnesota municipal corporation,
Grantee.
Recitals
A. Grantor is the fee owner of the property described on Exhibit A attached hereto, which
property is located in Hennepin County, Minnesota (the "Property").
B. Grantor desires to grant to the Grantee an easement, according to the terms and conditions
contained herein.
Terms of Easement
1. Grant of Easement. For good and valuable consideration, receipt of which is acknowledged
by Grantor, Grantor grants and conveys to the Grantee the following easement:
A perpetual, non-exclusive easement for conservation purposes over, under, across and
through that portion of the Property legally described on Exhibit B attached hereto (the
"Easement Area"). For informational purposes only, the Easement Area is also depicted
on the Buffer Easement Exhibit attached hereto as Exhibit C.
2. Scope of Easement. Grantor, for itself, its successors and assigns, declares and agrees
that the following prohibitions shall continue in perpetuity in the Easement Area:
(a) Natural vegetation shall be maintained in the Easement Area. Where
disturbed by site development, the Easement Area shall be restored with natural
vegetation.
(b) The Easement Area shall be identified within each lot by permanent
monumentation approved by Grantee. Grantee shall place such monumentation at
each lot line where it crosses the Easement Area and as necessary to establish
required setbacks from the Easement Area, within 60 days of completion of site
grading or prior to issuance of a building permit, whichever occurs first.
(c) Grantor shall record this Conservation Easement with the Hennepin
County Recorder or Registrar of Titles, as applicable, thereby providing record
notice of the Conservation Easement.
3609968.1
(d) No structures, including, but not limited to, decks, docks, patios, and play
equipment may be located in the Easement Area, except for fences as may be
permitted by any declaration of covenants governing the Property.
3. Grantee's Additional Rights. Grantor, for itself, its successors and assigns, grants to the
Grantee the affirmative right, but not the obligation, to do the following in the Easement Area:
(a) Enhance the slope, trees, vegetation and natural habitat within the
Easement Area at no cost to the Grantor. Any such enhancements made by
Grantee shall be maintained by Grantee, at no cost to Grantor.
(b) Enter upon the Easement Area at any time, upon reasonable notice and
opportunity to cure, to enforce compliance with the terms of this Conservation
Easement.
(c) Take such other action as the Grantee deems necessary or advisable in its
reasonable discretion to enforce compliance with the terms of this Conservation
Easement.
(d) In the event any of Grantee's activities cause damage to the Property,
Grantee shall promptly repair such damage and restore the Property to the
condition existing prior to Grantee's activities.
4. Warranty of Title. The Grantor warrants that it is the owner of the Property and has the
right, title and capacity to convey to the Grantee the Conservation Easement herein.
5. Binding Effect; Enforceability. The terms and conditions of this instrument shall run
with the land and be binding on the Grantor, and Grantor's successors and assigns. This
Conservation Easement is enforceable by the City of Shorewood acting through its City Council.
STATE DEED TAX DUE HEREON: NONE
SIGNATURES APPEAR ON FOLLOWING PAGE
3609968.1
SIGNATURE PAGE TO CONSERVATION EASEMENT
Dated this ~_ day of ~ ~ . , 2006.
GRANTOR:
VIRGINIAS ORES DEVELOPMENT, LLC
By ~ _~---,~,
Terry Pernst~r, Chief Manager
STATE OF MINNESOTA )
SS.
COUNTY OF HENNEPIN )
The foregoing instrument was acknowledged before me this ~`s~ day of U~yn~f', 2006,
by Terry Pernsteiner, the Chief Manager of Virginia Shores Development, LLC, a Minnesota limited
liability company, on behalf of said company.
y .:'.~ JEAN M. PANCHYSITYN Not'y Public
NOTARY PUBLIC -MINNESOTA
' ;,,,,:~ = My Commission Expires Jan. 31, 2010
THIS INSTRUMENT DRAFTED BY:
Leonard, Street and Deinard Professional Association (SDH)
150 South Fifth Street, Suite 2300
Minneapolis, MN 55402
3609968. I
EXHIBIT A
LEGAL DESCRIPTION OF PROPERTY
Lots 1 through 13, Lake Virginia Woods, Hennepin County, Minnesota.
3609968.1
EXHIBIT B
LEGAL DESCRIPTION OF EASEMENT AREA
A 35.00 foot Easement for Conservation purposes over, under and across Lots 1 through 13,
LAKE VIRGINIA WOODS, Hennepin County, Minnesota, said Easement being 35.00 feet to the
right of a line described as follows:
Commencing at the Southwest Corner of said Lot 2, thence on an assumed bearing of North 89
degrees 03 minutes 43 seconds East along the South line of said Lot 2, a distance of 370.13 feet
to the point of beginning of the line to be described; thence North 65 degrees 31 minutes 02
seconds West, a distance of 146.80 feet; thence North 60 degrees 56 minutes 03 seconds West, a
distance of 126.18 feet; thence North 80 degrees 26 minutes 43 seconds West, a distance of 49.54
feet; thence South 81 degrees 38 minutes 32 seconds West, a distance of 42.27 feet; thence North
81 degrees 48 minutes 53 seconds West, a distance of 103.62 feet; thence North 43 degrees 06
minutes 26 seconds West, a distance of 80.83 feet; thence North 06 degrees 20 minutes 18
seconds West, a distance of 45.85 feet; thence North 10 degrees 47 minutes 26 seconds East, a
distance of 65.28 feet; thence North 67 degrees 30 minutes 26 seconds East, a distance of 76.59
feet; thence South 78 degrees OS minutes 40 seconds East, a distance of 65.14 feet; thence South
45 degrees 15 minutes 03 seconds East, a distance of 1.42.72 feet; thence South 87 degrees 49
minutes 04 seconds East, a distance of 95.41. feet; thence South 63 degrees 33 minutes 42 seconds
East, a distance of 112.45 feet; thence North 88 degrees 44 minutes 32 seconds East, a distance of
62.81. feet; thence South 65 degrees 20 minutes 39 seconds East, a distance of 48.58 feet; thence
South 24 degrees 43 minutes 28 seconds East, a distance of 29.58 feet; thence North 81 degrees
16 minutes 27 seconds East, a distance of 94.67 feet; thence South 81 degrees 59 minutes 49
seconds East, a distance of 97.79 feet; thence North 86 degrees 06 minutes 00 seconds East, a
distance of 67.75 feet; thence North 89 degrees 51 minutes 27 seconds East, a distance of 56.48
feet; thence North 73 degrees 50 minutes 36 seconds East, a distance of 59.41. feet; thence North
44 degrees 39 minutes 38 seconds East, a distance of 94.65 feet; thence North 25 degrees 33
minutes 52 seconds East, a distance of 141.47 feet; thence North 12 degrees 17 minutes 24
seconds East, a distance of 58.35 feet; thence North 19 degrees 32 minutes 50 seconds East, a
distance of 65.20 feet; thence North 28 degrees 37 minutes 46 seconds West, a distance of 11.42
feet; thence North 52 degrees 59 minutes 45 seconds West, a distance of 134.13 feet; thence
North 61 degrees 17 minutes 40 seconds West, a distance of 80.70 feet; thence North 52 degrees
30 minutes 44 seconds West, a distance of 67.89 feet; thence North 38 degrees 58 minutes 12
seconds West, a distance of 60.69 feet; thence North 14 degrees 31 minutes 56 seconds West, a
distance of 37.82 feet; thence North 48 degrees 43 minutes 22 seconds West, a distance of 16.06
feet; thence South 79 degrees 20 minutes 21 seconds West, a distance of 56.48 feet; thence South.
48 degrees 08 minutes 48 seconds West, a distance of 47.13 feet; thence North 83 degrees 44
minutes 16 seconds West, a distance of 80.62 feet; thence South 85 degrees 19 minutes 50
seconds West, a distance of 49.58 feet; thence South 72 degrees 10 minutes 46 seconds West, a
distance of 56.88 feet; thence South 88 degrees 33 minutes 17 seconds West, a distance of 54.68
feet; thence North 88 degrees 03 minutes 10 seconds West, a distance of 68.93 feet; thence North
42 degrees 02 minutes 26 seconds West, a distance of 19.42 feet; thence South 84 degrees 25
minutes 56 seconds West, a distance of 62.55 feet; thence South 66 degrees 24 minutes 46
seconds West, a distance of 139.75 feet; thence South 81 degrees 00 minutes 12 seconds West, a
distance of 56.10 feet; thence North 78 degrees 09 minutes 08 seconds West, a distance of 81.44
feet; thence North 57 degrees 51 minutes 29 seconds West, a distance of 95.39 feet to the West
line of said Lot 13 and said line there terminating.
3609968.1
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DECLARATION OF COVENANTS, CONDITIONS AND RESTRICTIONS
LAKE VIRGINIA WOODS
This Declaration is made on this day of November, 2006, by Virginia Shores
Development, LLC, a Minnesota limited liability company, (the "Declarant"), for the purpose of
creating Lake Virginia Woods, a planned community.
Declarant is the owner of real property located in Hennepin County, Minnesota, legally
described as Lots 1-13, Lake Virginia Woods, County of Hennepin, State of Minnesota (the
"Property"), and
Declarant desires to establish on the Property a plan for a residential community to be
owned, occupied and operated for the use, health, safety and welfare of its Owners and Occupants,
and for the purpose of preserving the value, the structural quality, and the original architectural and
aesthetic character of the Property, and
Declarant has deemed it desirable for the preservation of the value of the Property to create
a non-profit corporation for the purposes of administering and enforcing the covenants and
restrictions and collecting and disbursing the assessments and charges hereinafter created, and
Declarant has incorporated LAKE VIlZGINIA WOODS ASSOCIATION, INC., a non-
profit corporation under the provisions of Minnesota Statutes Chapter 317A, for the purpose of
exercising such functions, and
Declarant makes the Declaration, declaring that this Declaration shall constitute covenants
to run with the Property, and that the Property shall be owned, used, occupied and conveyed subject
to the covenants, restrictions, easements, charges and liens set forth herein, all of which shall be
binding upon all Persons owning or acquiring any right, title or interest therein, and their heirs,
personal representatives, successors and assigns, and
In addition to the covenants, restrictions, easements, charges and liens set forth herein, the
Property shall also be subject to the conditions of the City of Shorewood as set forth in Exhibit A
attached hereto.
2664780.5 1
SECTION 1--DEFINITIONS
The following words when used in the Governing Documents shall have the following
meanings (unless the context indicates otherwise):
1.1 "Association" means Lake Virgizua Woods Association, Tl1c., a non-profit
corporation that has been created pursuant to Chapter 317A of the laws of the State of Minnesota,
whose members consist of all Owners as defined herein.
1.2 "Board" means the Board of Directors of the Association.
1.3 "By Laws" means the By-Laws governing the operation of the Association.
1.4 "Common Elements" means all portions of the Property other than the Dwellings
including, but not limited to, any area, facility, fixture or element which is designed or intended
for common use or enjoyment, if any.
1.5 "Cormnon Expenses" means all expenditures made or liabilities incurred by or on
behalf of the Association and incident to its operation, including without limitation allocations to
reserves and those items specifically identified as Common Expenses in the Declaration or By-
Laws.
1.6 "Dwelling" means a building designed and intended for occupancy as a single
family residence, and located within the boundaries of a Unit. The Dwelling includes any garage
attached thereto or otherwise included within the boundaries of the Unit in which the Dwelling is
located.
1.7 "Governing Documents" means this Declaration, the Articles of Incorporation and
By-Laws of the Association, and any Rules and Regulations, as amended from time to time, all of
which shall govern the use and operation of the Property.
1.8 "Member" means each Person who is a member of the Association by virtue of
being an Owner as defined in this Declaration. The words "Owner" and "Member" inay be used
interchangeably in the Governing Documents.
1.9 "Occupant" means any Person in possession of or residing in a Unit.
1.10 "Owner" means a Person who owns a Unit, but excluding contract for deed vendors,
mortgagees and other secured parties. The term "Owner" includes, without limitation, contract for
deed vendees and holders of life estates.
1.11 "Person" means a natural individual, corporation, limited liability company,
partnership, trustee, other or legal entity capable of holding title to real property.
1.12 "Pro e 'means all of the real property subject to this Declaration, including the
Dwellings and all other structures and improvements located thereon now or in the future.
2092594x1 2
1.13 "Rules and Regulations" means the Rules and Regulations of the Association as
approved from time to time pursuant to this Declaration.
1.14 "Unit" means any platted lot subject to this Declaration upon which a Dwelling is
located or intended to be located, including all improvements thereon, but excluding the Common
Elements. There are 13 Units, specifically Lots 1-13, Lake Virginia Woods. Each Unit constitutes
a separate parcel of real estate.
SECTION 2--COMMON ELEMENTS
2.1 Ownership. The Common Elements are owned by the Association for the benefit of
the Owners and Occupants.
2.2 Easements. Mutual non-exclusive easements are hereby granted and declared for
the benefit of each Unit and the Association, and burdening each of them, within and through
each Unit for access to the Common Elements if reasonably necessary for the alteration,
maintenance, repair, improvement or replacement of said Common Elements; provided,
however, that the exercise of such rights shall be upon reasonable notice and at reasonable times,
except in the event of an emergency, in which event no notice need be given, and shall not
interfere unreasonably with the use and occupancy of the burdened Unit.
2.3 Maintenance. Subject to the terms of this Declaration, all maintenance, repair,
replacement, management and operation of the Connnon Elements shall be the responsibility of the
Association. Common Expenses for the maintenance, repair, replacement, management and
operation of the Common Elements shall be assessed and collected from the Owners in accordance
with this Declaration.
SECTION 3--ASSOCIATION MEMBERSHIP
3.1 Membership. Each Owner shall be a Member of the Association by virtue of Unit
ownership, and the membership shall be transferred with the conveyance of the Owner's interest in
the Unit. An Owner's membership shall terminate when the Owner's ownership terminates. When
more than one Person is an Owner of a Unit, all such Persons shall be members of the Association,
but multiple ownership of a Unit shall not increase the voting rights allocated to such Unit nor
authorize the division of the voting rights.
3.2 Voting and Common Expenses. Voting rights and Common Expense obligations
are allocated equally among the Units, except that special allocations of Common Expenses shall be
permitted as provided in Section 5.
3.3 Appurtenant Rights and Obli atg ions. The ownership of a Unit shall include the
voting rights and Common Expense obligations described in this Declaration. Said rights,
obligations and interests, and the title to the Units, shall not be separated or conveyed separately.
2664780.5 3
3.4 Authority to Vote. The Owner, or some natural person designated to act as proxy on
behalf of the Owner, and who need not be an Owner, may cast the vote allocated to such Unit at
meetings of the Association; provided that if there are multiple Owners of a Unit, only the Owner
or other Person designated pursuant to the provisions of the By-Laws may cast such vote. The
voting rights of Owners are more fully described in the By-Laws.
3.5 Declarant Control of Association. Notwithstanding the voting provisions of this
Section, Declarant shall control the operation and administration of the Association until the
Declarant no longer owns any portion of the Property.
SECTION 4--ADMINISTRATION
4.1 General. The Association shall, subject to the rights of the Owners set forth in the
Governing Documents, be responsible for the operation, management and control of the Property.
All power and authority of the Association shall be vested in the Board, unless action or approval
by the Owners is specifically required by the Governing Documents.
4.2 Rules and Regulations. The Board shall have exclusive authority to approve and
implement such reasonable Rules and Regulations as it deems necessary from time to time for the
purpose of operating and administering the affairs of the Association and regulating the use of the
Property; provided that the Rules and Regulations shall not be inconsistent with the Governing
Documents.
SECTION S--ASSESSMENTS FOR COMMON EXPENSES
5.1 General. The assessments levied by the Association shall be used to promote the
recreation, health, safety, and welfare of the residents in the Property and for the improvement and
maintenance of the Common Elements and other areas that the Association maintains as provided
herein.
5.2 Amounts and Types. Assessments for Comnnon Expenses shall be determined and
assessed against the Units by the Board, in its discretion, subject to the limitations set forth in this
Section, and the requirements of the By-Laws. Assessments for Common Expenses shall include
annual assessments and may include special assessments. Assessments shall be allocated equally
among the Units, subject to the following qualifications:
a. Any Common Expense or portion thereof benefiting fewer than all of the Units
may be assessed exclusively against the Units benefited, on the basis of (i)
equality, (ii) square footage of the area being maintained, repaired or replaced,
or (iii) the actual cost incurred with respect to each Unit.
b. Reasonable attorneys' fees and other costs of incurred by the Association in
connection with (i) the collection of assessments and (ii) the enforcement of the
Governing Documents against an Owner or Occupant or their guests, may be
assessed against the Owner's Unit.
2664780.5 4
c. If any damage to the Common Elements or another Unit is caused by the act or
omission of any Owner or Occupant, or their guests, the Association may assess
the costs of repairing the damage exclusively against the Owner's Unit.
d. If any installment of an assessment becomes more than 30 days past due, then
the Association may, upon 10 days written notice to the Owner, declare the
entire amount of the assessment inunediately due and payable in full.
5.3 ~ecial Assessments. Ili addition to arulual assessments, and subject to the
(imitations set forth hereafter, the Board may levy special assessments against all Units for the
purpose of defraying in whole or in part (i) the cost of any unforeseen or unbudgeted Common
Expense, (ii) general or specific reserves for maintenance, repair or replacement of the Common
Elements, and (iii) the maintenance, repair or replacement of any part of the Property for which the
Association is responsible, and any fixtures or other property related thereto. Notwithstanding the
foregoing, any special assessment shall be subject to approval by the vote of a majority of those
Owners voting at a meeting called for that purpose.
5.4 Liability of Owners for Assessments. The Owner at the time an assessment is
payable with respect to the Unit shall be personally liable for the share of the Common Expenses
assessed against such Unit. The Association may invoke the charges, sanctions and remedies set
forth in the Governing Documents or by law, for the purpose of enforcing its rights hereunder.
5.5 Declarant's Alternative Assessment Program. Notwithstanding anything to the
contrary in this Section, no Unit owned by Declarant or a successor of Declarant who is a home
builder shall be subject to any assessment whatsoever, until such time as the Unit is occupied as a
residence.
5.6 Assessment Lien. The Association has a lien on a Unit for any assessment levied
against that Unit from the time the first installment of the assessment becomes due. Fees, charges,
late charges, fines and interest charges imposed by the Association are also liens, and are
enforceable as assessments under this Section. Recording of the Declaration constitutes record
notice and perfection of any lien under this Section, and no further recordation of any notice of the
lien is required.
5.7 Foreclosure of Lien: Remedies. Alien for Common Expenses may be foreclosed
against a Unit (i) by action, or (ii} by advertisement as a lien under a mortgage containing a power
of sale. The Association shall, in addition, have the right to pursue any other remedy at law or in
equity against the Owner who fails to pay any assessment or charge against the Unit.
SECTION 6--RESTRICTIONS ON USE OF PROPERTY
All Owners and Occupants, and all secured parties, by their acceptance or assertion of an interest in
the Property, or by their occupancy of a Unit, covenant and agree that, in addition to any other
restrictions which may be imposed by the Governing Documents, the occupancy, use, operation,
alienation and conveyance of the Property shall be subject to the following restrictions:
2664780.5 S
6.1 Residential Use. The Units shall be used by Owners and Occupants and their
guests exclusively as private, single family residential dwellings, and not for transient, hotel,
commercial, business or other non-residential purposes, except as provided in Section 6.4. Any
lease of a Unit (except for occupancy by guests with the consent of the Owner) for a period of
less than 90 days, or any occupancy which includes services customarily furnished to hotel
guests, shall be presumed to be for transient purposes.
6.2 Alterations. Except for those made by Declarant, no alterations, changes,
improvements, repairs or replacements of any type, temporary or permanent, structural, aesthetic or
otherwise (collectively referred to as "alterations") shall be made, or caused or allowed to be made,
by any Owner or Occupant, or their guests, to any improvements on the Property that the
Association is responsible for maintaining.
6.3 Business Use Restricted. Each Unit shall be used only for residential purposes
and related ancillary uses. No Unit inay be used for any commercial purpose, except that Units
maybe used by Owners or Occupants for home occupations that are permitted by the applicable
zoning ordinances and the Rules and Regulations. Home occupations include but are not limited
to office and studio uses, and such other uses which by custom are considered accessory to a
dwelling; provided, however, that no sign advertising such occupation shall be displayed. Other
than home occupations, no business activity, trade, or occupation of any kind shall be conducted,
maintained or permitted in any dwelling.
6.4 Leasing. Leasing of Units shall be allowed, subject to reasonable regulation by
the Association, and subject to the following conditions: (i) that no Unit shall be leased for
transient or hotel purposes, (ii) that no Unit may be subleased, (iii) that all leases shall be in
writing, and (iv) that all leases shall provide that they are subordinate and subject to the
provisions of the Governing Documents, the Rules and Regulations, and the Act, and that any
failure of the lessee to comply with the terms of such documents shall be a default under the
lease. The Association may impose such reasonable Rules and Regulations as may be necessary
to implement procedures for the leasing of Units, consistent with this Section.
6.5 Parkin. Each Unit includes a garage and a driveway. Garages and parking areas
on the Property shall be used only for parking of vehicles owned or leased by Owners and
Occupants and their guests, and such other incidental uses as maybe authorized in writing by the
Association. The use of garages, driveways and other parking areas on the Property, and the
types of vehicles and personal property permitted thereon, shall be subject to -regulation by the
Association, including without limitation the right of the Association to tow illegally parked
vehicles or to remove unauthorized personal property. Temporary guest parking and overnight
parking on public streets are subject to all applicable City parking ordinances.
6.6 Animals. No animal may be bred, or kept or maintained for business or
commercial purposes, anywhere on the Property. The Board shall have the exclusive authority to
prohibit, or to allow and regulate, by Rules and Regulations, the keeping of animals on the
Property. The foregoing notwithstanding, any Rules and Regulations enacted shall be ineffective
as to any animals kept within a Unit prior to the enactment of such Rules and Regulations, which
animals may continue to be kept within such Unit until no longer owned by the Owner of such
?664780.5 6
Unit, provided that no additional animals may be kept at the Property except in compliance with
the Rules and Regulations. The word "animal" shall be construed in its broadest sense and shall
include all living creatures except humans.
6.7 Quiet En~joyment: Interference Prohibited. All Owners and Occupants and their
guests shall have a right of quiet enjoyment in their respective Units, and shall use the Property in
such a manner as will not cause a nuisance, nor unduly restrict, interfere with or impede the use
of the Property by other Owners and Occupants and their guests. Each Owner should particularly
minimize noise intrusion in any form including that from music, machinery and appliances from
10 p.m. to 9 a.m. The Board shall have the right to establish reasonable maximum noise levels
that inay be emitted from Units and monitor noise emissions from any Unit at any time. Owners
and Occupants and their guests may only operate snowmobiles, ATVs and similar recreational
vehicles on their respective Units between the hours of 10 a.m. and 8 p.m.
6.8 Compliance with Law. No use shall be made of the Property which would violate
any then existing municipal codes or ordinances, or state or federal laws, nor shall any act or use
be permitted which could cause waste to the Property, cause a material increase in insurance rates
on the Property, or otherwise cause any unusual liability, health or safety risk, or expense, for the
Association or any Owner or Occupant.
6.9 Alterations. Except for those made by Declarant in consideration of its initial sale
- of a Unit, no alterations, changes, improvements, repairs or replacements of any type, temporary
or permanent, structural, aesthetic or otherwise (collectively referred to as "alterations") shall be
made, or caused or allowed to be made, by any Owner or Occupant, or their guests, in any part of
the Common Elements, or in any part of the Unit which affects the Common Elements or which
is visible from the exterior of the Unit, without the prior written authorization of the Board, or a
committee appointed by it, as provided in Section 14. The Board, or the appointed committee if
so authorized by the Board, shall have authority to establish reasonable criteria and requirements
for alterations, and shall be the sole judge of whether the criteria are satisfied.
6.10 Tune Shares Prohibited. The time share form of ownership, or any comparable
form of lease, occupancy rights or ownership which has the effect of dividing the ownership or
occupancy of a Unit into separate time periods, is prohibited.
6.11 Antennas/Satellite Dish. No television, radio, or other electronic towers, aerials,
antennae, except contained in the attic of a Dwelling or except satellite dishes eighteen inches or
smaller and approved by the Board, or the appointed committee as provided in Section 14, shall
be erected or maintained on any Lot. Any such device shall be installed in compliance with all
state and local laws and regulations, including zoning, land use, and building regulations.
6.12 Exterior Facilities. No playground equipment, storage buildings and/or sheds,
furnishings or furniture (including basketball hoops and swing sets), whether temporary or
permanent, shall be erected or placed on any Unit except as approved by the Board, or the
-- appointed committee as provided in Section 14, and, if so approved, shall not be altered,
modified or removed except if approved by the Board or such committee. No structure of a
2664780.5 7
temporary character, trailer, basement, tent, shack, garage, ban7, or other building shall be used
on any Unit at any time as a residence, either temporarily or permanently.
6.13 Fences. No fence, whether temporary or permanent, shall be erected or placed on
any Unit except as approved by the Board, or the appointed committee as provided in Section 14.
All fence approvals by the Board or the appointed commmittee are conditional upon proper future
maintenance by the Owner. Fences are subject to removal at the expense of the Owner if any
drainage or utility easement is interfered with.
SECTION 7--MAINTENANCE
7.1 Maintenance by Association. The Association, subject to the rights of the Owners
as set forth in this Declaration, shall be responsible for, and be vested with, the exclusive
management, control and maintenance of the Common Elements.
7.2 Optional Maintenance by Association. h1 addition to the maintenance described in
this Section the Association lnay, with the approval of a majority of Owners, undertake to provide
additional exterior maintenance to the Units (but not to the Dwellings), such as snow removal or
landscaping and lawn care services, and the costs of such maintenance shall be a Common
Expense. Each Unit is hereby subject to an easement over and across the Unit for the purpose of
performing such maintenance.
7.3 Maintenance by Owner. All maintenance of the Dwellings shall be the sole
responsibility and expense of the Owners thereof. Except for the maintenance provided by the
Association under this Section 7, all maintenance of the Units shall be the sole responsibility and
expense of the Owners thereof.
SECTION 8--EASEMENTS
8.1 Easement for Maintenance Repair Replacement and Reconstruction. Each Unit,
and the rights of the Owners and Occupants thereof, shall be subject to the rights of the Association
to an exclusive, appurtenant easement on and over the Units for the purposes of maintenance,
repair, replacement and reconstruction of the Property, and utilities serving the Units, to the extent
necessary to fulfill the Association's obligations under the Governing Documents.
8.2 Use and Enjoyment Easements. Each Unit shall be the beneficiary of appurtenant
easements for use and enjoyment of the Common Elements, subject to any restrictions authorized
by the Declaration.
SECTION 9--COMPLIANCE AND REMEDIES
9.1 Entitlement to Relief. The Association may commence legal action to recover sums
due, for damages, for injunctive relief or to foreclose a lien owned by it, or any combination
thereof, or an action for any other relief authorized by the Governing Documents or available at law
2664780.5 8
or in equity. Legal relief may be sought by the Association against any Owner, or by an Owner
against the Association or another Owner, to enforce compliance with the Governing Documents.
9.2 Sanctions and Remedies. In addition to any other remedies, the Association shall
have the right, but not the obligation, to implement any one or more of the following actions against
Owners and Occupants and/or their guests, who violate the provisions of the Governing
Documents:
a. Commence legal action for damages or equitable relief.
b. Impose late charges of up to fifteen percent (15%) of each late payment of an
assessment or installment thereof.
c. In the event of default of more than sixty (60) days in the payment of any
assessment or installment thereof, all remaining installments of assessments
assessed against the Unit owned by the defaulting Owner may be accelerated
and shall then be payable in full if all delinquent assessments, together with all
costs of collection and late charges, are .not paid in full prior to the effective date
of the acceleration.
d. Impose reasonable fines, penalties or charges for each violation of the
Governing Documents.
e. Foreclose any lien arising under the provisions of the Governing Documents or
under law, in the manner provided for the foreclosure of mortgages by action or
under a power of sale in the state where the Property is located.
9.3 Lien for Charles, Penalties, Etc. Any assessments, charges, fines, penalties or
interest imposed under this Section shall be a lien against the Unit of the Owner or Occupant
against whom the same are imposed and the personal obligation of such Owner in the same manner
and with the same priority and effect as assessments. All remedies shall be cumulative, and the
exercise of, or failure to exercise, any remedy shall not be deemed a waiver of the right to pursue
any others.
9.4 Costs of Proceeding and Attorneys' Fees. With respect to any collection measures,
or any measures or action, legal, administrative, or otherwise, which the Association takes to
enforce the provisions of the Governing Documents whether or not finally determined by a court or
arbitrator, the Association may assess the violator and his or her Unit with any expenses incurred in
connection with such enforcement, including without limitation fines or charges previously
imposed by the Association, reasonable attorneys' fees, and interest (at the highest rate allowed by
law} on the delinquent amounts owed to the Association.
SEC'I'I®N 10--SPECIAL, DECL.AItAle1'I' ll2IG1EI'TS
Declarant hereby reserves exclusive and unconditional authority to exercise the following rights for
as long as it owns a Unit:
2664780.5 9
10.1 Complete Improvements. To complete all the Uzuts, Dwellings, and other
improvements indicated on the Plat, or otherwise included in Declarant's development plans or
allowed by the Declaration, and to make alterations in the Units and Common Elements to
accommodate its sales facilities;
10.2 Sales Facilities. To construct, operate and maintain a sales office, management
office, model Units and other development, sales and rental facilities within the Common Elements
and any Units owned by Declarant from time to time, located anywhere on the Property.
10.3 Easements. To have and use easements, for itself, its employees, contractors,
representatives, agents and prospective purchasers through and over the Common Elements for the
purpose of exercising its special declarant rights;
10.4 Control of Association. To control the operation and admilustration of the
Association, including without limitation the power to appoint and remove the members of the
Board, for so long as the Declarant owns any portion of the Property.
SECTION 11--AMENDMENTS
This Declaration maybe amended by the consent of Owners of Units to which are allocated at least
seventy-five percent (75%) of the votes in the Association and the consent of Declarant for so long
as Declarant owns any portion of the Property. Consent of the Owners maybe obtained in writing
or at a meeting of the Association duly held in accordance with the By-Laws. Consents of the
Declarant shall be in writing. An affidavit by the Secretary of the Association as to the outcome of
the vote, or the execution of the foregoing agreements or consents, shall be adequate evidence
thereof for all purposes, including without limitation, the recording of the amendment.
SECTION 12--MISCELLANEOUS
12.1 Severability. If any term, covenant, or provision of this instrument or any exhibit
attached hereto is held to be invalid or unenforceable for any reason whatsoever, such
determination shall not be deemed to alter, affect or impair in any manner whatsoever any other
portion of this instrument or exhibits.
12.2 Conflicts Among_Documents. In the event of any conflict among the provisions of
the Act the Declaration, By-Laws and Rules and Regulations, the Declaration shall control, and as
between the By-Laws and the Rules and Regulations, the By-Laws shall control.
12.3 Minnesota Common. Interest Ownership Act. Pursuant to Minnesota Statutes
Section SISB.I-102(e)(2), Lake Virginia Woods is not subject to the Minnesota Common Interest
Ownership Act.
2664780.5 10
SECTION 13--INSURANCE
13.1 Liability Insurance. The Association shall keep in force at all times a policy of
comprehensive general liability insurance, with coverage of at least $500,000 for bodily injury and
property damage for any single occurrence acid at least $1,000,000 aggregate coverage. The policy
must contain a severabiliry of interest clause or an endorsement which shall preclude the insurer
from denying the claim of an Owner because of negligent acts of the Association or other Owners.
13.2 Hazard Insurance. The Association shall procure insurance for fire, extended
coverage, vandalism and any other perils the Board may deem necessary on all insurable real
property and personal property owned by the Association, if any. The insurance shall be on a
current replacement cost basis in such amounts and with such deductibles as the Board may
determine. The Association may maintain funds for all such deductibles in its reserves and shall
designate such funds for that purpose only.
13.3 Other Insurance. The Association shall also procure:
(a) Fidelity bonds or insurance coverage against dishonest acts on the part of
directors, officers, managers, trustees, employees or persons responsible for handling
funds belonging to or administered by the Association if deemed to be advisable by the
Board;
(b) Worker's compensation insurance if required by law;
(c) Directors and officers liability insurance with such reasonable limits and
coverages as the Board shall determine from time to time; and
(d) Such other insurance as the Board may determine from time to time to be
in the best interest of the Association and the Owners.
13.4 Cost of Insurance. The cost of such insurance shall be assessed against the
Owners and their units as provided in Section 5 above.
13.5 Owner's Personal Insurance. Each Owner may obtain additional personal
insurance coverage at his or her own expense covering fire and other casualty to the Unit,
Dwelling, personal property or personal liability. All insurance policies maintained by Owners
shall provide that they are without contribution as against the insurance purchased by the
Association.
SECTION 14
ARCHITECTURAL REVIEW
= 14.1 Architectural Review Committee. There shall be established an Architectural
Review Committee (ARC) consisting of three persons. The members of the ARC shall be
appointed by the Board of the Association and shall serve at the pleasure of the Board. The
2664780.5 l 1
Board may appoint members of the Association as members of the ARC, or may surrender its
appointment power to Declarant.
14.2 Architectural Approval.
a. No improvement shall be constructed, erected, removed, planted or
maintained, nor shall any addition to or any change, replacement or alteration
therein be made until the plans and specifications showing the nature, kind, shape,
height, materials, floor plans, color scheme and the location of same shall have
been submitted to and approved in writing by the ARC.
b. The criteria for approval shall include and require, at a minimum (i) substantial
uniformity of color, size, location, type and design in relation to existing
improvements and topography, (ii) comparable or better quality of materials as
used in existing improvements, (iii) ease of maintenance and repair, (iv) adequate
protection of the Property, the Association, Owners and Occupants from liability
and liens arising out of the proposed alterations, (v) compliance with
governmental laws, codes and regulations; (vi) that all alterations will be done in a
workmanlike manner and without impairing the structural, mechanical or weather-
tight integrity of the Building; (vii) that the Common Elements and altered Units
will be repaired and/or restored in the future as required by the Association; and
(viii) that the construction of the alterations will not create dangerous conditions
for any Owners or Occupants.
8.3 Review Procedures.
a. Plans and specifications shall be reviewed as to quality of workmanship, design
and harmony of external design with existing structures in the community
surrounding the Property, topography, and finish grade elevation. As part of the
application process, two (2) complete sets of plans and specifications prepared by
an architect, landscape architect, engineer or other person found to be qualified by
the ARC shall be submitted for approval by written application on such form as
may be provided or required by the ARC. The ARC may require submission of
samples of building materials and colors proposed to be used. All submissions
made to the ARC shall simultaneously be made to the appropriate official of the
Building Department of the City of Elko. All construction shall be done by a
contractor approved in writing by the ARC.
b. In the event the information submitted to the ARC is, in the ARC's reasonable
opinion, incomplete or insufficient in any material manner, the ARC may request
and require the submission of additional or supplemental information.
c. The ARC shall evaluate for substantial conformance to the plans, specification,
density, material selections, colors, etc., as approved and attached to the purchase
agreement, and shall have the right to refuse to approve any plans and
2664780.5 12
specifications which are not determined by it to be in conformance. In approving
or disapproving such plans and applications, the ARC shall consider the suitability
of the proposed improvements, the materials of which the same are to be built, the
site upon which such improvements are proposed to be erected, the harmony
thereof with the surrounding area and the effect thereof on adjacent or neighboring
property. The parties agree that after initial plans have been submitted and
approved pursuant to the ARC's standards, future Units in substantial conformity
therewith shall be acceptable. Plans for each Unit shall be submitted to the ARC
for approval notwithstanding the fact that similar plans have previously been
submitted and approved.
d. Upon approval by the ARC of any plans and specifications submitted to the ARC,
the ARC shall notify the applicant in writing, which notification shall set forth any
qualifications or conditions of approval. In the event that the ARC disapproves
any plans and specifications submitted to the ARC, the ARC shall so notify the
applicant in writing, stating the grounds upon which such disapproval is based.
The ARC shall give the Owner written notice of approval or disapproval. If the
ARC fails to approve or disapprove submitted plans within sixty (60) days after
receipt of said plans and specifications and all other information requested by the
ARC, then the plans shall be deemed approved.
e. There is specifically reserved unto the ARC, and to any agent or member of the
ARC, the right of entry and inspection upon any portion of the Property for the
purpose of determination by the ARC whether there exists any construction of any
improvement which violates the terms of any approval by the ARC or the terms of
this Declaration or any amendments thereto, or of any other covenants, conditions
and restrictions applicable to the Unit being inspected. If any improvement of any
nature shall be constructed or altered without the prior written approval of the
ARC, the Owner shall, upon demand of Declarant or the ARC, cause such
improvement to be removed or restored in order to comply with the plans and
specifications originally approved by the ARC. The Owner shall be liable for the
payment of all costs of such removal or restoration, including all costs and
attorney fees incurred by Declarant or the Association.
£ The Association may require that the Owner of the Unit to be altered pay all costs
of processing and documentation for the request and the preparation and recording
of any necessary amendment to the Governing Documents, including without
limitation such costs as filing, architects and attorneys' fees incurred by the
Association in connection with the alterations.
8.6 Remedies for Violation.
a. The Association may undertake any measures, legal or administrative, to enforce
compliance with this Section and shall be entitled to recover from the Owner
causing or permitting the violation all attorneys' fees and costs of enforcement,
2664780.5 13
whether or not a legal action is started. The ARC is specifically empowered to
enforce the architectural and landscaping provisions of this Declaration by any
legal or equitable remedy, and in the event that it becomes necessary to resort to
litigation to determine the propriety of any constructed improvement, or to remove
any unapproved improvement, the prevailing party shall be entitled to recovery of
court costs, expenses and attorney fees in connection therewith. Such attorney fees
and costs shall be a lien against the Owner's Unit and a personal obligation of the
Owner. In addition, the Association shall have the right to enter the Owner's Unit
and to restore any part of the Dwelling or Unit to its prior condition if any
alterations were made in violation of this Section, and the cost of such restoration
shall be a personal obligation of the Owner and a lien against the Owner' s Unit.
In the event of any action by Declarant or the Association for injunctive relief, no
bond shall be required of Declarant or the Association.
b. The ARC may, in its sole discretion, but with written agreement of Declarant so
long as Declarant owns a Unit, grant variances from the requirements contained
herein or as elsewhere promulgated by the ARC, on a case by case basis; provided
however, that the variance sought is reasonable and does not impose a hardship
upon the Declarant or other Owners. The granting of such a variance by the ARC
shall not nullify or otherwise affect the ARC's right to require strict compliance
with the requirements set forth herein on any other occasion.
c. Neither Declarant, its officers, directors and employees, the members of the ARC,
nor any person acting on behalf of any of them, shall be liable for any costs or
damages incurred by or on behalf of any Owner within the Property or any other
party whatsoever, due to any mistakes in judgment, negligence or any action of
the ARC taken in good faith in connection with the approval or disapproval of
plans and specifications. Each Owner and Occupant of any Lot within the
Property agrees, as do their successors and assigns by acquiring title thereto or an
interest therein, or by assuming possession thereof, that they shall not bring any
action or suit against Declarant, the directors or officers of Declarant, the
members of the ARC, or their respective agents, in order to recover any damages
caused by the good faith actions of the ARC. Neither Declarant, its officers,
directors and employees, the members of the ARC, nor any person acting on
behalf of any of them, shall be responsible for any defects in any plans or
specifications, nor for any defect in any improvements constructed pursuant
thereto. Each party submitting plans and specifications for approval shall be
solely responsible for the sufficiency thereof and for the quality of construction
performed pursuant thereto.
8.4 Approval Not a Guarantee. No approval of plans and specifications and no publication of
guidelines or standards by the ARC shall be construed as representing or implying that such
- plans, specifications, or standards will, if followed, result in properly designed improvements.
Such approvals and standards shall in no event be construed as representing or guaranteeing that
?664780.5 14
any dwelling or other improvement built in accordance therewith was built in a good and
workmanlike manner.
8.5 Completion of Construction of Improvements. Upon approval of plans by the ARC, all
construction work shall be carried on with dispatch. All improvements shall be constructed in
conformity with the then existing building codes of the City of Elko; and all building plans shall
be prepared by or under the supervision of a registered architect, a builder or a qualified design
professional.
IN WITNESS WHEREOF, the undersigned has executed this instrument the day and year
set forth below.
Virginia Shores Development, LLC, a
Minnesota li ited liability company
....
w A~..~.
By:
Te P rnsteiner, Chief Manager
STATE OF MINNESOTA )
SS.
COUNTY OF ~~ )
~'` ~._
The foregoing instrument was acknowledged before me this .~% day of ~~~-~`` ~ `-~: • -a ,
2006, by Terry Pernsteiner, the Chief Manager of Virginia Shores Development, LLC, a
Minnesota limited liability company, on behalf of the company. ~
Notary Public ~J
Prepared by:
Leonard, Street and Deinard Professional Association (EHW/SDH)
150 South Fifth Street, Suite 2300
Minneapolis, MN 55402
612-335-1500
° ~ TWILA GROUT
~ ~ NOTARY PUBLIC -MINNESOTA
~i~~'''
„~+ My Commission Expires Jan. 31, 2010
z~~4~so.s 15
Consented to and Acknowledged By:
CITY OF SHOREWOOD
By:
Its: Mayor
ATTEST:
~~ _r--°"
~`
City Ad 'u~strator~Clerk
STATE OF MINNESOTA
ss.
COUNTY OF HENNEPIN
On this , day of P v:....y ccsC~' , 2006, before me, a Notary Public within and
for said County, personally appeared Woody Love and Craig W. Dawson to me personally
known, who, being each by me duly sworn, did say that they are respectively the Mayor and City
Administrator/Clerk of the municipal corporation named in the foregoing instrument, and that
said instrument was signed and sealed on behalf of said corporation by authority of its City
Council, and said Mayor and City Administrator/Clerk acknowledged said instrument to be the
free act and deed of said corporation.
i ' ~"`"' " TWILA GROUT
~~ ~ NOTARY PUBLIC -MINNESOTA
~ ~ My Commission Expires Jan. 31, 2010
._
Notary Public
2664780.5 16
Exhibit A
City of Shorewood Conditions
(O1) Minimum setbacks (for all structures) shall be as follows:
(a) Front: 50 feet
(b) Rear: 50 feet
(c) Side minimum/total: 10/30 feet
(d) Side yard abutting a street: 50 feet
(e) Wetland buffer/Setback: 35/15 feet
(02) Maximum building height, as defined by the Shorewood Zoning Code, shall be
two and one-half stories or 35 feet, whichever is less.
(03) The Association shall comply with the requirements of Shorewood's wetland code
(Chapter 1102) and the Wetlands Conservation Act of 1991 [Minn. Stat. 103 G.221 et.
seq. (hereinafter referred to as the WCA)~. It is the intent of this agreement that areas
adjacent to wetlands be maintained in their natural state.
(a) A minimum 35-foot buffer strip shall be maintained adjacent to all
wetlands.
(b) Natural vegetation shall be maintained in wetland buffer strips. Where
disturbed by site development, wetland buffer strips shall be restored with natural
vegetation.
(c) Wetland buffer strips shall be identified within each lot by permanent
monumentation approved by the City. The Declarant shall provide to the City a
map showing the location of proposed wetland monuments and a conservation
easement over the wetland buffer area.
(d) A monument is required at each lot line where it crosses a wetland buffer
strip and as necessary to establish required setbacks from the wetland buffer strip.
Monuments shall be placed within 60 days of completion of site grading or prior
to issuance of a building permit, whichever occurs first.
(e) The Declarant shall record with the Hennepin County Recorder or
Registrar of Titles, a notice of the wetland buffer requirement against the title of
each lot with a required wetland buffer strip.
(f) No structures, including, but not limited to, decks, docks, patios, and play
equipment maybe located in the wetland buffer strip or the required wetland
setback area, except that fences shall be allowed within the wetland setback area.
(g) No artificial obstructions, including, but not limited to, decks, docks,
patios, and play equipment maybe located within the wetland area. No cutting of
wetland vegetation or dredging shall be allowed within the wetland area.
2664780.5 17