The time has come .
In the next few weeks, owners (members) at 900 Marshy Cove will be receive proxies and ballots to approve two amendments to our by-laws. The amendments will be presented at the
"Annual Meeting of Members"
May 14, 2016, at 10:00 AM.
Included in this post is the cover letter explaining the proposed amendments.
____________________________________________________________________________
February 28, 2016
To:
900 Marshy Cove Unit Owners
Re: 900 Marshy Cove Condominium Association,
Inc.
By-law
Amendments limiting the number of Rental Units.
Dear
Unit Owner,
The
900 Marshy Cove Condominium Association’s Board of Directors Condominium is
recommending the approval of the attached amendments to our governing by-laws. The first amendment (a) limits the number of rental units to twenty (20) of the 48 units. The second amendment (b) would limit an owner to no more than two (2)
units. These amendments will require
67% or 33 affirmative votes each to win approval.
Why Rental Limitations?
·
The percentage of
rental units affects financing options. Federally underwritten financing such
as VA, FNMA, FDMA, and FHA require more restrictive terms on multi-unit
condominium buildings where rental units exceed 50%.
·
Current Occupancy Status
o
Full time owner
occupied: 13 units
o
Part time owner
occupied: 20 units
o
Tenant occupied: 15 units
·
An increasing
number of units are now occupied by tenants as opposed to owners. As this transition occurs, it is in the best
interest of resident owners, part-time resident owners, and landlord owners
that we maintain a balance between these three categories. Resale values of our units are affected by
the residency of non-owners because of limited financing options and the
perceptions held by prospective buyers.
·
Please note that
similar restrictions have been successfully and widely instituted into the by-laws
of other condominium associations in the State of Maryland.
To that
effect, the attached amendment is submitted to association members for their
consideration.
If
adopted, how will this work?
·
The
Board of Directors will follow written procedures to review and approve rental
permits.
·
Sentry
Management will manage all documents and communication with owners regarding
rental policy. Very little change is required when compared to the current
practices for leases.
Policies
and Procedures
·
All
current rentals will continue until termination or renewal. Upon renewal
or a new tenant agreement, rental status will not be affected provided all
required forms and documents are filed with Sentry Management and approved by
the Board of Directors.
·
Each
landlord will be required to submit a rental permit application as current
leases expire and new lease arrangements are signed. A 90 day grace period will be granted to find
new tenants if necessary.
·
New
landlords must submit a rental permit request with signed lease agreements to
secure rental status. A 90 day grace period will be granted to find new tenants
if necessary.
·
Once
the 20 unit limit is reached, a waiting list will determine which units will be
acquire rental status.
What do
you need to do?
·
Please
read the attached amendment.
·
Check
the appropriate boxes on the proxy/ballot
then sign and date the document. Your name must be registered as the owner of
the unit.
·
Mail
the proxy/ballot in the enclosed
addressed and stamped envelope before April 15, 2016.
·
Optional:
Attend the Annual Meeting of Members on May 14, 2016.
·
Contact
Sentry Management for more details or contact a Board of Directors member with
your questions.
601 Locust St Ste 302
Cambridge MD 21613
(410) 221-0398; (410) 221-9977 (fax)
________________________________________________________________
Questions? Comments?
