The Merrymount Property Owners Association is currently governed by a "Declaration of Protective Covenants" (with five supplements). A copy of that declaration and the supplements is provided below. We believe we have coppied it correctly but we offer it for your information only and remind property owners they are bound by the declaration and supplements as filed with the Clerk of Mecklenburg County, Virginia.

[ Original Covenants | First Supplement | Second Supplement ]
[ Third Supplement | Fourth Supplement | Fifth Supplement ]

Updated 4/9/07

MERRYMOUNT ON LAKE GASTON

Owned and Developed by

Warren Land Company, A North Carolina Corporation

Domesticated for Business in Virginia

DECLARATION OF PROTECTIVE COVENANTS

This Declaration of Protective Covenants (the Covenants) is made as of May 28, 1996, by Warren Land Company, a North Carolina corporation, domesticated for business in Virginia (the "Developer").

WHEREAS:

A. The Developer is the owner of a tract of real property and appurtenances situate in Palmer Springs Magisterial District, Mecklenburg County, Virginia, and Hawtree Township, Warren County, North Carolina, described in Article II of this Declaration (the Land), which it has subdivided into residential lots with streets and limited recreational facilities (the Subdivision) for the beneficial use and enjoyment of its successors, assigns, and their guests; and

B. To preserve the values and promote the amenities of the Land (and any land added subsequently to the Subdivision according to the provisions of these covenants) and to provide for the administration, operation, and maintenance of the streets, roads, and recreational facilities in the Subdivision (collectively, the "Common Property"), it desires to and does hereby subject the Land to certain restrictions, easements and liens which it deems beneficial to the Land and the subsequent purchasers and owners thereof; and

C. It has incorporated Merrymount Property Owners Association, Inc., as a Virginia non-stock, nonprofit corporation (the Association) to which it hereby delegates and assigns the duty and power:

1. To maintain, administer and operate the Common

Property;

2. To administer and enforce the Covenants together with other persons or legal entities who now have or who may acquire subsequently ownership of the Land or any portion thereof, or an ownership interest in common property or any portion thereof;

3. To collect and disburse the dues and assessments mentioned in the latter provisions of the Covenants; and

4. To perform such other acts and duties as may or might be required, necessary, or desired to the end that the value of the Land and the welfare of the owners and their guests will be promoted, protected and enhanced.

NOW, THEREFORE, the Developer declares that the Land shall be held, sold and conveyed by it, its successors and assigns, and shall be owned, occupied, used and enjoyed by the subsequent purchasers thereof, their successors and assigns, subject to the restrictions, reservations, easements, liens, assessments and encumbrances hereinabove or hereinafter mentioned, together with such amendments and/or additions thereto as may be incorporated subsequently by reference.

ARTICLE I.

DEFINITIONS

Section 1. The following words, when used in the Covenants (unless the context shall prohibit) shall have the following meaning:

A. "The Association" shall mean and refer to Merrymount Property Owners Association, Inc., a Virginia nonstock, nonprofit corporation.

B. "The Land" shall mean and refer to all lands described in Article II. and all land incorporated subsequently into the Subdivision as provided in Article II., Section 2, infra.

C. "Residential Lot" shall mean:

1. Section A: Lot 1 "Merrymount on Lake Gaston" Subdivision as shown on a plat of survey prepared by Crutchfield & Associates, Inc., (Marvin L. Crutchfield, Registered Land Surveyor) ("Crutchfield") dated March 27, 1996, (File No. 95240C1) and

2. Section B: Lots 2 - 74 and 120 - 128 inclusive shown on a plat of survey prepared by Crutchfield, dated March 27, 1996, (File No. 95-240A) recorded in the Clerk's Office of the Circuit Court of Mecklenburg County, Virginia (the Clerk's Office) and the Office of the Register of Deeds of Warren County, North Carolina, simultaneously with or immediately next preceding the recordation of these Covenants. Each Residential Lot shall be used exclusively for single family residential purposes.

D. "Owner" shall mean and refer to the person or legal entity, including the Developer, having a legal or equitable interest in any Residential Lot whether or not such interest is acquired by deed, contract, Will, or intestate descent. The term shall not include, however, mortgagees, judgment lien creditors, or other lien holders.

E. "Legal entities" shall include, but shall not be limited to, corporations, partnerships, Limited Liability Companies and/or Partnerships, associations, churches, governmental agencies, municipalities, counties, states or the United States of America, and the agencies or political subdivisions of either.

F. "Member" shall refer to those association members as provided in Article III., Sections 1 and 2 of the Covenants.

G. "Common Property" means and refers to the streets and roads in the Subdivision and the access road to the Subdivision. The Common Property is dedicated hereby to the common use and enjoyment of the Owners of the Residential Lots whether ownership of the Common Property is held by the Developer, the Association or the political subdivision of the State in which the Common Property or portion thereof is physically located. Common Property does not include, and expressly excludes:

(1) The well lot or lots shown on the Plats or a plat of any land added to or lying within the Subdivision from time to time; or

(2) The central water system, including wells, pumps, tanks, distribution lines, and other components installed, or to be installed, by the Developer to serve the Subdivision and the Residential Lots; and

(3) The boat piers and slips mentioned in Article XII, infra.

H. "Setback Line" shall mean and refer to the building setback lines of each Residential Lot shown on the Plats or required by the applicable Ordinances of the county of situs, whichever establishes the greater setback requirement.

I. "Clerk's Office" shall mean the Clerk's Office of the Circuit Court of Mecklenburg County, Virginia,

J. "Register's Office" shall mean the Office of the Register of Deeds of Warren County, North Carolina.

K. "Central Water Lots" shall refer to Lots 1-74, inclusive, Lots 120-128, inclusive, each of which will be served by a Central Water System to be installed by the Developer.

L. "Plat" or "Plats" means the recorded subdivision plat or plats mentioned in Article II (A) Section 1. (A) as the context shall require.

ARTICLE II.

A. PROPERTY SUBJECT TO THIS DECLARATION

Real Property (Fee Simple)

Section 1.

(A) - Mecklenburg County, Virginia and Warren County, North Carolina:

BEING a portion of the land acquired by the Developer by deed of Thelma P. Tolbert, et vir, dated June 28, 1971, recorded in the Clerk's Office in Deed Book 213, Page 673, and in the office of the Register of Deeds of Warren County, North Carolina, in Deed Book ______, Page ______.

Section 2.(A) Additional Land

The Developer, at any time prior to December 31, 2000, shall have the free and unrestricted right:

Additional Land, when added to the Subdivision by an amendment or supplement to the Covenants, may be subjected to the same restrictions set forth herein or amended, modified or deleted in such manner and to such extent as the Developer, in its sole discretion shall determine.

The Developer may permit all or any portion of the Additional Land to be used for single family residential purposes and may permit all or any portion of the Additional Land to be used for commercial purposes including but not limited to golf course, club house, tennis courts, swimming pools, restaurant, marina, convenience stores and the like.

ARTICLE III.

MEMBERSHIP AND VOTING RIGHTS IN THE ASSOCIATION

Section 1. Membership.

Each Residential Lot shall include as an appurtenance membership in the Association and each Owner and Co-Owner shall be an Association member.

Section 2. Voting Rights.

Each Residential Lot shall include as an appurtenance one but only one vote in all Association matters. The vote shall be cast as the Owners determine. In no event and under no circumstances, shall more than one vote per Residential Lot be cast in the Association affairs.

The Owners shall designate their voting representative, in writing, with the Association secretary. The designation may be general or restricted. If no designation is received by the secretary prior to the several meetings of the Association, the secretary may recognize any one of the Owners as the Owners' representative; receive and record the vote as cast by the person so recognized.

Proxy votes shall be permitted at any regular or special meeting of the Association.

The Owners of the Residential Lots present in person or by proxy at any duly called meeting of the membership shall constitute a quorum for the purpose of electing directors and transacting any business brought before the meeting.

The Developer shall have one vote per Residential Lot so long as such lots are owned by the Developer as part of its inventory.

ARTICLE IV.

PROPERTY RIGHTS IN COMMON PROPERTIES

Section 1. Members Easement of Enjoyment.

Subject to provisions of Section 3. of this Article and Section 2. of Article III., each Residential Lot shall include, as an appurtenance thereto, membership in the Association and the right to the use and enjoyment of the Common Property.

Section 2. Title to and Control of Common Property.

Subject to the provisions of Section 15.1-478 of the Code of Virginia, 1950, as amended, as said Section pertains to streets and roads lying in the Commonwealth of Virginia and to the provisions of the general statutes of the State of North Carolina as said statutes pertain to the streets and roads lying in the State of North Carolina, the Developer shall retain title to and control of the Common Property and all portions thereof until, in its opinion, the Association is able to maintain and operate the same or until December 31, 2000, which ever first occurs. The Developer may, at any time, delegate and assign to the Association such functions, duties and responsibilities pertaining to maintenance and operation of the Common Property as it considers appropriate and conducive to the welfare of the Subdivision. The Developer shall convey the Common Property to the Association subject to the Covenants. Property designated as Common Property is for the mutual enjoyment of the Developer and the Owners and is subject to the terms and provisions, conditions and restrictions of the Covenants.

Section 3. Subordination of Members Interest.

The Members' rights and easements of enjoyment hereby created are and shall be subject to the following:

A. The right of the Developer or the Association, from time to time and at any time, to borrow money to develop, maintain, or improve the Common Property and to encumber the Common Property as security for such debt. The Members' rights to and use of the Common Property shall be subordinate to any Purchase Money Deed of Trust given by the Developer or the Association or any other Deed of Trust given by the Developer or the Association as security for funds borrowed for the development or maintenance of improvements to the Common Property whether or not the Deed of Trust is in existence as of the date of this Declaration or is made by the Developer or the Association subsequent to the date hereof;

B. The right of the Association to take such steps as are reasonably necessary to protect the Common Property against foreclosure;

C. The right of the Association or Developer to levy special assessments in addition to the annual assessment, hereinafter provided, for maintenance of or improvements to the Common Property.

ARTICLE V.

COVENANT FOR MAINTENANCE ASSESSMENT

Section 1. Creation of the Lien.

Subject to the later provisions of this Article, an annual assessment (the "Assessment") is hereby established and levied on each Residential Lot. The Assessment shall apply to each Residential Lot owned by the Developer and held by it in its original inventory of unsold lots in the Subdivision. The Assessment shall apply also to any Residential Lot reacquired by the Developer by repurchase, reconveyance, repossession or foreclosure.

The Assessment is hereby made and shall remain a continuing lien on the Residential Lots.

In addition, the Assessment shall be, become and thereafter remain the joint and several personal obligation of the Owners, their successors and assigns.

To the extent not prohibited by applicable law, the lien of and the personal obligation to pay the Assessment shall include:

A. The principal amount thereof; and

B. A late payment charge of 50% of the principal amount of the Assessment if it is not paid on or before the 10th day following its due date; and

C. Compound interest at 10% per annum computed on the sum of the Assessment and the late payment penalty from and after the due date thereof (hereinafter defined); and

D. All court costs incurred by the Association in the collection of any unpaid assessment (principal, penalty, and interest); and

E. Attorney fees of 33-l/3% of the total amount of the Assessment including principal, penalty, and accrued unpaid interest.

Section 2. Purpose of the Assessment.

The Assessment shall be used by the Developer and/or Association:

A. To maintain, renovate, improve, operate and administer the Common Property including the streets, roads, shoulders and ditches and drainage easement, if any, to the end that the streets and roads shall be kept reasonably free of potholes and washes, and the shoulders and ditches free of washes and bare spots, devoid of ground cover; and

B. To construct, maintain, renovate, operate and administer such additional common property as the Developer and/or the Association may designate from time to time

for the benefit and enjoyment of the Owners to the end that the value of the Property shall be protected, promoted and enhanced. The Common Property shall be maintained in a reasonable, prudent and sightly manner and shall be kept reasonably free of trash, debris, and refuge.

Additionally, the Assessment shall be used for the payment of taxes and insurance upon or with reference to the Common Property.

Section 3. Amount of Annual Assessment - Due Date.

The annual Assessment shall be $125.00 per single family Residential Lot. The Assessment shall be due and payable, in advance, beginning on March 1, 1997, and thereafter on March 1 of each succeeding year (the Due Date). The Assessment shall not be prorated for any portion of any year.

Section 4. Annual Assessment -- Increase.

The Board of Directors of the Association (which shall be controlled by the Developer until a majority of the Residential Lots have been sold) may increase the Assessment upon thirty (30) days prior written notice to the Owners, but the amount of any increase shall not exceed 25% of the then current assessment in any annual assessment period. The Assessment period begins on March 1 of each year and ends on the last day of February of each succeeding year.

Section 5. Special Assessment -- Establishment -- Levy.

The Board of Directors of the Association may, by resolution adopted at any regular or special meeting, propose a special assessment which shall be submitted to the membership for approval at any regular or special meeting of the Members. The notice of any meeting of the Members at which a proposed special assessment will be considered shall be given, in writing, to each Member at least 15 days, but not more than 30 days, prior to the meeting and shall state the time, place and purpose of the meeting. The Resolution shall state the purpose of the proposed special assessment, the amount, duration and due date thereof.

The proposed special assessment shall be deemed enacted, shall become a lien on each Residential Lot, and shall be the personal obligation of each lot Owner upon approval of a majority of the voting Members present in person or by proxy at any meeting of the membership which is held in accordance with the provisions of this section.

The special assessment, if enacted, shall apply equally to each Residential Lot including those held by the Developer in its original unsold inventory and to those repurchased, reacquired, or repossessed by it.

Section 6. Quorum.

A quorum for any meeting of the membership shall be those Members present, in person or by proxy, at any duly called meeting notice of which shall have been sent as required by the applicable provisions of the Covenants, the Articles of Incorporation, By-Laws of the Association, or applicable law.

Section 7. Duties of the Board of Directors.

The Board of Directors of the Association shall prepare a roster of properties and assessments applicable thereto at least 15 days in advance of the due date of the Assessment. The roster shall be kept at the office of the Developer or the Association and shall be open to inspection by any Member during business hours.

The Developer or the Association shall send an annual notice of the Assessment to each Owner of record on or before February 15 of each year commencing February 15, 1997. The Association shall send a notice of any special assessment to each Member within 15 days next after the enactment of any such assessment. Failure of the Developer or the Association to send the notice of assessment (annual or special) shall in no way abrogate the lien of the Assessment nor the personal obligation of the Owner for the payment of same.

Section 8. Nonpayment of Assessment, Annual or Special--

Enforcement.

If any assessment, annual or special, remains unpaid more than 30 days beyond its due date as herein provided, the Association shall forthwith prepare and file NOTICE OF DECLARATION OF LIEN in such jurisdictions and in such manner as may be then prescribed by applicable law stating:

A. The name and address of the property owner -- debtor;

B. The name and address of the Association;

C. The source and basis of the lien;

D. The amount of the lien (principal, penalty and interest rate);

E. A description of the land ("Land") to which the lien attaches;

F. Date on which the lien commenced; and

G. Such other information as may be required by applicable law.

Thereafter, the Association may proceed by the then appropriate legal action in law or in equity in a Court of competent jurisdiction in personam against the Owner personally obligated to pay the same and/or in rem against the Land to enforce the lien against the Owner or against the Land to collect the Assessment.

Section 9. Subordination of Lien to Deeds of Trust,

Mortgages and Taxes.

The lien of the Assessment is and shall be subordinated to:

A. Taxes and Special Assessments:

Virginia taxes and Special Assessments levied by the Federal, State or local Government and the political subdivisions of either having jurisdiction in the premises;

B. To any Purchase Money Deed of Trust or mortgage;

C. To any other Deed of Trust or mortgage executed as security for a valid debt;

D. To any valid mechanics or materialman lien to the extent required by applicable law for work performed on or materials furnished in connection with improvements to any Residential Lot; provided, however, such subordination shall apply: (1) only to assessments which become due and payable prior to the sale of the Residential Lot to which it has attached in a foreclosure proceeding under the Deed of Trust or mortgage, or to a sale in a proceeding to enforce a tax lien, or to any other judicial proceedings to enforce the security interest of the person or legal entity entitled thereto and (2) only to the amount of such taxes, debt or lien including the cost of collection.

Subsequent assessments shall not be affected adversely by any sale or transfer of the Land. To the extent permitted by applicable bankruptcy law, the personal obligation of the Owner for payment of the Assessment shall not be terminated or otherwise affected by any sale under a foreclosure proceeding or court ordered sale, whether or not the Assessment becomes due prior or subsequent to the foreclosure proceeding or judicial sale.

Section 10. Exempt Property.

The following property shall be exempt from the Assessments, charges and liens created herein:

A. All properties to the extent of any easement or other interest therein devoted to public use;

B. All property defined in Article I., Section l.(g) and Article IV., Section 2. hereof; and

C. All property exempt from taxation pursuant to the laws of the Federal, State or local Government having jurisdiction in the premises.

ARTICLE VI.

CONSTRUCTION AND USE LIMITATIONS

It is the intent of the Developer to promote, protect and enhance the value of the Land, the Residential Lots, and the Common Facilities in the Subdivision.

Therefore, to the extent permitted by applicable law, in the event of a conflict between the Covenants and the applicable zoning or Subdivision ordinances or the Covenants and the applicable building codes, the highest, most stringent and most restrictive standard shall be deemed the controlling standard for all construction in the Subdivision.

Section 1. Residential Use and Construction Requirements (Conventional or Pre-fab Construction).

A. The Residential Lots shall be used for single family residential purposes only.

B. Single family residences of one story construction shall have a minimum of 1500 square feet inclosed, heated, living area.

Single family residences having more than one story shall have a minimum of 1700 square feet enclosed, heated area. The basement area, if any, shall not be included in the square footage requirements established by the covenants whether or not the basement is partial or full or partially or fully above ground level.

C. The main floor of the residence must be supported by and constructed on continuous weight bearing exterior walls (interrupted only by enclosed windows, doors or garage doors) built on a continuous footer constructed to meet the requirements of the applicable state and county building codes.

The main floor may be constructed, in whole or in part, on a concrete slab poured on grade.

The bottom of the foundation sill plate located on top of the foundation wall must be at least two feet above ground level at every point when neither basements nor concrete slabs are employed in the construction technique.

D. All dwellings for human habitation and other free standing structures erected on any lot shall be of conventional "stick built", "panelized", or "modular" on-site construction. At least 70% of the roof of any structure having less than 1751 square feet enclosed heated living area shall have a minimum slope of 6/12 and a minimum 12 inch overhang over each end and side wall.

E. All building materials shall be new or structurally sound.

All dwellings for human habitation and all other free standing structures erected on any lot in the subdivision shall have solid exterior, weight bearing footers, foundations and walls. The exterior walls of all improvements constructed upon any lot shall be brick, wood, aluminum, vinyl, masonite, dryvit or stucco. No asphalt shingles, tar paper, tin or similar building materials shall be used for the exterior walls of any improvements.

Concrete or similar blocks may be used for foundations but they shall not be employed as "above ground" exterior walls unless they are fully and permanently stuccoed or brick veneered.

F. No temporary structures of any nature shall be erected, located, occupied, used or maintained on any residential lot except for "port-a-johns" when used in connection with construction of an on-site single family residence and then only so long as such residence is under construction.

G. Manufactured houses prohibited.

Absolutely no manufactured houses (trailers, mobile homes or multiple wide mobile homes) are permitted in the Subdivision.

Manufactured houses (defined as mobile homes whether single or multiple wide) are absolutely prohibited. No manufactured houses shall be located, erected, placed or parked on any lot in the Subdivision. A manufactured house (single or multiple wide) is defined as a structure transportable in one or more sections that is built on a permanent chassis having an exterior tongue or other apparatus to enable the unit or units to be moved or towed from one location to another by use of an external motorized power unit and designed to be used as a dwelling for human habitation with or without a permanent continuous weight bearing foundation when connected to the required utilities and includes or may include all or portions of on board plumbing, heating, air conditioning, water, sewage and electrical systems.

H. All dwellings must have solid exterior, weight bearing walls, footers, and foundations.

I. The exterior construction of all improvements upon any residential lot and all grading, landscaping and seeding shall be complete within one year from commencement of construction.

If any such construction is not complete within one year of its commencement, the developer or the architectural control committee of the Association or the Association shall notify the owner of the Residential Lot upon which such incomplete construction is located of the deficiency after which the owner shall have 90 days to complete the exterior construction, landscaping, etc. after which the developer or the Association shall have the absolute right and first option but not the obligation to repurchase the Residential Lot in question at its original cost subject however to the lien of any then existing deeds of trust, judgements, liens or levies existing upon such property.

Section 2. Building Setback Lines:

A. Unless the applicable state statutes, local ordinances, or recorded subdivision plats require a more restrictive set back, the building line and the building setback lines are established as follows:

(1) Section A - Mecklenburg County:

(b). Front line (Street): 50 feet

(c). Rear line, waterfront: 0 feet

(d). Rear line, nonwaterfront: 30 feet

(2) Building line - Minimum Lot Width:

(a) Section A - Mecklenburg County: Each Residential Lot in Section A must be at least 100 feet wide at the building line.

If the recorded Plat establishes a building setback line or lines or a building line greater than those established in this Article VI, then the setback line or lines or the building line shown on the applicable Plat(s) shall control.

Section 3. Easements.

A. Utility and drainage easements: Each Residential Lot is subject to the following general and specific easements reserved for the use and benefit of public or private utility or service companies for electricity, telephone, water, sewer, gas, or cable TV service, and drainage:

(1) Side lines: 10 feet;

(2) Front line (street): 10 feet;

(3) Rear line *(waterfront): 0 feet;

(4) Rear line (non waterfront): 10 feet.

*That portion of any lot line that fronts on and is conterminous with lands of the Virginia Electric and Power company (VEPCO/Lake Gaston) is deemed "waterfront"

The Developer may convey utility easements in the designated area to the appropriate utility or service company whether or not the individual lot encumbered thereby has been conveyed to a third party.

Additionally, an easement for the drainage of surface water is reserved within the area designated for utility easements as set forth above.

If the Plat requires or denotes a lesser easement than that contained herein as to any Residential Lot, then the provisions of the Covenants shall control and the conflicting provision shown on the Plat is deemed amended to accord with the provisions of the Covenants.

If the Plat requires or denotes a greater easement than that contained herein as to any Residential Lot, then the provisions of the Plat shall control and the conflicting provision contained in the Covenants is deemed amended to accord with that shown on the Plat.

The easements may be used for the construction, reconstruction, operation and maintenance of utility conduits, poles, wires, pipes or fixtures and shall include the right to trim or cut any trees, brush, shrubs or grass ("Vegetation") that interferes, or threatens to interfere, with the construction, reconstruction, operation, and maintenance of the utilities whether or not the Vegetation is actually located upon or situate within the easement area designated above. The utilities shall be installed below the ground.

B. Drainage and Access Easements. The Developer reserves the right to clear, grade and maintain the drainage easements so as to afford physical ingress and egress over the easement area to, from, and within the Subdivision and any other property adjacent thereto.

Section 4. Advertising.

A. The Developer, the Owners or the agents or representatives of either, may advertise Residential Lots for sale by use of one, on-site sign not larger than 2-1/2 feet by 2-1/2 feet, erected on the specific lot to which the sign relates.

B. The Owner of any Residential Lot may display his name and/or address on one on-site sign not larger than one foot by two feet in diameter.

C. All signs shall be new and shall be properly and adequately maintained as to construction and appearance.

D. The Developer may erect and maintain one sign at the entrance to the Subdivision of such size, type and description and for such duration as it may desire for general advertising purposes.

Section 5. Livestock.

No livestock, poultry or animals shall be permitted in the Subdivision except family household pets (dogs and cats) and horses.

Household pets and/or horses shall not be maintained in the Subdivision for commercial purposes nor shall they be permitted to interfere with the right of quiet enjoyment of other persons owning property in the Subdivision.

Section 6. Garbage Containers.

Trash, garbage and other waste materials shall be kept in sanitary containers. Garbage cans and trash containers shall be kept in a clean, sightly and sanitary condition. They shall be concealed from the public view including the view of other Lot Owners except when placed curbside for pickups if and when garbage pickup service is available in the Subdivision.

Section 7. Fuel Containers.

All fuel tanks and other containers shall be buried or concealed from the public view including the view of other Owners.

Section 8. Plumbing Facilities.

All dwellings shall be equipped with inside plumbing facilities and shall conform to the minimum requirements of and shall be approved by the applicable Code Enforcement Officer or Officers and such other governmental agency having jurisdiction in the premise.

Section 9. Location of Improvements/Construction, Use Permits

Proposed improvements to or upon the Residential Lots must be submitted to and approved, in advance of construction, by:

A. The Mecklenburg County Health Department and/or the Mecklenburg County Building Inspector as to those Residential Lots in Virginia and to the corresponding agencies in Warren County, North Carolina for lots located in that jurisdiction.

B. The Architectural Control Committee of the Association and such other agencies of the local, state or federal government that have or any that may acquire jurisdiction in the premises;

C. As to lots fronting on Lake Gaston, the owner must obtain a permit from North Carolina/Virginia Power Company (currently located at P.O. Box 370, Roanoke Rapids, North Carolina 27870) before constructing docks, piers, bulkheads, walkways or other improvements in the lake or upon lands owned by the power company adjoining the lake.

ARTICLE VII.

ARCHITECTURAL CONTROL COMMITTEE

Section 1. Review by Committee.

No residence, outbuilding, fence or wall shall be constructed or located on any Residential Lot nor shall any addition or exterior change to or modification of the Improvements be commenced until the plans and specifications therefor have been submitted to and approved, in writing, by the Association.

If no action is taken by the Association within sixty (60) days after submission of the plans and specifications, the request shall be deemed approved.

ARTICLE VIII.

UTILITIES

Section 1. Water.

The Residential Lots shall be served by a central water system to be installed by the Developer at its expense. The central water system shall consist of one or more wells, pumps and tanks, and sufficient distribution lines to supply a reasonably continuous supply of potable drinking water for reasonable household purposes to a perimeter lot line of each Residential Lot.

The Owner of each Residential Lot shall pay a "hook on" fee of $1,500.00 per Residential Lot. The "hook on" fee shall be paid in advance when service is requested. Thereafter, the Owner shall pay a monthly usage fee of $8.00 per single family lot unless and until the monthly usage fees are changed by the supplier or unless and until they are set and regulated by a public authority having jurisdiction in the matter.

If two or more Residential Lots are owned by the same person or legal entity, separate hook on fees shall be paid for each even if the lots adjoin. Connections shall be required for each Residential Lot and each such lot (except those owned by the Developer upon which no improvements have been erected) shall be subject to the monthly usage fee after the connection is made following the Owners' request for the same.

The hook on fee shall be due and payable upon request for service. No service will be provided until the fee is paid in full.

The monthly fee is subject to increase upon thirty days prior written notice. The Developer has the right to establish water use rates; to meter each lot; and to charge a reasonable fee for water used in excess of 3,000 gallons per Residential Lot per month.

The Developer reserves the right to transfer the central water system to the Association, after installation, as part of the Common Property or to transfer it to an unrelated third party to be owned and operated by such party.

THE CENTRAL WATER SYSTEM WILL NOT AFFORD FIRE PROTECTION TO THE COMMUNITY.

The central water system will meet the applicable minimum requirements for single family domesticated household purposes. It will be constructed, completed, and available for use for the individual lot owners on or before December 31, 1997.

NO INDIVIDUAL WELLS, WATER SUPPLIES OR SYSTEMS ARE PERMITTED ON ANY RESIDENTIAL LOT OR ANY GROUP OF RESIDENTIAL LOTS. WATER SERVICE TO THE RESIDENTIAL LOTS SHALL BE OBTAINED SOLELY FROM THE CENTRAL SYSTEM.

ARTICLE IX.

SANITARY FACILITIES AND UTILITIES

Section 1. Privies Prohibited.

No outside toilet or privy shall be constructed or used on any Residential Lot.

No untreated waste from any lot shall be permitted to enter any stream, branch, creek, ditch, gully or tributary thereof nor shall any such effluent be permitted to enter Lake Gaston.

Section 2. Septic Tanks.

Sanitary waste disposal is and shall be the responsibility of each lot Owner. The Owners shall install and maintain, at their sole and separate expense, septic tanks and subsurface drain fields in strict compliance with the requirements of the applicable County Health Department and such other governing bodies or the agencies or political subdivisions having jurisdiction in the premises.

Prior to the commencement of construction of the septic tank or drain field or any other improvements, the Owners must contact the local Health Department and obtain an improvements permit for the facilities.

The local health officials are required to visit the Residential Lot and establish the location of the septic tank and drain field in advance of construction.

ARTICLE X.

STREETS

Section 1. Construction.

That portion of the roads located in Mecklenburg County, Virginia, will be owned by Mecklenburg County, Virginia according to the provisions of Section 15.1-478 of the Code of Virginia, 1950, as amended. The Developer will construct the roads to meet the minimum requirements of the applicable local county Subdivision Ordinance (the "Ordinance"). The roads will not be constructed or maintained by any public body. Neither Mecklenburg County, Virginia, Warren County, North Carolina, the Commonwealth of Virginia, the State of North Carolina, nor any other public body will maintain the roads.

Initially the Developer will maintain the roads. Ultimately the roads will be maintained by the Developer or the Property Owners Association according to the provisions of this Article.

With reference to that portion of the roads lying within Mecklenburg County, Virginia and as required by Article VI, Section 6-5-2 (J) of the Mecklenburg County Ordinance, it is recited that:

The roads in Mecklenburg County, Virginia will have a 50-foot right-of-way. The final wearing surface will be asphalt or tar and gravel, as the Developer, in its sole discretion, determines. The wearing surface will be eighteen feet wide, constructed on a six inch, compacted, crusher run base twenty feet wide.

That portion of the road located in the State of North Carolina will be constructed on a 60-foot right-of-way. The final wearing surface will be of asphalt or tar and gravel as the Developer, in its sole discretion, shall determine. The width of the wearing surface and the base upon which it is constructed will meet the minimum requirements of the State of North Carolina and Warren County for similar roads of like construction.

The roads will be constructed and reasonably maintained so as to provide two traffic lanes affording year round, all-weather access by conventional motor vehicle to each Residential Lot from North Carolina State Route 1307.

The Developer will complete the roads on or before December 31, 1997.

The Developer will maintain the roads until December 31, 2000, or until the Association, in the opinion of the Developer, is sufficiently established and capable of assuming maintenance responsibility for the roads, whichever first occurs, after which the Developer will transfer maintenance responsibility to the Association. Thereafter, the Association shall maintain the roads.

The annual assessments shall be used to defray the maintenance cost of the roads regardless of whether they are maintained by the Developer or the Association.

ARTICLE XI.

MOTOR VEHICLES

No unlicensed driver shall operate any licensed or unlicensed motor vehicle in the subdivision except for lawn mowers, farm or garden tractors, rotary tillers, etc. when operated "on premises" on any Residential Lot.

ARTICLE XII

BOAT PIER AND SLIPS

The Developer will construct one or more boat piers and slips (the "Slips"), generally in accordance with the design sketch hereto attached as Exhibit A, within the Lake Gaston water impoundment. The Developer reserves the right to change the design at any time without notice. The Slips will be located so as to be accessible by walkway from the Merrymount on Lake Gaston Subdivision and will be available on a "first come/first serve basis" as an appurtenance to a Residential Lot (the "Lot"). Each Slip located within the pier shall be assigned a number or letter. When a Slip is purchased in connection with a Lot, it shall be designated as a appurtenance to the Lot thereafter to be owned, held, used, enjoyed, and conveyed by the original owner and the original owner's successors, assigns, designates, or personal representatives only as an integral part of and appurtenance to the Lot to which it was assigned initially. A slip may be severed from the Lot to which it was assigned initially or subsequently if and only if it is reassigned, simultaneously with its severence, to another Residential Lot in the Subdivision.

Ownership of the slips and the Lot to which it is assigned must coincide exactly. In the event of a descripency between the recorded ownership of the slip and the deeded ownership of the Lot to which it is assigned as the deed to such Lot appears in the Clerk's Office or the Register's Office, the recorded ownership as stated on the face of the Deed to which the slip is assigned shall control.

The Developer has formed a nonstock, nonprofit corporation, "Merrymount Boat Slip Association, Inc." (the "Boat Slip Association"), chartered by the State Corporation Commission of Virginia. Each Slip will have one vote in the management and control of the Boat Slip Association.

In addition to the annual assessment to be paid to the Property Owners Association required under Article V. of the Covenants, each lot owner who has purchased a Slip and to which Lot a Slip has been assigned shall pay to the Boat Slip Association an annual fee of $200 (the "Annual Fee") to be used by that association to maintain the pier(s) and the Slips within the pier(s) and to obtain and maintain such liability insurance and other hazard insurance as the Boat Slip Association shall determine from time to time and to do and perform such other and more acts or things as are deemed necessary and proper by the directors of the Boat Slip Association.

The Annual Fee is hereby made and shall remain a continuing lien on the Lot to which the Slip is assigned. In addition, the Annual Fee shall be, become, and thereafter remain the joint and several personal obligation of the owner or owners of the Lot to which it is assigned, it/their successors and assigns.

To the extent not prohibited by applicable law, the lien of and personal obligation to pay the Annual Fee shall include:

A. The principal amount thereof; and

B. A late payment charge of 50% of the principal amount of the Annual Fee if it is not paid on or before the 10th day following its due date; and

C. Compound interest at 10% per annum computed on the sum of the Annual Fee and the late payment penalty from and after the due date thereof (hereinafter defined); and

D. All court costs incurred by the Boat Slip Association in the collection of any unpaid Annual Fee (principal, penalty, and interest); and

E. Attorney fees of 33-l/3% of the total amount of the Annual Fee including principal, penalty, and accrued unpaid interest.

The obligation to pay the Annual Fee shall commence on March 1 following the date of the deed by which the Lot and the Slip are conveyed to the original purchaser by the Developer, and the Annual Fee shall be due and payable on March 1 annually thereafter. The Annual Fee shall not be prorated for any portion of any year.

The amount of the Annual Fee may be increased at any time by the Directors of the Boat Slip Association, but the amount of any increase shall not exceed 25 percent of the then current Annual Fee in any assessment period.

Additionally, the Directors of the Boat Slip Association may, at any regular or special meeting, adopt a special assessment which shall be submitted thereafter to the membership of the Boat Slip Association for approval at any regular or special meeting of the owners of the Lot and Slip. Notice of any such meeting shall be given in writing to each Lot and Slip owner at least fifteen days but not more than thirty days prior to the meeting and shall state the time, place, and purpose of the meeting. The notice shall state the purpose of the proposed special assessment, the amount, duration, and due date thereof.

The Developer shall control the Boat Slip Association until it has sold a majority of the Slips. Thereafter, on the basis of one vote per Slip, control of the Boat Slip Association shall pass to the unrelated third party purchasers/owners of the Lot and Slips.

The Developer shall maintain the Slips and the pier(s) in which they are located until a majority of the Slips have been sold after which the Developer's sole responsibility for the Slips will be to pay the Annual Fee of $200 per slip for each unsold Slip remaining in its inventory.

The Boat Slip Association shall maintain the pier(s) and Slips in a structurally sound condition.

The Board of Directors of the Boat Slip Association shall have and it is hereby given the right to amend, supplement, alter, or change the provisions of This Article XII of the Covenants without the consent of the Merrymount Property Owners Association, Inc. Any such amendment adopted by the directors of the Boat Slip Association shall be submitted to the slip owners for ratification at any regular or special meeting of the membership of the Merrymount Boat Slip Association, Inc., and shall become effective upon ratification of such proposal(s) by the slip owners by a majority vote of the members present in person or by proxy.

ARTICLE XIII.

GENERAL PROVISIONS

Section 1. Duration.

The Covenants shall run with and bind the land and shall inure to the benefit of and shall be enforceable by the Developer, the Association or the Owner of any Residential Lot in the Subdivision, their respective legal representatives, heirs, successors and assigns, until December 31, 2020 (the "Original Term"). Thereafter, the Covenants shall be automatically extended for five successive periods of five years each (the "Additional Term") unless amended or modified by the affirmative vote of a majority of the then owners of the Residential Lots at a duly held meeting of the Association held prior to the expiration of the Original Term or the then current Additional Term.

No amendment to the Covenants shall be effective until it is recorded in the applicable clerk's office.

Section 2. Notices.

Any notice required to be sent to any Member or Owner under the provisions of the Covenants shall be deemed legally given when mailed, postage prepaid, to the last known address of the Owner on the records of the Developer or Association at the time of such mailing.

Section 3. Enforcement.

Enforcement of these covenants shall be by any proceeding at law or in equity in a court of competent jurisdiction against:

A. Any person or persons violating or attempting to violate any covenant or restriction, either to enjoin violations or to recover damage; and

Enforcement proceedings may be instituted and maintained by:

(4) any government or agency thereof having jurisdiction in the premise.

The failure of the Association, Developer or any Owner to enforce any covenant or restriction herein contained shall not be deemed a waiver of the right to do so thereafter.

Section 4. Rights of the Developer and/or Association.

The Developer or the Association, is hereby given the right to enter upon any Residential Lot for the purpose of removing signs, debris, brush, junk or any other unsightly or unsanitary condition and shall not be considered a trespasser in so doing. The Developer and/or Association further reserves the right to make a reasonable charge to the Owner of such lot or lots for such service which charge shall be a lien upon the lot and shall be fully enforceable by the Developer or the Association through appropriate legal action.

Section 5. Severability.

Invalidation of any provision of the Covenants by order or decree of any Court shall in no way effect the remaining provisions of the Covenants which shall continue in full force and effect.

IN WITNESS WHEREOF, Warren Land Company, a North Carolina corporation, domesticated for business in the Commonwealth of Virginia, causes these Covenants to be executed by its President, attested by its Secretary, as its corporate act and deed, pursuant to authority of its Board of Directors as of the date and year first above written.

WARREN LAND COMPANY, a North Carolina Corporation

MERRYMOUNT ON LAKE GASTON

Owned and Developed by

Warren Land Company, a North Carolina Corporation

Domesticated for Business in Virginia

FIRST SUPPLEMENT TO THE DECLARATION OF

PROTECTIVE COVENANTS OF

MAY 28, 1996

RECITALS:

A. Reference is made to the Declaration of Protective Covenants of May 28, 1996 (the "Covenants"), executed and published by Warren Land Company (the "Developer") and recorded in the Clerk's Office of the Circuit Court of Mecklenburg County, Virginia (the "Clerk's Office") in Deed Book 504, Page 489, and in the Office of the Register of Deeds of Warren County, North Carolina (the "Register's Office") in Deed Book ______, Page ______, the provisions of which are incorporated in haec verba.

B. The Developer reserved the free and unrestricted right to add additional land to the Subdivision in the manner and to the extent set forth in Article II, Section 2 of the Covenants.

C. The land described in Article II, Section 1 (A-1) of the Covenants lies in Mecklenburg County, Virginia.

The land encumbered by the easements of access and utility described in Article II, Section 1 (B) of the Covenants lies in Palmer Springs District, Mecklenburg County, Virginia and Hawtree Township, Warren County, North Carolina, a portion of which, together with Lot No. 1 of the Subdivision is shown on a plat of survey prepared by Crutchfield and Associates, Inc. (Marvin L. Crutchfield, R.L.S.) dated March 27, 1996, (File No. 95 240 C1) (Plat II) of record in the Register's Office in Cabinet 1, Slide 60, Plat 2.

D. Lot 1 of the Subdivision shown on Plat II lies in both Palmer Springs District, Mecklenburg County, Virginia and Hawtree Township, Warren County, North Carolina.

The Developer desires to incorporate Lot 1 into the Subdivision and to subject it to the Covenants in the same manner and to the same extent and purpose as if it had been set forth and described in Article II, (A) Section 1, (A-1) of the Covenants ab initio.

E. Further, in the manner and to the extent permitted or required by the laws of the State of North Carolina, the Developer confirms the dedication of that portion of Hawtree Way extending from the north line of North Carolina State Route 1307 north to its point of intersection with the North

Carolina-Virginia state boundary as a perpetual though nonexclusive easement of access and utility for the purposes set forth in Article II Section 1 (B) of the Covenants for the use and benefit of the Developer, the Association and the Boat Slip Association, and the Owners as defined in the Covenants, their successors, assigns and designates subject however to the right of the Developer, its successors and assigns to make improvements, modifications and changes upon, within or to the said road way, including its location and design until such time as the Developer has relinquished its interest in the roads and common facilities in the Subdivision to the Association after which the right to make such improvements, modifications and changes shall vest in the Association.

Now therefore in consideration of the premises and the mutual Covenants accruing to the Developer, the Association, the Boat Slip Association, the Owners and the Subdivision generally, the Developer hereby:

1. Restates and incorporates the Recitals herein by reference;

2. Incorporates Lot 1, Section A and that portion of Hawtree Way shown on Plat II into the Covenants to the same extent and purpose as if said property and property interest had been set forth in and subjected to the Covenants ab initio;

3. The Covenants as amended and supplemented hereby are ratified, confirmed, readopted and republished as of the date hereof.

IN WITNESS WHEREOF Warren Land Company, a North Carolina corporation, causes this First Supplement to the Declaration of Protective Covenants to be executed in its behalf by its President, attested by its Secretary with its corporate seal hereto affixed by authority of its Board of Directors as of May 28, 1996.

WARREN LAND COMPANY, a North

Carolina Corporation

MERRYMOUNT ON LAKE GASTON

Owned and Developed by

Warren Land Company, A North Carolina Corporation

Domesticated for Business in the Commonwealth of Virginia

SECOND SUPPLEMENT TO THE DECLARATION OF

PROTECTIVE COVENANTS OF

MAY 28, 1996

RECITALS:

A. Reference is made to:

1. The Declaration of Protective Covenants of May 28, 1996, (the "Covenants") executed and published by Warren Land Company (the "Developer") and recorded in the Clerk's Office of the Circuit Court of Mecklenburg County, Virginia (the "Clerk's Office"), in Deed Book 504, Page 489, and in the Office of the Register of Deeds of Warren County, North Carolina (the "Register's Office"), in Deed Book 625, Page 143, and;

2. The First Supplement to the Covenants executed and published by the Developer as of May 28, 1996, recorded in the Register's Office September 18, 1996, in Deed Book 625, Page 539 and in the Clerk's Office March 3, 1998, in Deed Book 540, Page 509, the provisions of which are incorporated in haec verba.

The Second Supplement pertains to Lot 1 and to that portion of the land encumbered by the easements of access and utility (the "Easements") lying in Hawtree Township, Warren County, North Carolina. The Easement, among other things, affords access to that portion of the Subdivision lying in Palmer Springs Magisterial District, Mecklenburg County, Virginia from North Carolina State Route 1307.

B. The Developer reserved the free and unrestricted right to add additional land to the Subdivision in the manner and to the extent set forth in Article II, Section 2 of the Covenants.

C. The Developer has now subdivided additional land into Residential Lots as defined in the Covenants and access roads as shown on a plat of survey prepared by Crutchfield and Associates, Inc., Surveyors-Engineers-Planners, Chase City, Virginia, (the "Plat") dated July 31, 1996, bearing File No. 95-240 B (consisting of 2 sheets) consisting of Lots 75-84; 85-85B; 86-103 and 129, hereto attached and incorporated herein by reference as Exhibit "A" to be recorded in the Clerk's Office simultaneously with or immediately next preceding the recordation of this Second Supplement to the Covenants.

Lots 85 and 85B shown on the Plat, although non- contiguous and separated by Merrymount Road, are deemed to constitute one single unit the primary building site upon which is located on Lot 85 and the on-site sewage disposal site for which is located on Lot 85B the access to which is and shall be had over, across, along, through and under a right-of-way thirty (30) feet in width extending across Merrymount Road from the south line of Lot 85 to the north line of Lot 85B which shall be owned, used, held and enjoyed by the Developer, its successors and assigns as a non-exclusive, perpetual easement for the construction, reconstruction, operation and maintenance of a sewage collector line to extend from Lot 85 to Lot 85B at such time and from time to time as improvements are constructed on Lot 85 and the on-site sewage disposal system for the improvements of Lot 85 is constructed "on-site" on Lot 85B the exact location of which is shown on the Plat.

All cost incurred by the Developer, its successors or assigns arising out of, resulting from or incident to the design, location, construction, reconstruction, operation and maintenance of the collector line, including the cost of repairing the area of the street, curbs, ditches, shoulders, etc. within the Easement disturbed in connection therewith shall be to the account of the Developer or the subsequent owners of Lots 85-85B. D. The Developer desires to incorporate Lot 75-84; 85-85B; 86-103 and Lot 129, (the "Lots") shown on the Plat, into the subdivision and to subject the Lots to the Covenants and to the First Amendment in the same manner and to the same extent and purpose as if the Lots had been set forth and described in Article II (A), Section 1, (A-1) of the Covenants ab initio.

NOW, THEREFORE, in consideration of the premises and the mutual covenants accruing to the Developer, the Association, the Boat Slip Association, the Owners and the Subdivision generally, the Developer hereby:

-I-

Restates and incorporates the Recitals herein by reference.

-II-

Incorporates the Lots and the roads shown on the Plat into the Covenants and into the Subdivision to the same extent and purpose as if they had been set forth in and subjected to the Covenants ab initio.

-III-

The Covenants, as amended and supplemented hereby, are ratified, confirmed, and republished as of the date hereof.

IN WITNESS WHEREOF Warren Land Company, a North Carolina corporation, causes this Second Supplement to the Declaration of Protective Covenants to be executed in its behalf by its President, attested by its Secretary with its corporate seal hereto affixed by authority of its Board of Directors as of this _____ day of March, 1998.

WARREN LAND COMPANY, a North

Carolina corporation

MERRYMOUNT ON LAKE GASTON

Owned and Developed by

Warren Land Company, A North Carolina Corporation

Domesticated for Business in the Commonwealth of Virginia

THIRD SUPPLEMENT TO THE DECLARATION OF

PROTECTIVE COVENANTS OF

MAY 28, 1996

R E C I T A L S:

A. Reference is made to:

1. The Declaration of Protective Covenants of May 28, 1996, (the "Covenants") executed and published by Warren Land Company (the "Developer") and recorded in the Clerk's Office of the Circuit Court of Mecklenburg County, Virginia (the "Clerk's Office"), in Deed Book 504, Page 489, and in the Office of the Register of Deeds of Warren County, North Carolina (the "Register's Office"), in Deed Book 625, Page 143, and;

2. The First Supplement to the Covenants executed and published by the Developer as of May 28, 1996, recorded in the Register's Office September 18, 1996, in Deed Book 625, Page 539 and in the Clerk's Office March 3, 1998, in Deed Book 540, Page 509, the provisions of which are incorporated in haec verba.

3. The Second Supplement to the Covenants executed and published by the Developer as of May 28, 1996, recorded in the Clerk=s Office March 20, 1998, in Deed Book 541, Page 777 (unrecorded in the Register=s Office since all property therein described is located solely within Mecklenburg County, Virginia), collectively the ACovenants@ the provisions of which are incorporated herein by reference.

B. The Developer desires to and it does hereby amend the Second Supplement in the manner and to the extent hereinafter set forth reciting affirmatively that no lot in Section B of the Subdivision consisting of Lots 75-85, 85-B and 129 has been sold, conveyed, transferred or assigned by the Developer each and all of which are presently owned by the Developer.

NOW THEREFORE this Third Amendment and Supplement to the Covenants is made and published by the Developer as of April 15, 1999, in the manner and to the extent following and none other:

-I-

The reference to the ASecond Supplement@ in Paragraph 2, Page 1 of the Second Supplement recorded in the Clerk=s Office in Deed Book 541, Page 777, is incorrect and is amended accordingly to read Athe First Supplement...@

-II-

Recital (C) of the Second Supplement is hereby deleted in its entirety and in lieu thereof the following is substituted:

Lots 85 and 85-B are deleted as a AResidential Lot@ as that term is defined in Article I, Section 1(c) of the initial Covenants.

The Developer, at his sole discretion, in the future may:

-III-

The Covenants, as amended and supplemented hereby are ratified, confirmed and republished as of April 15, 1999.

IN WITNESS WHEREOF Warren Land Company, a North Carolina corporation, causes this Third Supplement to the Declaration of Protective Covenants to be executed in its behalf by its President, attested by its Secretary with its corporate seal hereto affixed by authority of its Board of Directors as of this 15th day of April, 1999.

MERRYMOUNT ON LAKE GASTON

FOURTH SUPPLEMENT TO

THE DECLARATION OF PROTECTIVE COVENANTS

OF MAY 28, 1996

RECITALS:

A.      References made to the Declaration of Protective Covenants of May 28, 1996 (the "Original Covenants"), executed and published by the Warren Land Company and recorded in the Clerk's Office of the Circuit Court of Mecklenburg County, Virginia (the "Clerk's Office") in Deed Book 504, page 489, and in the Office of the Registrar of Deeds of Warren County, North Carolina (the "Register's Office) in Deed Book 625, page 143, as amended by the First Supplement to the Declaration of Protective Covenants of May 28, 1996 (the "First Supplement") executed and published by the Warren Land Company and recorded in the Clerk's Office in Deed Book 508, page 424, and in the Register's Office in Deed Book 625, page 539; Second Supplement to the Declaration of Protective Covenants of May 28, 1996 (the "Second Supplement" recorded in Clerk's Office in Deed Book 541, Page 777); Third Supplement to the Declaration of Protective Covenants of May 28, 1996 (the "Third Supplement" recorded in Clerk's Office in Deed Book 577, Page 99).The second and third supplements are unrecorded in the Register’s Office since all property therein described is located solely within Mecklenburg County, Virginia.  The provisions of the Original Covenants and the First Supplement, Second Supplement and Third Supplement are incorporated herein by this reference and collectively referred to as "Covenants."

B.       In order to better preserve the values of the Residential Lots and promote the amenities of the Land, the Merrymount Property Owners' Association, Inc. (the "Association") desire to further amend the Covenants. 

C.       Based on an affirmative vote of the majority of the Owners of the residential lots in the Merrymount on Lake Gaston Subdivision ("Merrymount Subdivision") the Covenants are amended as follows:

1.        Article V is hereby amended to include:

        Section 5A.   Impact Fee

                An Impact Fee of $500 to help offset the normal wear of the roads from heavy construction equipment is imposed on each property owner. The impact fee is due and payable to the Association when a building permit is issued for any unimproved residential lot. Those property owners with residences in place as of May 26, 2000 shall pay a fee of $250 for any future construction/improvements requiring a building permit.

2.     Article VI is hereby amended to delete “horses” from the approved list of pets:

        Section 5. Livestock.

         “No livestock, poultry or animals shall be permitted in the Subdivision except family household pets (dogs and cats). Stabling of horses is not permitted in the Subdivision. Household pets shall not be maintained in the Subdivision for commercial purposes nor shall they be permitted to interfere with the right of quiet enjoyment of other persons owning property in the Subdivision.”

3.     Article VII is hereby amended to add the following sections:

        Section 2. Committee

        The Architectural Control Committee shall consist of three committee members and one alternate appointed by the Board of Directors of the Association to serve for a term of one year each. 

        Section 3. Architectural Guidelines.

        The Architectural Control Committee shall promulgate guidelines to assist owners in improving their Residential Lots.  The guidelines shall identify the procedure and criteria for review of Residential Lot improvement applications.  Decisions of the Architectural Control Committee will be made on majority basis in a manner prescribed in the guidelines. 

        Section 4. Appeal Process.

        Any Owner shall have the right to appeal the decision of the Architectural Control Committee to the Board of Directors.  The Board of Directors shall have the right to determine the manner and procedure by which appeals shall be heard.  The decision of the Board with regard to any appeal of the Architectural Control Committee shall be final.

4.        Article VIII, Section 1.  is hereby amended to delete the following sentences:

"The Owner of each Residential Lot shall pay a "hook on" fee of $1,500.00 per Residential Lot.   The "hook on" fee shall be paid in advance when service is requested.  Thereafter, the Owner shall pay a monthly usage fee of $8.00 per single family lot unless and until the monthly usage fees are changed by the supplier or unless and until they are set and regulated by a public authority having jurisdiction in the matter."

In its place is hereby inserted the following sentences:

"The water system for the Subdivision is operated by a Virginia Public Service Corporation and regulated by the Virginia State Corporation Commission.  The initial water connection fee for each Residential Lot and the monthly usage charge for water will be determined by the private entity responsible for operating the central water distribution system."

5.   The Declaration of Protective Covenants which established the Merrymount Property Owners Association and the Architectural Control Committee take priority over each homeowner's General Warranty Deed which conveyed ownership of property.

6.        The Covenants, including this Fourth Supplement, are hereby ratified, confirmed and readopted and republished as of the date hereof.  The undersigned Chairman of the Board affirms that this Fourth Supplement to the Declaration of Protective Covenants has been duly adopted pursuant to the provisions of the Covenants and shall be effective for all Owners of the Merrymount Subdivision upon recording a true and accurate copy of the Fourth Supplement in the Clerk's Office and the Registrar's Office. 

IN WITNESS WHEREOF, the Chairman of The Board of Directors of The Merrymount Property Owners Association executes and publishes this Fourth Amendment by authority of the Board of Directors on the second day of February, 2002.

Merrymount Property Owners Association, Inc.

By: _________________________________

                Chairman of the Board of Directors

STATE OF __________________

COUNTY OF ________________

                I, __________________________________, Notary Public, certify that _____________________________________ personally came before me this day and acknowledged that [he,she] is __________________ Secretary of ____________________________, a corporation, and that, by authority duly given and as the act of the corporation, the foregoing instrument was signed in its name by its _______________ President, sealed with its corporate seal, and attested by himself as its _____________________________ Secretary.

                WITNESS my hand and notarial seal, this ________ day of _____________________________, 20__.

                 ______________________________

                                          Notary Public

My Commission Expires: ______________________________

MERRYMOUNT ON LAKE GASTON

FIFTH SUPPLEMENT TO THE DECLARATION OF PROTECTIVE COVENANTS OF MAY 28. 1996
RECITALS. A. Reference is made to:

1. The Declaration of Protective Covenants of May 28, 1996 (the "Original Covenants") executed and published by the Developer, Warren Land Company, Inc., recorded in the Clerk's Office of the Circuit Court of Mecklenburg County, Virginia ("Clerk's Office") In Deed Book 504, Page 489 and in the Office of the Register of Deeds of Warren County, North Carolina (the "Register's Office") in Deed Book 825, Page 143, amended and supplemented by a First Supplement recorded in the Clerk's Office in Deed Book 508, Page 424 and re-recorded in Deed Book 540, Page 509, and in the Register's Office in Deed Book 625, Page 539; a Second Supplement recorded in the Clerk's Office in Deed Book 541, Page 777; a Third Supplement recorded in the Clerk's Office in Deed Book 577, Page 99; a Fourth Supplement recorded in the Clerk's Office as Instrument #020001108. The Second and Third Supplements are not recorded in the Register's Office since all of the property therein described is located solely in Mecklenburg 'Countty, Virginia. The Fourth Supplement is hereto attached as Exhibit A and will be recorded in the register's Office as a part of this recordation. The Original Covenants and the First, Second, Third, and Fourth Supplements are incorporated herein by reference and are referred to colectively, as the "Covenants."

A. The "Developer", Warren Land Company, Inc. reserved the right to add additional land to the Subdivision, Merrymount on Lake Gaston, until December 31, 2000. Nonetheless, the Developer desires to, and it does hereby add additional land adjacent and contiguous to a portion of the original subdivision to the subdivision. The additional land sought to be added consists of thirteen (13) lots ("the Additional Lots") designated as "Section C" Merrymount on Lake Gaston...., as shown by a survey and plat thereof prepared by Crutchfield & Associates, Inc. (Marvin L. Crutohfield, LS.) bearing File No. 03155.CRD/ 03155FS1.DWG/03155FS2 .DWG" dated March 16, 2004, revised:March 24, 2004 (the "Plat") to be recorded in the Clerk's Office and in the Register's Office, since portions of the land shown thereon as Lots 201 - 213 inclusive;, lie in both Palmer. Springs District, Mecklenburg County, Virginia and in Hawtree Township, Warren County, North Carolina.

B. The Developer desires to further amend the Covenants, Article VI Section 1 Subparagraph B, as the same pertains to the Additional Lots in the following manner:

ARTICLE VI CONSTRUCTION AND USE LIMITATIONS
Section I.
Residential Use and Construction Requirements (Conventional or Pre-fab Construction)

A. Single family residence of one story construction located on Lots 201 - 213, shall have a minimum of 1700 square feet enclosed heated, living area. Single family residence having more than one story located on Lots 201 - 213, shall have a minimum of 2100 square feet enclosed heated area. The basement area, if any, shall not be included in the square footage requirements established by the Covenants as amended and supplemented regardless of whether or not the basement Is partial or full or partially or fully above ground.

B. Amended and supplemented hereby, the Covenants are restated, ratified, and adopted effective May 29, 2004. The foregoing Amendment to the Declaration of Protective Covenants for Merrymount on Lake Gaston was formally approved by the Board of Directors of the Merrymount Property Owners Association, Inc. at its meeting and upon recommendation of the Board or Directors, was ratified and approved by the members of the Association at its annual meeting duly held May 29, 2004, pursuant to notice, at which a quorum was present and acting throughout.

FILED WARREN COUNTY, NC ELSIE R, WELDON REGISTER OF DEEDS FILED Jul12, 2004 AT 04:34:33 pm BOOK 00778 START PAGE 0211 END PAGE 0217 INSTRUMENT # 02772