Compass Cove Resort HOA Risk Assessment: Program-leaning

02 The five questions

What the documents decide
before your first guest books.

Five dots is the best answer for an owner who wants to run the unit themselves. One dot is a red flag. Open “What the documents say” under each for the exact words.

Can you rent it your way?

Typical

Whether the deed and rules let you rent short-term on your own terms: no requirement to use the on-site program, no minimum stay that kills weekend bookings, and no rule against saying where the condo is.

Short-term rentals are expressly allowed with no minimum stay and the owner may self-manage or use any off-site manager, but every listing must carry the mandated disclaimer, may not mention or picture the resort's commercial amenities, and the owner must keep an occupancy registry and a 30-minute responder on file.

Short-term rentalsAllowed

Must use on-site programNo

Owner may rent it personallyYes

Off-site manager allowedYes

RegistrationAn Association occupancy registry of all persons occupying each unit with contact information, plus a single point of contact for the renting owner who can respond on behalf of the unit within 30 minutes (Rules, Unit Occupancy). Every guest must be given a copy of the Rules and Regulations before arrival (Rules, Commercial Areas). Association must hold a working key or access code to every unit (Rules, Keys; Master Deed Art. XVII). No separate rental permit, fee or registration with the on-site operator is stated.

Advertising rulesOwners renting personally or through an off-site manager must not reference the availability of the resort's commercial services, operations or amenities in text or photographs, and every electronic, digital, print or other listing must carry the mandated disclaimer (Rules, Commercial Areas). No "For Rent"/"For Sale" signs anywhere on the property without prior Association approval (Rules, Signs; Master Deed Art. XIX). The exclusive right to advertise over corridors, elevators, building exterior and parking areas belongs to Commercial Unit CU-1 (Master Deed Art. IV and Exhibit B).

Disclaimer in your listingRequired

Vote to change rental rulesRules and Regulations may be revised by the Board of Directors alone (Rules, Please Note), but any rule that affects the Commercial Units is not binding without the Grantor's written consent (Master Deed Art. XV). Master Deed amendments generally need 67% of members owning a unit (Art. XXIX); the Art. XIV restriction reserving rental-management/front-desk/guest-services business to the Commercial Units can only be amended with the consent of the Grantor (its successors and assigns) AND the unanimous vote of all unit owners; any change to Commercial Unit rights needs the Grantor plus all commercial unit owners.

What the documents say (9)

“No UNIT or any portion thereof may be submitted to a plan of Interval Ownership or any form of timesharing. Provided however, nothing herein shall be construed as limiting the right of any OWNER of any UNIT from renting or leasing his, her, their or its UNIT, subject to all terms and conditions of this Master Deed.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XIV, page 12

“UNIT OWNERS may rent their Units, but are restricted against using any part of the COMMON ELEMENTS to engage in the business of renting.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XIV, page 12

“all Owners who elect to rent their units either personally, or through an off-site rental management company, shall refrain from referencing the availability of such commercial service, operations and amenities (whether in text or photographs).”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, COMMERCIAL AREAS, pages 2-3

“In addition, any electronic, digital, print or other media listings, advertising or marketing materials for such units shall include the following disclaimer: "RENTAL OF THIS UNIT DOES NOT INCLUDE ANY FORM OF FRONT-DESK SERVICE OR ACCESS TO, OR USE OF, CERTAIN COMMERCIAL OPERATIONS LOCATED UPON THE PROPERTY".”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, COMMERCIAL AREAS, page 3

“Any and all guests of such units shall receive a copy of these rules and regulations prior to arriving at the property.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, COMMERCIAL AREAS, page 3

“No signs including "FOR SALE", "FOR RENT", etc. shall be displayed to the public on any units or any portion of the Association property, unless prior Association approval is obtained.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, SIGNS, page 2

“The foregoing restriction on commercial activities may not be amended without the consent of the GRANTOR, its successors and assigns, and the unanimous vote of all UNIT OWNERS.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XIV, page 12

“To further enforce the policies, these Rules and Regulations are subject to revision by the HOA Board of Directors.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, PLEASE NOTE, page 3

“During the months of November, December, January and February, long term (30 days or more) renters may bring pets if permissible by specific owner.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, PETS, page 1

Will your guests be treated like guests?

Caution

Whether a guest who booked through you gets the same resort as a guest who booked through the front desk: the same pools, parking, wristbands and check-in, or a second-class version of them.

Off-program guests share the pools, decks, elevators and beach access with Association-issued wristbands and passes, but are excluded from ten named amenities including the waterslides, restaurant, bars, fitness center and laundry, get no front-desk service, and the disclaimer must say so.

Amenities for your guestsRestricted

Off limits to your guestsFront-desk service and check-in, The Tiki Bar, Compass Rose Restaurant, The waterslides, The Crows Nest, Compass Joe Coffee Shop, The arcade, The gift shop, The business center, The laundry facility, The fitness center, Trash chutes (exclusive to the Commercial Unit Owner), On-premises maids' closets (exclusive to CU-1)

Wristbands & parking passesThe Association mails non-program units 'several' wristbands near the start of each year, ten common-area keys, and parking passes to hand to guests; additional wristbands and keys must be requested from the Association Office (Ally Management) Monday-Friday 9-5, and extra keys carry a charge. Number of wristbands/passes per unit and any wristband cost are unstated. Guests must wear pool bands on the pool deck. Vehicles must fit one marked space and may not stay longer than the guest's occupancy.

Check-inowner handles (no front-desk service for off-program guests; the owner distributes keys/codes, wristbands and parking passes; the Association must hold a working key or access code; lock changes need Board approval and lockboxes are banned from hallways and stairwells)

TrashTrash chutes are reserved to the Commercial Unit Owner. Off-program units must bag trash in heavy-duty plastic and carry it to the compactor next to the Annex parking garage across the street from the Pinnacle Tower; cardboard, bottles and cans go to the blue commingle dumpster behind the Pinnacle parking garage. Bags may not be left outside unit doors. Bulk items and contractor debris must be hauled off-site at the owner's expense.

ElevatorsElevators and stairs are common elements open to all owners and guests; no service-elevator-only or guest-elevator restriction is stated. Move-ins/move-outs must occur during business hours and be coordinated with building maintenance.

Housekeeping & linenOwners may use independent daily/weekly maid service, but only the CU-1 owner may use the on-premises maids' closets, and the laundry facility is a commercial area closed to off-program guests, so linens must be handled off-site or in-unit. The HOA budget funds $70,000 of pool towels from all owners' dues, but whether off-program guests can obtain them is unstated.

What the documents say (9)

“Access to portions of the property's commercial operations and amenities are limited to only those guests renting through the on-site commercial management company.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, COMMERCIAL AREAS, page 2

“The Commercial areas include; The Tiki Bar, Compass Rose Restaurant, the waterslides, the Crows Nest, Compass Joe Coffee Shop, the arcade, the gift shop, the business center, the laundry facility and the fitness center.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, COMMERCIAL AREAS, page 3

“Per the Master Deed, the trash chutes are for the exclusive use of the Commercial Unit Owner, therefore, units not participating with the onsite rental company, must discard all trash in the compactor located at the parking garage.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, TRASH, page 2

“Units not participating on the onsite rental program, will be sent several wristbands near the beginning of each year. Additional wristbands should be requested from the Association Office, Monday thru Friday, 9AM-5PM.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, WRISTBANDS, page 1

“Units not participating on the onsite rental program will be sent ten (10) common area keys. Additional keys may be requested from the Association Office, Monday thru Friday, 9 AM to 5 PM. Charges will apply.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, KEYS, page 1

“Units not participating with the onsite rental company will be sent parking passes to distribute to their guests.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, PARKING, page 2

“Guests must wear appropriate pool bands while on pool deck.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, SWIMMING POOLS, page 2

“Daily or weekly maid service is permitted by independent contractors acting for one or more UNIT OWNERS, but only the OWNER of COMMERCIAL UNIT CU-1 shall be entitled to use the on premises maids closets.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XIV, page 12

“the COMMON ELEMENTS shall be, and the same are hereby declared to be, subject to a perpetual non-exclusive easement in favor of all of the OWNERS of UNITS in the Condominium for their use and the use of their immediate families, guests, licensees and invitees, for all proper and normal purposes”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article VII, page 9

How much work lands on you?

Caution

What the rules make the owner personally responsible for: a local contact who answers in minutes, keys and passes, trash, fines for guest behaviour, vendor hours and elevators.

Three of the four worst-case markers are present - a 30-minute response rule, owner-hauled trash to a compactor across the street, and $200/day-escalating fines that lien the unit - plus distributing keys/wristbands/passes and delivering the Rules to every guest; only a service-elevator rule is absent.

Local contactRequired: a single point of contact for the renting owner, listed in the Association's occupancy registry, able to respond on behalf of the unit to any rule violation or emergency.

Response time30 minutes (Rules, Unit Occupancy).

Locks & keysAssociation must hold a working key or access code to every unit (Rules, Keys; Master Deed Art. XVII, with the cost of making a key charged to a non-complying owner under Art. XXI). Entry-door and lock modifications need Board approval; no lockboxes in hallways or stairwells. Ten common-area keys are issued to non-program units; extra keys are charged.

FinesWarning first; then fines starting at $200 per infraction, plus $50 per day for wilful violations until remedied; smoking/vaping fines start at $250 per occurrence; throwing anything off a balcony results in eviction of all guests from the unit. Fines are a lien on the unit and a personal obligation of the owner whether the violator was the owner or a guest; Board decision after hearing is final. By-Laws Art. III Sec. 23 adds that a fine is first assessed to the occupant and shifts to the owner if unpaid, and the Board may suspend an owner's vote and common-area use. Owners are also liable for repair costs caused by guests to the extent not covered by Association insurance (Master Deed Art. XXX.B).

Contractors & vendorsContractors must be licensed in Horry County and the City of Myrtle Beach, carry liability and workers' comp with a certificate of insurance on file naming the Association as additional insured, sign in and receive a name tag at the Maintenance Office on the ground floor of the Pinnacle parking garage, work only 9 AM-5 PM, never cut tile on balconies or perforate the exterior skin, and remove all debris off-site. Move-in/move-out only in business hours, coordinated with maintenance. Owner is responsible for any common-element damage by its contractors.

AlsoOwner must obtain an HO-6 policy for liability and contents if not provided by the HOA (Rules, Insurance) and bears the deductible portion of insured in-unit losses (Master Deed Art. XXI). Owner must deliver the Rules to every guest before arrival and is responsible for the conduct of guests and rental agents. Owner maintains in-unit HVAC, appliances, fixtures, window glass and sliding doors. Balcony furniture must be brown; window treatments need a white backing; no exterior decorations, flags, satellite dishes or storage on balconies. Monthly in-unit pest-control entry. Association may enter for emergencies and may cut electricity to a unit 20 days delinquent (electricity is common-metered).

What the documents say (13)

“Additionally, such registry shall include a singular point of contact for, and on behalf of the renting owner(s) who can respond on behalf of the unit within 30 minutes to any and all violations of the rules and regulations of the Association or in the event of an emergency.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, UNIT OCCUPANCY, page 3

“For safety and security, an occupancy registry shall be required by the Association, such that the Association shall at all times have immediate access to a record of all persons occupying units within the property, along with the relevant contact information in the event of an emergency i.e. fire, flood, terrorism, gas leak, hurricane etc.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, UNIT OCCUPANCY, page 3

“Assessed fines shall start at $200.00 per infraction (unless otherwise stated) and may, for wilful violations, include an additional, daily per diem penalty of $50.00 per day until the violation is remedied.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, VIOLATIONS, page 3

“The decision of the Board following such hearing shall be final, and all fines and penalties stemming from such violation (including post-hearing penalties and costs, when and where applicable) shall constitute a lien upon the unit and shall be a personal obligation of the owner.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, VIOLATIONS, page 3

“It is also each owner's responsibility to ensure that his/her rental agent and guests understand and observe all rules and regulations.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, GENERAL, page 1

“All trash and unit debris must be secured in a heavy-duty plastic bag and deposited into the compactor located next to the Annex parking garage, across the street from the Pinnacle Tower.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, TRASH, page 2

“Per the Master Deed, the Association must have a working key or access code to every unit in the event of an emergency.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, KEYS, page 1

“Entry door and lock modifications require Board approval. No lockboxes may be placed in the hallways or stairwells.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, BUILDING HALLWAYS, STAIRWELLS & COMMON AREAS, page 1

“All contractors must be insured for liability and workman's comp and must have a certificate of insurance filed with the Association, indicating the Association as an additional insured entity. All contractors must sign in and receive a name tag or identifiable marker from the Maintenance Office located on the ground floor of the Pinnacle parking garage before entering the property and performing any services.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, UNIT MAINTENANCE / CONTRACTOR WORK, page 3

“There is a zero-tolerance policy regarding throwing items off the balconies. Throwing any items off the balcony will result in all guests being evicted from the unit.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, BALCONIES, page 1

“Smoking or vaping of any kind is strictly prohibited on the Association property including within units and balconies as this is a Non-Smoking property. Fines start at $250.00 per occurrence.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, SMOKING, page 2

“All owners are required to obtain an HO-6 insurance policy that provides liability and content coverage if not provided by the HOA.”CCP-Pinnacle Rules and Regulations - Clocked 060221.pdf, INSURANCE, page 3

“In the event that any occupant of a UNIT violates the Master Deed, By-Laws, or a rule or regulation and a fine is imposed, the fine shall first be assessed against the occupant; provided, however, if the fine is not paid by the occupant within the time period set by the Board, the Owner shall pay the fine upon notice from the ASSOCIATION.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Exhibit E By-Laws, Article III, Section 23, page 67

Is the money healthy?

Favorable

Whether the association can pay for the building without surprise bills: reserves, special assessments, insurance deductibles, how fast dues are rising, and how much of the fee passes through to a master association.

Reserves are funded at 27.6% of budget and rising, dues rose only 3%, no special assessments appear, the insurance premium fell, and dues cover electricity, water, cable, internet and a master HO-6; held back from 5 by a 1982 oceanfront building with no reserve study or balance in the set, undisclosed wind deductibles, insurance at 25% of budget and a zeroed deductible reserve.

2026 budget$3,439,193

Dues change+3.0% on the year

Reserves28% of budget

Special assessmentsNone in the documents

InsuranceInsurance Expense (property/liability master policy) budgeted at $650,000 for 2026, down from $700,000 in 2025, and billed as a separate per-unit line ($180.00/month for Type A/C, down from $194.00). A separate Master HO-6 policy of $200,000 is flat and billed per residential unit ($59.80/month Type A/C; commercial units do not pay it). The 2025 budget also funded a $50,000 Insurance Deductible Reserve that is cut to $0 in 2026. Deductibles, carrier and policy limits are not disclosed. Owners must still carry their own HO-6 for liability/contents 'if not provided by the HOA' and bear deductible gaps on in-unit items. Total insurance of $850,000 is 24.7% of the budget.

FloodMaster Deed Art. XXIV.A requires the Association's casualty policy to cover windstorm, wind-driven rain, water damage and flood damage; the budget does not break out a flood premium or state whether the property sits in a FEMA velocity zone (Art. I discloses it may).

DelinquencyBad Debt Expense budgeted at $2,000 (0.06% of budget); no delinquency report in the set. Master Deed Art. XXVII: assessments in default on the due date, Board may accelerate the year's installments on 10 days' notice, 18% interest, $25 late fee after 30 days, foreclosure of lien with receiver and market-rate rent, attorney's fees, and the right to shut off electricity to a unit 20 days delinquent (electricity is common-metered). By-Laws treat a monthly installment as delinquent on the 15th.

What the documents say (13)

“TOTAL INCOME 3,336,702 3,439,193 102,492 3%”Pinnacle 2026 Approved Budget.pdf, Revenues, page 1

“30100 Regular Assessment Revenue 2,386,702 2,589,193 202,492”Pinnacle 2026 Approved Budget.pdf, Revenues, page 1 (regular assessments up 8.5% while insurance lines fall, netting to the 3% total increase)

“99910 YTD General Reserve Funding 850,000 950,000 100,000”Pinnacle 2026 Approved Budget.pdf, Other Expenses, page 1

“83300 Insurance Expense 700,000 650,000 (50,000) 83310 Master HO6 Ins Expense 200,000 200,000 - 89710 Insurance-Deductible Reserve 50,000 (50,000)”Pinnacle 2026 Approved Budget.pdf, Other Expenses, page 1

“196 Type "A" or Type "C" 119,050 23,333,800 0.333% 180 718.16 59.80 958.00 930.00 28.00”Pinnacle 2026 Approved Budget.pdf, 2026 dues table, page 1 (columns: units, type, statutory value, total value, % per unit, 2026 HOA insurance, 2026 monthly assessment, 2026 HO-6, total 2026 dues, total 2025 dues, increase)

“60000 Electricity (Units) 250,000 270,000 20,000 60100 Water/Sewer 117,000 125,000 8,000 60200 Fuel 95,000 120,000 25,000”Pinnacle 2026 Approved Budget.pdf, Utilities, page 1 (utilities total up 10.3%)

“When in default, the delinquent assessment or delinquent installment thereof due to the ASSOCIATION shall bear interest at the rate of eighteen ( 18%) percent per annum until such delinquent assessment or installment thereof, and all interest due thereon, have been paid to the ASSOCIATION. Further, a late fee of $25.00 shall be assessed for each installment not paid within thirty (30) days after the due date thereof.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXVII.G, page 24

“the ASSOCIATION is hereby granted the right, at any time any assessment, installment or accelerated installment is not paid within twenty (20) days after its due date, to terminate electrical utility service to the delinquent OWNER'S UNIT.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXVII.J, page 25

“the original building comprising the Condominium was constructed in 1982 and additions to the original building were completed in 2000.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXXIX, page 38

“GRANTOR has made an initial contribution in the amount of $1,000,000.00 to the ASSOCIATION as reserves for replacements and repairs of components of the Phase I building”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXXIX, page 38

“including but not limited to vandalism, malicious mischief, windstorm, wind driven rain damage, water damage and flood damage.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXIV.A, page 17

“including the obligation, through the Regime, to pay the costs of maintenance, insurance, replacement, utilities, taxes, and upkeep on a prorata share of the present parking improvements and of any replacement parking that may be substituted for the existing parking improvements in accordance with the terms and conditions of the Parking Easement.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article VI, page 8

“The Board of Directors shall have the power to borrow money for the purpose of repair or restoration of the Common Areas or for the purpose of funding budgetary shortfalls, without the approval of the membership and in connection with such borrowing shall have the power to pledge assessments and reserve accounts to secure such borrowing”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Exhibit E By-Laws, Article III, Section 21, page 66

Who's really in charge?

Caution

Who holds the power the documents hand out: an owner-elected board, or a developer or commercial-unit owner with deed-level rights over rentals, guest services and the building's name.

The board is owner-elected and ordinary amendments need 67%, but the Master Deed grants the Commercial Units a perpetual monopoly on rental management, front desk and guest services that only the Grantor plus a unanimous owner vote can change, lets commercial owners alter their space and veto rules affecting them, and binds owners to mandatory arbitration while exempting the commercial owner's own enforcement suits.

StructureOne association

Commercial unitYes, with its own deed rights

BoardInitial 3-member board appointed by the developer (Class II member) and serving at its pleasure; one at-large owner-elected director after one year and 90 days; after Class II control ends the board becomes 5 owner-elected directors with staggered 3/3/2/2/1-year initial terms and 2-year terms thereafter; directors must be members; any director removable with or without cause by majority vote of the membership; at least quarterly open meetings. Management contracts limited to 3 years and terminable by either party on 90 days' notice without penalty; contracts signed during developer control must be terminable on 90 days' notice.

Developer rightsGrantor (Pinnacle Oceanfront Tower Development, Inc.) holds Class II membership with 4 votes per unit and the right to appoint a board majority while it owns 5 or more units, plus a veto over all Board and committee actions while Class II exists (By-Laws Art. III Sec. 3). Its rights are assignable to The National Bank of South Carolina and then freely by that bank. Grantor consent is required to amend its reserved rights, Master Deed Art. XXII (maintenance/reserves), the Art. XIV commercial-activity restriction and any Commercial Unit rights; it may unilaterally amend for scrivener's errors or lender requirements; it reserved a perpetual, assignable easement over all common elements for 'Renovations' that may include destroying Phase I amenities (Art. XL); it reserved Phases II-IV (more commercial units in the parking deck) until March 1, 2012; and its board representatives need not recuse on self-interested votes (Art. XXXII). The 2021 Rules and 2026 budget show an HOA operating through Ally Management, which suggests but does not prove that Class II control has ended; no termination instrument is in the set.

Commercial-unit rightsDeed-level: only the Commercial Units may conduct rental management, reservations, key pick-up/drop-off, front desk, concierge, cable, movie, internet, wireless broadband and telephone services, shops, restaurant, lounge, game room, guest laundries, spa, etc. (Art. XIV, XXXVI.B). CU-1 holds a perpetual exclusive advertising easement over corridors, elevators, exterior and parking, an exclusive signage easement, exclusive maids' closets and laundry chutes, exclusive vending, and a non-exclusive easement to supply telecom/cable to the building. CU-2 may sell food, beverages and alcohol on the pool decks; CU-3 has the Sun Terrace. Commercial owners may alter non-structural components without Board consent (Art. XIX); rules that affect them are not binding without Grantor consent (Art. XV); a commercial owner who sues to enforce Art. XIV recovers attorney's fees and is exempt from the mandatory arbitration process (Art. XXX.C, XXXVIII.A.2(v)). The three commercial units pay 2.412% each (7.24% total) of common expenses.

VotesOne vote per residential unit (Class I); co-owners designate one Voting Member; proxies allowed; quorum 51% of total votes; 'majority' means more than 50%. Class II (developer) gets 4 votes per unit it owns while it holds 5+ units. Special meetings on petition of 10% of votes.

Changing the deedMaster Deed: proposed by Board majority or owners of a majority of units, then approved by 67% of members owning a unit at a special meeting (Art. XXIX). Unanimous owner and mortgagee consent to change percentage interests or assessment basis; Grantor consent for Grantor rights; Grantor plus all commercial owners for Commercial Unit rights; Grantor plus unanimous owners for the Art. XIV commercial-activity restriction; unanimous owners and lienholders to terminate the regime. By-Laws: 67% of total votes including 67% of non-Grantor votes. Rules: Board alone.

Disputes or lawsuitsNo pending or past litigation is mentioned. The Master Deed imposes a binding, irrevocable arbitration agreement and jury-trial waiver on all owners (Art. XXXVII-XXXVIII): claims against the Association, developer or other bound parties must go through written notice, negotiation, mediation and then binding arbitration on strict 30/15-day clocks or the claim is deemed waived; each side bears its own costs and splits mediator/arbitrator fees. Exempt: Association assessment-collection suits, emergency injunctions, and a Commercial Unit owner's suit to enforce Art. XIV.

What the documents say (14)

“no commercial activities shall be conducted within any UNIT, COMMON ELEMENT or LIMITED COMMON ELEMENT, nor shall the same be modified or altered to accommodate any such commercial use, including but not limited to, purposes of general rental management service for the RESIDENTIAL UNITS and other rental property and related accommodation services such as reservations, key pick up and drop off, front desk, concierge, and cable, movie, internet, wireless broadband, and telephone services to RESIDENTIAL UNITS”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XIV, page 12

“At such meeting, the amendment or amendments proposed must be approved by an affirmative vote of sixty-seven (67%) percent of the MEMBERS owning a UNIT in the Condominium in order for such amendment or amendments to become effective.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXIX, page 28

“which said rights and privileges granted and reserved exclusively unto the said COMMERCIAL UNITS and the OWNER(S) thereof shall only be altered, amended, modified or further granted only with the express written consent of the GRANTOR, its successors and assigns, and all OWNERS of all existing COMMERCIAL UNITS”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXIX(iii), page 27

“any such rules or regulations which purport to diminish, abrogate or in any way affect the COMMERCIAL UNITS, including the LIMITED COMMON ELEMENTS appurtenant thereto or other rights reserved herein in favor of the GRANTOR, its successors and assigns, relative to the UNITS, COMMERCIAL UNITS, COMMON ELEMENTS, LIMITED COMMON ELEMENTS or any other portion of the Condominium shall not be binding upon the GRANTOR, its successors and assigns, unless and until the GRANTOR consents in writing to the same.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XV, pages 12-13

“so long as the GRANTOR, its successors or assigns, is the OWNER of five (5) or more UNITS, then GRANTOR, its successors and assigns, shall have the right to designate and select a majority of the persons who shall serve as MEMBERS of each Board of Directors of the ASSOCIATION.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXXII, page 29

“So long as the Class "II" membership exists, the Class "II" member shall have a veto power over all actions of the Board and any committee, as is more fully provided in this Section.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Exhibit E By-Laws, Article III, Section 3, page 60

“At the first annual meeting after the termination of Class II control, five ( 5) Directors shall be elected.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Exhibit E By-Laws, Article III, Section 6(b), page 62

“any and all right to trial by jury shall be waived by Granter, the ASSOCIATION, or any OWNER of a UNIT in any dispute, proceeding, case or controversy arising under or related to the within Master Deed.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXXVII, page 34

“This subsection 4 is an agreement of the Bound Parties to arbitrate all Claims except Exempt Claims and is specifically enforceable under the applicable arbitration law of the State of South Carolina.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXXVIII.B.4(b), page 36

“In any proceeding arising because of an alleged breach of the restrictions on commercial activity set forth in Article XIV, the OWNER of a COMMERCIAL UNIT, if successful, shall be entitled to recover the costs of the proceedings, and such reasonable attorney's fees as may be determined by the Court”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XXX.C, page 28

“Said Renovations may include the destruction of certain Phase I amenities and/or COMMON ELEMENTS, and the replacement thereof with additional amenities and/or renovated COMMON ELEMENTS.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XL, page 40

“the COMMERCIAL UNIT OWNERS shall have the right, without the consent or permission of the Board of Directors of the ASSOCIATION, to make such changes and alterations to non-structural components of the COMMERCIAL UNITS as it or they may unilaterally desire and neither the ASSOCIATION, the Board of Directors or any other UNIT OWNER shall have the right to object thereto.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article XIX, page 13

“certain parking for the Regime may be relocated to a another location within one quarter of a mile from the Regime, the relocation to be in the sole and absolute discretion of the Grantor under the Parking Easement, subject to the terms, conditions, and limitations set forth in the Parking Easement. Neither the OWNERS, nor the Board of Directors of the ASSOCIATION shall be required to consent to or approve such relocation.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Article VI, page 8

“No management contract may have a term in excess of three (3) years and must permit termination by either party without cause and without termination fee or penalty on ninety (90) days' or less written notice.”CCP-Pinnacle Master Deed - Clocked 030905.pdf, Exhibit E By-Laws, Article III, Section 19(b), page 65

03 Pros and cons

For the owner who runs it themselves.

The same building reads very differently to an owner on the rental program and an owner on Airbnb. This list is for the second one.

Working for you

The Master Deed expressly preserves every owner's right to rent or lease, bars timeshares but sets no minimum stay, no rental cap and no owner-use limit (CCP-Pinnacle Master Deed, Article XIV).
The recorded Rules explicitly recognize owners who rent 'either personally, or through an off-site rental management company' - self-management and third-party managers are both legitimate paths (Rules and Regulations, Commercial Areas).
Pools, pool decks, hallways, elevators, stairs and the beach-side common elements are common elements open to all owners' guests, licensees and invitees; off-program guests only need the wristbands the Association issues (Master Deed, Article VII; Rules, Swimming Pools).
Dues bundle in-unit electricity, water/sewer, cable TV, internet, interior pest control, trash removal, security patrol and a master HO-6 policy, so a self-managing owner has few separate utility bills (Pinnacle 2026 Approved Budget, Utilities and Other Expenses).
Reserve funding of $950,000 is 27.6% of the 2026 budget and up $100,000 from 2025, well above the 15% comfort line (Pinnacle 2026 Approved Budget, line 99910).
Total dues rise only 3% for 2026 ($930 to $958/month for a Type A/C unit) and the master property insurance line falls from $700,000 to $650,000 (Pinnacle 2026 Approved Budget, dues table and line 83300).
No special assessments appear and bad debt is budgeted at only $2,000, suggesting a collectible owner base (Pinnacle 2026 Approved Budget, line 59850).
Non-program units are mailed ten common-area keys, wristbands and parking passes each year by the Association rather than having to buy access through the on-site operator (Rules and Regulations, Keys, Wristbands, Parking).
After developer control the board is five owner-elected directors on 2-year terms, removable by majority vote, with open meetings, quarterly financials, an audited annual report, and management contracts capped at 3 years and terminable on 90 days' notice (Master Deed Exhibit E By-Laws, Article III, Sections 6, 7, 16, 19, 20).
Independent daily or weekly maid service is expressly permitted, so an owner can run their own turnover crew (Master Deed, Article XIV).

Watch-outs

Deed-level monopoly: rental management, reservations, key pick-up, front desk, concierge and cable/internet/phone services for residential units are reserved to the Commercial Units, and owners are 'restricted against using any part of the COMMON ELEMENTS to engage in the business of renting'; changing this needs the Grantor's consent plus a unanimous owner vote (Master Deed, Article XIV and XXXVI.B).
Off-program guests are locked out of the Tiki Bar, Compass Rose Restaurant, waterslides, Crows Nest, Compass Joe Coffee Shop, arcade, gift shop, business center, laundry facility and fitness center - the headline amenities of a family waterpark resort (Rules and Regulations, Commercial Areas).
Every listing must carry the all-caps disclaimer that the rental includes no front-desk service or access to certain commercial operations, may not mention or photograph those amenities, and every guest must receive the Rules before arrival (Rules and Regulations, Commercial Areas).
Owners must keep a named responder in the Association's occupancy registry who can act for the unit within 30 minutes of any violation or emergency - effectively a local co-host or paid service (Rules and Regulations, Unit Occupancy).
No trash chute for off-program units: trash must be bagged and carried to the compactor next to the Annex garage across the street, and recycling to a dumpster behind the Pinnacle garage; bags outside doors are prohibited (Rules and Regulations, Trash).
Fines start at $200 per infraction plus $50 per day for wilful violations, smoking fines start at $250, any item thrown from a balcony gets every guest evicted, and all fines become a lien and personal obligation of the owner regardless of who violated (Rules and Regulations, Violations, Smoking, Balconies).
Renters cannot bring pets except 30-day-plus winter stays, and the whole property including units and balconies is non-smoking - two guest-screening headaches for a self-manager (Rules and Regulations, Pets, Smoking).
Dues are already $958/month ($11,496/year) for a standard Type A/C unit and $1,799/month for a penthouse; the underlying operating assessment rose 6.3% ($675.86 to $718.16) and utilities 10.3%, masked by a one-year insurance decrease (Pinnacle 2026 Approved Budget, dues table and Utilities).
Insurance is $850,000 or 24.7% of the budget, the wind/named-storm deductible, carrier and limits are not disclosed, and the $50,000 insurance-deductible reserve funded in 2025 drops to zero in 2026 (Pinnacle 2026 Approved Budget, lines 83300, 83310, 89710).
The tower was built in 1982 with additions in 2000, sits in or near the coastal setback/velocity zone, was sold 'as is' with a mold disclaimer, and no reserve study or reserve balance is in the set to show whether the 27.6% reserve funding is keeping pace (Master Deed, Articles I and XXXIX).
Guest parking depends partly on a 176-space easement in a garage across Ocean Boulevard that the easement grantor may relocate anywhere within a quarter mile without owner or Board consent, with owners paying the pro-rata upkeep (Master Deed, Articles VI and XXXVI.L).
Owners waive jury trial and must arbitrate any dispute with the Association or developer through a notice-negotiation-mediation-arbitration ladder with 30- and 15-day deadlines that forfeit the claim if missed, while a Commercial Unit owner suing over Article XIV is exempt and recovers attorney's fees (Master Deed, Articles XXX.C, XXXVII, XXXVIII).
The Board can rewrite the Rules at will, but any rule touching the Commercial Units is not binding without the Grantor's written consent, and the Grantor keeps a perpetual, assignable easement to 'renovate' that may include destroying Phase I amenities (Rules, Please Note; Master Deed, Articles XV and XL).
Lock and entry-door changes need Board approval, lockboxes are banned from hallways and stairwells, and the Association must hold a working key or code to the unit, so self check-in hardware must be cleared with the Board (Rules and Regulations, Building Hallways; Keys).
The Association may cut off a unit's electricity 20 days after a missed assessment because power is common-metered, and the Board may borrow against reserves and assessments without an owner vote (Master Deed, Article XXVII.J; Exhibit E By-Laws, Article III, Section 21).
The budget charges all owners $70,000 for pool towels while the laundry facility is a commercial-only area; whether off-program guests receive towels or linen service is unstated (Pinnacle 2026 Approved Budget, line 41600; Rules, Commercial Areas).

Unit type	Per month	Per year
Type A or Type C (196 units, 0.333% interest each): $718.16 assessment + $180.00 HOA insurance + $59.80 master HO-6 per month	$958	$11,496
Type B Oceanfront Efficiency (65 units, 0.280%): $603.24 + $151.00 + $50.23	$805	$9,660
Type D Oceanview Efficiency (26 units, 0.240%): $517.07 + $130.00 + $43.06	$690	$8,280
Type E Oceanfront Penthouse (5 units, 0.625%): $1,348.24 + $338.00 + $112.27	$1,799	$21,588
Commercial unit (3 units, 2.412% each): $5,203.95 + $1,306.00; no HO-6 charge	$6,510	$78,120

Compass Cove Resort.

The documents behind this page.

What the documents decide
before your first guest books.

Can you rent it your way?

Will your guests be treated like guests?

How much work lands on you?

Is the money healthy?

Who's really in charge?

For the owner who runs it themselves.

Working for you

Watch-outs

What you pay, and where it goes.

Regular assessments, 2026

What the dues cover

Where the budget goes

What to put in the house manual.

What to ask the association for.

Have the documents read
for the building you are weighing.

Compass Cove Resort.

The documents behind this page.

What the documents decidebefore your first guest books.

Can you rent it your way?

Will your guests be treated like guests?

How much work lands on you?

Is the money healthy?

Who's really in charge?

For the owner who runs it themselves.

Working for you

Watch-outs

What you pay, and where it goes.

Regular assessments, 2026

What the dues cover

Where the budget goes

What to put in the house manual.

What to ask the association for.

Have the documents readfor the building you are weighing.

What the documents decide
before your first guest books.

Have the documents read
for the building you are weighing.