Grand Atlantic Ocean Resort HOA Risk Assessment: Workable with rules

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?

Clear

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.

Art. XV expressly preserves every owner's right to rent or lease, Art. XVIII contemplates owner-authorized rental managers, and no document imposes a minimum stay, registration, on-site-program, advertising or disclaimer rule; the only caveat is that the CU-1 owner may sue in court to enforce the Art. XV ban on commercial activity in residential units (Art. XXXIX.A.2(v)).

Short-term rentalsAllowed

Must use on-site programNo

Owner may rent it personallyYes

Off-site manager allowedYes

Owner-use limitsnone stated; units are restricted to residential use by the Owner, immediate family, guests, licensees and invitees, and timesharing/interval ownership is prohibited

Registrationunstated - no document requires owners to register rentals, guests or managers with the Association or the commercial unit; the Association keeps only a registry of owners and mortgagees (Master Deed Art. XXVII, p.27)

Advertising rulesNo rule restricts owners' listings, photos or use of the resort name. The only advertising provision is a perpetual exclusive easement for advertising over the corridors, elevators, building exterior, parking garage and other Common Elements reserved to Commercial Unit CU-1 (Master Deed Exhibit B, p.53), so an owner cannot post signage in the building.

Vote to change rental rulesMaster Deed: affirmative vote of Members owning at least two-thirds (2/3) of the undivided interest in the Common Elements at a special meeting (Art. XXX, p.33); the Art. XV commercial-activity restriction cannot be amended without the Grantor's consent and a unanimous vote of all Unit Owners (p.17); any change to Commercial Unit rights needs the Grantor's express written consent (Art. XXX, p.33). By-Laws: two-thirds of the total votes (By-Laws Art. VI Sec. 6, p.80). Board rules cannot bind the Commercial Units without the Grantor's written consent (Art. XVI, p.18).

What the documents say (9)

“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.”Master Deed, Art. XV Residential Use Restriction, p.17

“With the exception of the Commercial Units CU-1, CU-2, and CU-3, each Unit is hereby restricted to residential use by the Owner or Owners thereof, their immediate families, guests, licenses and invitees; provided, however, that so long as Grantor shall retain any interest in any Unit or have the right to add any additional phases to the Condominium, it may utilize a Unit or Units of its choice, from time to time, for sales offices, models, reception rooms, hospitality rooms and/or other usages for the purpose of selling and marketing Units in the Condominium.”Master Deed, Art. XV, p.17

“No Unit nor any portion thereof may be submitted to a plan of interval ownership or any form of timesharing.”Master Deed, Art. XV, p.17

“Except for the Commercial Units and the Limited Common Elements which are for the exclusive use and benefit of such Commercial Units, and except for the use of Units for sales and marketing of Units reserved in favor of the Grantor hereinabove and easement(s) for related services and employees, 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.”Master Deed, Art. XV, p.17

“The foregoing restriction on commercial activities may not be amended without the consent of the Grantor, its successors and assigns and unanimous vote of all Unit Owners.”Master Deed, Art. XV, p.17

“In case of any emergency originating in or threatening any Unit, regardless of whether the Owner is present at the time of such emergency, the Board of Directors of the Association or any other person authorized by it or any other person or entity authorized by the Unit Owner (including rental managers and their agents), shall have the right to enter such Unit for the purpose of remedying or abating the cause of such emergency, and such right of entry shall be immediate.”Master Deed, Art. XVIII Right of Entry into Units in Emergencies, p.18

“Without limiting the commercial activities reserved in favor of the Commercial Units as set forth in this Master Deed, the Commercial Units may be used for all legal commercial or business purposes including, but not limited to, purposes of general rentals, management, offices, shops, stores, sales, meeting rooms, conference rooms, restaurant, lounge, game room, health spa, night clubs or any combination of such uses whether or not related to any prior phase or subsequent phase.”Master Deed, Art. I.B Definitions, p.7

“All present or future Owners, tenants or other persons who use the facilities of the Condominium in any manner are subject to the provisions of this Master Deed and all documents appurtenant hereto and incorporated herewith, and the mere acquisition or rental of any Unit or the mere act of occupancy of any Unit shall signify that the provisions of this Master Deed are accepted and ratified in all respects.”Master Deed, Art. XXXII, pp.35-36

“At such meeting, the amendment or amendments proposed must be approved by an affirmative vote of the Members owning at least two-thirds (2/3) of the undivided interest in the Common Elements of the Condominium in order for such amendment or amendments to become effective.”Master Deed, Art. XXX Amendment of Master Deed, p.33

Will your guests be treated like guests?

Typical

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.

Owners' guests hold a deed easement over all Common Elements including the pools and exercise room, but the lobby, check-in area, game room and meeting room belong to Commercial Unit CU-1 with no deed right for off-program guests, so the owner handles keys and check-in and amenity parity is partial with no documented front-desk, wristband or parking-pass arrangement.

Amenities for your guestsMost, not all

Off limits to your guestsLobby and check-in area (part of Commercial Unit CU-1, not a Common Element), Game room on the first level (part of CU-1), Seventh-level meeting room (Limited Common Element of CU-1), Laundry room, maids' closets and laundry chutes on every level (Limited Common Elements of CU-1), Vending areas (CU-1 or its Limited Common Elements), Parity is 'partial' because the deed guarantees owners' guests only the Common Elements (pools, exercise room, elevators, corridors); the game room and meeting room, which Art. IV itself calls amenities, are CU-1 property or its Limited Common Elements and no document gives off-program guests any right to them (Master Deed Art. IV p.11; Art. VIII p.14; Exhibit B pp.51-52)

Wristbands & parking passesunstated - no wristband, guest-pass or parking-permit system appears in any document. Parking rules: one space per vehicle, passenger vehicles and motorcycles only, no trailers/campers/boats/jet skis, towing at the owner's expense (Rules 2019). Fifty spaces are on an off-site lot by easement whose owner may set its own parking rules (Master Deed Exhibit A, p.47).

Check-inunstated - the lobby check-in area, adjacent offices and break room belong to Commercial Unit CU-1 (Master Deed Exhibit B, p.51); no document obliges CU-1 to check in or hand keys to an owner's off-program guests, so assume the owner handles it

TrashTrash may not be left in hallways or common areas and must go in a proper container (Rules 2019); trash removal is a common expense ($60,000 in 2026); no trash chute or hauling procedure for owners is described (laundry chutes on each level are CU-1's Limited Common Elements)

ElevatorsElevators and stairs are Common Elements accessible to all owners and their guests (Master Deed Art. V p.12; Exhibit B p.49); no service-elevator, move-in or vendor elevator rule exists; smoking/vaping banned in elevators and elevator lobbies (Rules 2019); elevator upgrades ($660,000, 0 years remaining life) are the largest reserve item (Budget 2026 p.2)

Housekeeping & linenOwner arranges own housekeeping. The laundry room, maids' closets and laundry chutes are Limited Common Elements reserved to CU-1, and CU-1 holds an easement to use the Common Elements for laundry service, maid service and general condominium management services (Master Deed Art. VIII p.14; Exhibit B pp.51-53); no document gives owners or outside managers access to that infrastructure

What the documents say (8)

“Except as may be specifically set forth herein with regard to Limited Common Elements, 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, and for the furnishing of services and facilities for which the same are reasonably intended, for the enjoyment of said Owners of Units.”Master Deed, Art. VIII Perpetual Non-Exclusive Easement in Common Elements, p.14

“Without limiting the generality of the foregoing, the Owner of Commercial Unit CU-1, their families, guests, licensees, invitees, employees and agents shall have the right and easement to use the Common Elements in conjunction with the providing of its products and services, including, but not limited to, waiter or room service, laundry service, maid service and general condominium management services.”Master Deed, Art. VIII, p.14

“First level: The lobby, handicapped-accessible toilet and storage room located adjacent to the lobby, check-in area, H.V.A.C room located adjacent to the check-in area, office located adjacent to the check in area, storage room, office, break room and toilet located behind the check-in area, the office located upstairs from the check-in area, game room, and two (2) vending areas (each containing 200 square feet) located in the pool area, as may be re-located from time to time.”Master Deed, Exhibit B, 'Commercial Unit CU-1 consists of the following', p.51

“The two (2) stationary vending areas, the laundry room, and the stairway and hallway connecting to the office located upstairs from the check-in area are Limited Common Elements appurtenant to Commercial Unit CU-1.”Master Deed, Exhibit B, p.51

“The two (2) maids' closets, laundry chute, vending area, meeting room and storage room located inside the meeting room are Limited Common Elements appurtenant to Commercial Unit CU-1.”Master Deed, Exhibit B, Seventh level, p.52

“Pool hours are from 9:00am until 11:00pm. Exercise room hours are from 6:00am until 11:00pm. Children under the age of 14 are not permitted in the pool areas or exercise room unless accompanied by a responsible adult.”Rules and Regulations updated January 2019, Swimming Pools / Exercise Room, p.1

“Trash may not be left in the hallways or other common areas of the property. Trash must be disposed of in a proper container.”Rules and Regulations updated January 2019, Trash, p.1

“Passenger vehicles (to include motorcycles) only. NO trailers, campers, mobile homes, jet skis, boats, or recreational equipment. Towing is enforced and is at the owner's expense.”Rules and Regulations updated January 2019, Permitted Vehicles, p.1

How much work lands on you?

Favorable

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.

Little beyond normal hosting - no local-contact, response-time or registration rule - but the owner must deposit a unit key with the Association and keep the approved lock, admit Association agents for maintenance on notice, carry own liability cover because the deed makes the owner liable for in-unit accidents like a house owner, arrange housekeeping without the CU-1-controlled maids' closets and laundry, and ultimately pays guest fines ($25 late and $30 administrative minimums) and towing.

Local contactunstated - no local agent or contact requirement in any document

Response timeunstated - no response-time rule; the Association and anyone the owner authorizes (including rental managers) may enter immediately in an emergency (Master Deed Art. XVIII, p.18)

Locks & keysEvery owner must deposit a key to the unit under the control of the Association (Master Deed Art. XVIII, p.18); if an owner installs a lock in violation of that requirement the Association may make a key at the owner's expense and lien the cost (Art. XXII, p.20); entrance doors must be kept closed and locked and staff may close doors left ajar (Rules 2019); the reserve schedule carries a building-wide 'Door Lock System' component ($65,000, 15-year life), so lock changes likely need coordination with the Association

FinesThe Board may impose reasonable fines that become a lien on the unit and may suspend voting and Common Element use rights; a fine for an occupant's violation is first assessed against the occupant but the Owner must pay it on notice if the occupant does not (By-Laws Art. III Sec. 23, pp.76-77). Written notice and a 10-day window to request a hearing precede sanctions; the Association may also use self-help including towing and recover attorney's fees (p.77). Dues are due on the 1st and late on the 15th; past-due balances draw late fines starting at $25.00 and administrative fines starting at $30.00 (Year-End Mailing 2024, p.1). Delinquent assessments bear interest at the legal rate, may be accelerated, and after 20 days the Association may foreclose and cut off the unit's electricity (Master Deed Art. XXVIII.G and J, pp.29-30).

Contractors & vendorsunstated for owners' vendors. Structural modifications and any exterior change (balcony enclosure, storm panels, awnings, wiring, antennas, A/C units through walls or roof) need the Association's written consent, which may be withheld for any reason or no reason (Master Deed Art. XX, p.19). Contractors and vendors serving the Association must keep liability and workers' compensation evidence on file (Art. XXV, p.26).

AlsoOwner maintains and replaces HVAC, appliances, fixtures and connections, window and sliding-door glass, interior surfaces and furnishings (Art. XXII, p.20); the Association maintains entry doors, balcony floors, walls and railings as Limited Common Elements (p.20). Owner pays the deductible portion of any insured loss inside the unit (p.20) and is liable for damage caused by guests or lessees not covered by Association insurance (Art. XXXI.B, p.35). Rules 2019 bar pets, grilling, fireworks, smoking/vaping in common areas and on balconies, throwing objects or feeding birds from balconies, storage in hallways, and loud parties or noise after 10:00pm; hosts must police all of these. Under Art. XXIV the owner 'shall be liable for injuries or damage resulting from an accident in his own Unit, to the same extent and degree that the Owner of a house would be liable', bears the risk of loss on all furnishings and personal property, and may buy contents and personal-liability insurance at his own expense (any such policy must waive subrogation against other owners and the Association) (Master Deed Art. XXIV, p.22). Art. XIX also obliges every owner to admit the Association's agent for Common Element maintenance at reasonable times on reasonable advance notice (p.19).

What the documents say (12)

“To facilitate entry in the event of any such emergency, the Owner of each Unit is required by the Association, to deposit under the control of the Association a key to such Unit.”Master Deed, Art. XVIII, p.18

“Should the Owner fail to provide the maintenance and/or repairs as required, the Association shall have the right to enter the Unit to accomplish same at the sole cost and expense of the Owner and said cost and expense shall be charged against the Owner, including the expense of making a key should Owner place a lock on the entry door in violation of the requirements of Article XVIII.”Master Deed, Art. XXII Maintenance and Repair by Owners of Units, p.20

“The Board shall have the power to impose reasonable fines, which shall constitute a lien upon the property of the violating Owner, and to suspend an Owner's right to vote or to use the Common Elements for violation of any duty imposed under the Master Deed, these By-Laws, or any rules and regulations adopted hereunder; provided, however, nothing herein shall authorize the Association or the Board of Directors to limit ingress and egress to or from a Unit.”By-Laws (Master Deed Exhibit E), By-Laws Art. III Sec. 23 Enforcement, p.76

“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.”By-Laws (Master Deed Exhibit E), By-Laws Art. III Sec. 23, p.77

“Please keep in mind that payments are due on the 1st and considered late on the 15th of each month. Past due balances are subject to late fines starting at $25.00 [one word illegible in OCR] and administrative fines starting at $30.00.”2024 Year-End Owner Mailing, Payment Options, p.1

“The Owner of each Unit shall be liable and responsible for the maintenance, repair and replacement, as the case may be, of all air conditioning and heating equipment, stoves, refrigerators, fans, or other appliances or equipment, including any fixtures and/or their connections required to provide water, light, power, sewage and sanitary service to his Unit and which may now or hereafter be situated in his Unit.”Master Deed, Art. XXII, p.20

“The Owner or Owners of each Unit shall be liable for the expense of any maintenance, repair or replacement rendered necessary by his or their act, neglect or carelessness, or by that of any Member of his or their family, or his or their guests, employees, agents or lessees, but only to the extent that such expense is not met by the proceeds of insurance carried by the Association.”Master Deed, Art. XXXI.B Remedies in Event of Default, p.35

“No Owner of a Unit shall permit any structural modifications or alterations without first obtaining the written consent of the Grantor (so long as Grantor has right to submit additional phases and/or owns one or more Units) and the Association, which consent may be withheld by the Association for any reason, or no reason.”Master Deed, Art. XX, p.19

“Entrance doors to each condominium unit shall be kept closed for safety and security purposes. Please make sure you lock your doors as you leave your unit. Doors left ajar may be closed by resort staff without notification.”Rules and Regulations updated January 2019, Front Doors, p.1

“Notwithstanding anything to the contrary herein contained, the Association, acting through the Board of Directors, may elect to enforce any provision of the Master Deed, these By-Laws, or the rules and regulations of the Association by self-help (specifically including, but not limited to, the towing of vehicles that are in violation of parking rules and regulations) or by suit at law or in equity to enjoin any violation or to recover monetary damages or both without the necessity of compliance with the procedure set forth above.”By-Laws (Master Deed Exhibit E), By-Laws Art. III Sec. 23(d), p.77

“The Owner of a Unit shall be liable for injuries or damage resulting from an accident in his own Unit, to the same extent and degree that the Owner of a house would be liable for an accident occurring within the house.”Master Deed, Art. XXIV Personal Liability and Risk of Loss of Owner of Unit and Separate Insurance Coverage, p.22

“Whenever it is necessary to enter any Unit for the purpose of performing any maintenance, alteration or repair to any portion of the Common Elements, the Owner of each Unit shall permit the duly constituted and authorized Agent of the Association, to enter such Unit, provided that such entry shall be made only at reasonable times and with reasonable advance notice.”Master Deed, Art. XIX Right of Entry for Maintenance of Common Elements, p.19

Is the money healthy?

Typical

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.

Strong inclusions (in-unit electric, water, fuel, cable/internet, phone, all-in insurance), a 22% reserve line, no documented special assessment and dues flat for 2025-26 are offset by the insurance-driven 19.82% hike in 2024, a reserve schedule whose component table shows a projected ($1,121,647) balance after $2.0M of 2025 spending while its summary shows $1.7M on hand, no reserve study supplied, deed power to divert reserves to operating shortfalls, 2022-vintage insurance evidence with a $75,000 named-storm deductible, and Board power to levy extra assessments and cut unit power on 20 days' delinquency.

2026 budget$2,373,965

Dues change+0.0% on the year

Reserves22% of budget

Reserve balance$1,735,913

Special assessmentsNone in the documents

InsuranceEvidence of insurance is for the 2022-23 policy year and may be out of date. Property: $34,450,000 total ($33,250,000 condominium building, $1,000,000 swimming pools, $100,000 pool fencing, $100,000 outdoor sign), special form including earthquake and windstorm/hail, replacement cost, coinsurance nil, 'all-in' condominium association form, layered with GuideOne National Insurance Co., QBE Specialty and Lloyds of London, 08/03/22-08/03/23; ordinance or law $1,000,000 per building; crime $450,000 employee theft (Continental Casualty); general liability $1,000,000 per occurrence / $2,000,000 aggregate and $5,000,000 umbrella (Auto-Owners Insurance); D&O $1,000,000 with $1,000 deductible (Continental Casualty) 08/04/22-08/04/23. Budgeted premium history: $350,042 (2023), $661,286 (2024, +89%), $543,953 (2025), $481,552 (2026, -$62,401). The 2024 insurance jump drove the 19.82% dues increase. Owners pay the deductible share of in-unit losses (Master Deed Art. XXII, p.20). The deed requires the Association to insure all Units and Common Elements at maximum replacement value (exclusive of excavation and foundations) against fire, extended-coverage perils, windstorm, wind-driven rain, water and (if available) flood, which matches the 'all-in' condominium form on the 2022 evidence (Master Deed Art. XXV.A, p.23). Other 2022 deductibles: $5,000 all other perils and $5,000 equipment breakdown per occurrence; damage to rented premises limit $300,000 under the general liability policy (COI pp.2, 4). Budget trend: total assessments $1,981,250 (2023) to $2,373,965 (2024) to $2,374,405/2,373,965 (2025) to $2,373,965 (2026) (Year-End Mailing 2024 p.2; 2025 Budget p.1; 2026 Budget p.1).

Wind deductible$75,000 Named Windstorm per occurrence; $25,000 all other Wind & Hail per occurrence; $5,000 all other perils; $25,000 water damage; 3% earthquake (2022-23 policy year)

FloodNFIP RCBAP through Foremost Insurance Company: $33,250,000 building, $25,000 deductible, no contents, Flood Zone VE, total annual premium $25,624 (full-risk premium $36,538 before the annual-increase cap discount), term 08/15/2022-08/15/2023; the Master Deed requires flood coverage only 'if available' (Art. XXV.A, p.23); declarations show 0 prior NFIP claims, first-floor height 15.0 ft, 19 floors masonry, 'Primary Residence No' (COI p.3)

DelinquencyPayments due on the 1st, late on the 15th; late fines from $25.00 and administrative fines from $30.00 (Year-End Mailing 2024, p.1; By-Laws Art. III Sec. 20(f) treats a monthly installment as delinquent on the 15th, p.76). Under the Master Deed an unpaid assessment is in default on its due date, the Board may accelerate the year's installments on 10 days' notice, and after 20 days may enforce by any means including foreclosure, charge interest at the legal rate plus attorney's fees, and terminate the unit's electricity until paid (Art. XXVIII.G, H, J, pp.29-30). Owners are personally liable; a buyer in a voluntary sale is jointly liable for the seller's unpaid assessments (p.31). The budget carries $0 bad debt and $0 fines/late-fee income; no delinquency report is supplied. In a lien foreclosure the Association is entitled to rent from the owner from the date of delinquency at the rate charged for comparable units along the Grand Strand and to the appointment of a receiver for the unit (Art. XXVIII.J, p.30). Payment options offered by the manager: free monthly ACH draft, mailed coupons, or card/e-check online for a fee (Year-End Mailing 2024, p.1).

What the documents say (33)

“GRAND ATLANTIC OCEAN RESORT HOA, INC. Approved 9/26/2025 2026 APPROVED OPERATING BUDGET Dues change 0.00%”2026 Approved Operating Budget, p.1 header

“30100 Regular Assessments 2,373,965$ 2,373,965$ 0”2026 Approved Operating Budget, p.1 Revenues (2025 and 2026 columns)

“83300 Insurance 543,953 481,552 -62,401”2026 Approved Operating Budget, p.1 Other Expenses

“99910 General Reserves 494,104 523,357 29,253”2026 Approved Operating Budget, p.1 Other Expenses

“60000 Electricity (Common Area & Units) 219,000 229,000 10,000”2026 Approved Operating Budget, p.1 Utilities

“19 Type E - 1 Bedroom 7760 147440 0.00439495 $869.45 $869.45”2026 Approved Operating Budget, p.1 Monthly Assessment Breakdown (2025 and 2026 monthly fee)

“38 Type A/Ar - 4 Bedroom - w/l 17790 676020 0.01007555 $1,993.25 $1,993.25”2026 Approved Operating Budget, p.1 Monthly Assessment Breakdown

“2026 Approved Reserve Schedule Starting Reserve Balance 1,270,383$ 1,331,002$ 1,420,085$ 1,735,913$ 1,966,885$ 1,478,178$ 1,669,029$”2026 Approved Operating Budget, p.2 Reserve Schedule, fiscal years 2023-2029

“136 Units Proj Annual Reserve Contrib 336,000$ 375,200$ 420,224$ 470,651$ 527,129$ 590,384$ 661,231$”2026 Approved Operating Budget, p.2 Reserve Schedule, fiscal years 2023-2029

“Less Projected Expenses 313,926$ 299,736$ 136,581$ 251,679$ 1,027,836$ 411,533$ 142,839$”2026 Approved Operating Budget, p.2 Reserve Schedule, fiscal years 2023-2029

“Totals 1,331,002$ 1,420,085$ 1,735,913$ 1,966,885$ 1,478,178$ 1,669,029$ 2,199,421$”2026 Approved Operating Budget, p.2 Reserve Schedule year-end totals 2023-2029 (followed by an unlabeled percentage row: 29% 21% 24% 26% 45% 50% 66%)

“Total Replacement Cost: 3,309,000$ 259,146$ $0 520,604$ 336,000$ 2,004,102$ (1,121,647)$ 336,000$”2026 Approved Operating Budget, p.2 Reserve Schedule component table total row (total replacement cost, annual contribution per estimate, '% of Reserves' total printed as $0, balance at 12/31/25, 2025 budget contribution, 2025 expenses thru 6/30/25, projected balance at 12/31/25, 2026 budget contribution)

“90949 Miscellaneous 15,000$ 8 0 1,875$ 0.06% (229,601)$ 28,875$ 1,461,712$ (1,636,587)$ 28,875$”2026 Approved Operating Budget, p.2 Reserve Schedule component table

“90913 Roofing 418,500$ 20 18 20,925$ 0.63% (557,922)$ 20,925$ (536,997)$ 20,925$”2026 Approved Operating Budget, p.2 Reserve Schedule component table

“90934 Elevator Upgrades 660,000$ 17 0 38,824$ 1.17% 328,740$ 38,824$ 12,490$ 355,074$ 38,824$”2026 Approved Operating Budget, p.2 Reserve Schedule component table

“GRAND ATLANTIC OCEAN RESORT HOA, INC. Approved 8/22/2024 2025 APPROVED OPERATING BUDGET”2025 Approved Operating Budget, p.1 header

“30100 Regular Assessments 2,374,405$”2025 Approved Operating Budget, p.1 Revenues

“19 Type E - 1 Bedroom 7760 147440 0.00439495 $869.45 $869.62 $0.17”2025 Approved Operating Budget, p.1 Monthly Assessment Breakdown (2024 fee, 2025 fee, increase); printed dues change 0.00%

“For 2024 the HOA dues will increase by 19.82%.”2024 Year-End Owner Mailing, Operating Budget & Dues, p.1

“83300 Insurance 350,042 661,286 311,244”2024 Year-End Owner Mailing, 2024 Approved Operating Budget (2023 and 2024 columns), p.2

“19 Type E - 1 Bedroom 7760 147440 0.00439495 $725.62 $869.45 $143.83”2024 Year-End Owner Mailing, 2024 Approved Operating Budget, Monthly Assessment Breakdown (2023 fee, 2024 fee, increase), p.2

“Building/Special Form Including Earthquake and Windstorm & Hail - Replacement Cost Valuation $34,450,000”ACORD Evidence of Property Insurance 08/08/2022, Coverage Information, p.1 (effective 08/03/22, expiration 08/03/23)

“$75,000 Named Windstorm Per Occurrence $25,000 All Other Wind & Hail Per Occurrence $25,000 Water Damage Per Occurrence”ACORD Evidence of Property Insurance 08/08/2022, Remarks - Deductibles, p.2

“Building $33,250,000 $25,000 Building Premium $36,463”ACORD Evidence of Property Insurance 08/08/2022, NFIP Flood Insurance Policy Declarations, Coverage and Rating, p.3 (Flood Zone VE; Total Annual Premium $25,624; term 08/15/2022-08/15/2023)

“Should the Board of Directors at any time determine, in the sole discretion of said Board of Directors, that the assessments levied are or may prove to be insufficient to pay the costs of operation and management of the Condominium, or in the event of emergencies, said Board of Directors shall have the authority to levy such additional assessment or assessments as it shall deem to be necessary.”Master Deed, Art. XXVIII.C Assessments, p.28

“In the event any assessment, installment, or accelerated installment is not paid within twenty (20) days after its due date, the Association, through its Board of Directors, may proceed to enforce and collect the assessment against the Unit Owner owing the same in any manner provided for by the Act, including the right of foreclosure and sale.”Master Deed, Art. XXVIII.G, p.29

“Recognizing that a portion of the common expenses represented by the assessments levied and collected by the Association is attributable to commonly metered electrical utilities used and consumed by each Unit Owner, instead of each Unit having a separate electrical meter for each Unit, and recognizing that to allow a Unit Owner to continue using such electrical utilities during the time such Unit Owner is in default of such assessments is patently unfair to all other Unit Owners who are paying for the delinquent Unit Owner's electricity, 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.”Master Deed, Art. XXVIII.J, p.30

“The Board of Directors of Association shall cause the Common Elements to be inspected and evaluated approximately every three (3) years by a professional engineer, architect or other qualified professional, who shall then render a report to the Board of Directors recommendations for repairs and maintenance of the Common Elements.”Master Deed, Art. XXIII Maintenance and Repair of Common Elements by Association, p.21

“The Board of Directors shall have the power to borrow money for the purpose of repair or restoration of the Common Elements without the approval of the membership; provided, however, the Board shall obtain Voting Member approval by majority vote for special assessments in the event that the proposed borrowing is for the purpose of modifying, improving, or adding amenities, and the total amount of such borrowing exceeds or would exceed five (5%) percent of the budgeted gross expenses of the Association for that fiscal year.”By-Laws (Master Deed Exhibit E), By-Laws Art. III Sec. 21 Borrowing, p.76

“The Association shall be responsible for the cost of the maintenance, taxes and insurance for the fifty (50) parking spaces located upon or within the parking easement as the same may now or hereinafter exist.”Master Deed, Exhibit A legal description, off-site parking easement, p.47

“Casualty insurance covering all of the Units, and Common Elements, in an amount equal to the maximum insurance replacement value thereof, exclusive of excavation and foundation costs, as determined annually by the insurance carrier”Master Deed, Art. XXV.A Insurance Coverage to be Maintained by the Association, p.23

“TOTAL INCOME $ 1,981,250 $ 2,373,965 392,715”2024 Year-End Owner Mailing, 2024 Approved Operating Budget, Revenues (2023 and 2024 columns), p.2

“although nothing herein contained shall limit the Association from applying any monies in such Reserve Fund for Replacements to meet other needs or requirements of the Association in operating or managing the Condominium in the event of emergencies, or in the event that the sums collected from the Owners of Units are insufficient to meet the then fiscal financial requirements of the Association.”Master Deed, Art. XXVIII.D Assessments, p.28

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.

Commercial Unit CU-1 holds perpetual deed-protected rights (lobby and front desk, advertising easement, management-services easement, conditional phone/cable plant) changeable only with the Grantor's written consent and enforceable in court outside the arbitration clause; the Grantor's board-majority, four-votes-per-unit and veto rights had to end by August 1, 2026 under the By-Laws but no termination instrument or owner-elected five-member board is documented; a Grantor right of first refusal burdens arm's-length resales; and all other disputes go to mandatory arbitration with jury trial waived.

StructureOne association

Commercial unitYes, with its own deed rights

BoardThree to five directors (By-Laws Art. III Sec. 4). During Class II (developer) control all directors are selected by the Grantor and need not be owners; owners elect one at-large director after one year and ninety days. At the first annual meeting after Class II control ends, owners elect five directors (two for 3 years, two for 2 years, one for 1 year), then 3-year staggered terms; removal with or without cause by majority vote; at least four board meetings a year, open to owners; officers elected annually by the board (By-Laws Art. III Secs. 2, 6-7, 10, 16, Art. IV, pp.69-78). The 2024 year-end mailing listed a three-person board (President, Vice President, Secretary/Treasurer), consistent with the developer-control configuration. Board may employ a managing agent; the Grantor or an affiliate may be the manager; management contracts limited to one year and 90-day no-penalty termination (Art. III Sec. 19, p.75). The Association is not bound by any contract or lease signed during Class II control unless either party can terminate it without penalty on not more than 90 days' notice, and joint management or operating agreements with other associations need two-thirds of all directors (By-Laws Art. III Sec. 22, p.76).

Developer rightsDTW III, Inc. (Grantor) reserved: the right to add phases up to 418 residential units and more commercial units until August 1, 2026 (Art. IV, p.10; Art. XXX, p.34); sole Class II membership with four votes per unit owned (By-Laws Art. II Sec. 1, p.66), a veto over all Board and committee actions while Class II exists (By-Laws Art. III Sec. 3, pp.69-70), and the right to designate and remove a majority of directors until no later than August 1, 2026 (Art. XXXIII, p.36); Grantor representatives need not recuse on management contracts between Grantor and the Association (p.36); express written consent required to amend Grantor rights, Commercial Unit rights, the Art. XV commercial restriction (plus unanimous owner vote), Art. XXIII maintenance obligations, and the Art. XXXVII right of first refusal, and to approve any amendment while phase rights exist (pp.17, 22, 33-34, 38); a 10-day right of first refusal on arm's-length resales of residential units with a $50 certificate, exempting Commercial Units, foreclosure/judicial sales, mortgagee transfers, co-tenant, will/intestacy/trust and first-degree family transfers, and conclusively waived by silence for 10 days or by 90 days passing after a non-compliant recorded transfer without suit (Art. XXXVII, pp.37-38); utility, telephone-switchboard and cable/internet easements benefiting CU-1 (Art. IX, pp.14-15); the right to grant other Firebird and Surf & Dunes PUD properties easements over the resort's amenities and to charge owners for use of other properties' amenities (Art. IV, pp.11-12); Board rules cannot bind the Grantor or Commercial Units without Grantor consent (Art. XVI, p.18). These rights are assignable (including to Carolina First Bank). As of October 2026 the phase, director-designation and Class II rights have reached their August 1, 2026 outside date, but the documents do not show when or whether control actually transferred; the consent rights and right of first refusal carry no stated sunset.

Commercial-unit rightsThree Commercial Units pay 2.14424%, 0.575422% and 0.486503% of assessments and may be used for any legal commercial purpose including general rentals and management (Art. I.B, p.7; Art. XV, p.17). CU-1 owns the lobby, check-in area, adjacent offices, break room, upstairs office, game room and pool-area vending areas, and holds as Limited Common Elements the laundry room, maids' closets and laundry chutes on every level, the seventh-level meeting room, vending areas, a perpetual exclusive advertising easement over corridors, elevators, building exterior and parking garage, a rooftop antenna/satellite easement, any additional telephone system/switchboard the Grantor installs and, if the Grantor owns and provides the service, the cable/internet wiring inside units (the existing switchboard is a Common Element) (Exhibit B pp.51-53; Art. IX pp.14-15). CU-1 may use all Common Elements to deliver room service, laundry, maid and general condominium management services (Art. VIII, p.14), may alter its non-structural components without Board consent (Art. XX, p.19), is exempt from the right of first refusal (Art. XXXVII, p.38) and may sue in court rather than arbitrate to enforce Art. XV (Art. XXXIX.A.2(v), p.40). CU-2 and CU-3 are ground-floor retail spaces with ingress/egress easements (Exhibit B pp.53-54). No document gives the commercial units a monopoly on renting residential units.

VotesClass I members: one vote per unit, co-owners designate one Voting Member; Class II (Grantor): four votes per unit owned until Class II terminates (no later than August 1, 2026). Majority means 51% of the total; quorum is 51% of the total vote; proxies allowed; owners holding 10% of votes may petition for a special meeting; action by unanimous written consent permitted (By-Laws Art. II, pp.66-68). Assessments are apportioned by Exhibit C percentage interest, not per unit (Master Deed Art. XXVIII.A, pp.27-28).

Changing the deedMaster Deed: proposed by a majority of directors or owners of a majority of units, then approved at a special meeting by owners holding at least two-thirds of the undivided interest in the Common Elements; changes to percentage interests or the assessment basis need all owners and all mortgagees; Grantor and Commercial Unit rights need the Grantor's express written consent; mortgagee rights need all mortgagees (Art. XXX, pp.32-34). Termination requires unanimous consent of all owners and all lienholders (Art. XXIX, p.32). By-Laws: two-thirds of the total votes, effective on recording (By-Laws Art. VI Sec. 6, p.80). The Grantor may also record corrections of typographical or scrivener's errors and changes required by an institutional lender without any owner or mortgagee vote, provided percentage interests are not adversely affected (Art. XXX, p.34).

Disputes or lawsuitsEvery owner waives trial by jury for any dispute related to the Master Deed or unit ownership (Art. XXXVIII, pp.38-39). Art. XXXIX imposes mandatory notice, negotiation, mediation and then final binding arbitration (Uniform Arbitration Act) on all claims among the Grantor, Association, owners and contractors, with short deadlines (30 days to mediate after negotiation fails, 15 days to arbitrate after mediation) after which a claim is deemed waived or abandoned, loser-pays cost shifting against the settlement demand/offer, no stenographic record and no post-hearing briefs (pp.39-44). Exempt: Association collection suits, owner-vs-owner suits not involving the Grantor or Association, TRO applications, and suits by a Commercial Unit owner to enforce Art. XV (p.40). No pending or past litigation is disclosed in the set (no minutes supplied). Exhibit B also disclaims all implied warranties and extends no construction warranty to any purchaser after the original buyers (Exhibit B, p.54).

What the documents say (22)

“Further, provided that Grantor has not terminated "Class II" membership in the Association in accordance with the Articles of Incorporation and By-Laws of the Association, or so long as any phase or phases of the Condominium project have not been submitted to the Condominium or so long as the Grantor, its successors or assigns, is the Owner of one 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.”Master Deed, Art. XXXIII Right of Grantor to Representation on Board of Directors, p.36

“The power of the Grantor to designate Directors as above referred to shall terminate no later than the first day of August, 2026.”Master Deed, Art. XXXIII, p.36

“Any representative of Grantor serving on the Board of Directors of the Association shall not be required to disqualify himself upon any vote from any management contract or other matter between Grantor and the Association where the Grantor may have a pecuniary or other interest.”Master Deed, Art. XXXIII, p.36

“The Class II Member shall be entitled to four (4) votes for each Unit in which it holds the interest required for membership by Article XIV in the Master Deed, provided that the Class II membership shall continue only so long as any phase or phases of the Condominium Project have not been submitted to the Horizontal Property Regime, or Grantor, its successors or assigns, is the Owner of one (1) or more Units in the entire Condominium.”By-Laws (Master Deed Exhibit E), By-Laws Art. II Sec. 1 Membership, pp.66-67

“In any event, the Class II membership shall terminate no later than August 1, 2026.”By-Laws (Master Deed Exhibit E), By-Laws Art. II Sec. 1, p.67

“So long as the Class "II" membership exists, the Class "II" Member shall have a veto power over all actions of the Board of Directors and any committee, as is more fully provided in this Section.”By-Laws (Master Deed Exhibit E), By-Laws Art. III Sec. 3 Veto, p.69

“Except for: i) any alteration in the percentage of ownership in Common Elements appurtenant to each Unit, or alteration of the basis for apportionment of assessments which may be levied by the Association in accordance with the provisions hereof, in which said instances consent of all of the Owners of all Units and their respective mortgagees shall be required, ii) any alteration, amendment or modification of the rights and privileges granted and reserved hereunder in favor of Grantor, which said rights and privileges granted and reserved unto the said Grantor shall only be altered, amended or modified with the express written consent of the said Grantor, and iii) any alteration to the rights or privileges granted or reserved hereunder in favor of the Commercial Units and the Owner(s) thereof or the granting of rights to any of the residential Units or the Owner(s) thereof which are reserved herein exclusively for the benefit of the Commercial Units and the Owners thereof, 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 upon the express written consent of the Grantor, this Master Deed may be amended in the following manner:”Master Deed, Art. XXX Amendment of Master Deed, pp.32-33

“Provided, however, any such rules or regulations which purport to diminish, abrogate or in any way affect the Commercial Units, including the Limited Common Elements and easements 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, the Owner of Commercial Units CU-1, CU-2, or CU-3, their successors and assigns, unless and until the Grantor consents in writing to the same.”Master Deed, Art. XVI Use of Common Elements Subject to Rules of Association, p.18

“For a period of ten (10) days following such receipt of the aforesaid notice to Grantor, Grantor, its successors and assigns, shall have the right to purchase the subject Unit upon the same terms and conditions as set forth in the offer therefor.”Master Deed, Art. XXXVII Right of First Refusal, p.37

“This provisions of this Article XXXVII shall not be amended without the express written consent of Grantor.”Master Deed, Art. XXXVII, p.38

“Furthermore, a perpetual, appurtenant easement for advertising is hereby reserved over the corridors, passageways, elevators, building exterior, parking garage and other Common Elements, which easement is a Limited Common Element for the exclusive use and benefit of Commercial Unit CU-1 and the Owner thereof.”Master Deed, Exhibit B, p.53

“Grantor hereby reserves the right to install an additional telephone system and switchboard, which shall be a Limited Common Element appurtenant to Commercial Unit CU-1.”Master Deed, Art. IX Easements for Utilities, p.14

“Notwithstanding the foregoing, the Commercial Unit Owner(s) 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 nor any other Unit Owner shall have the right to object thereto.”Master Deed, Art. XX, p.19

“The Grantor, or an affiliate of the Grantor, may be employed as managing agent or manager.”By-Laws (Master Deed Exhibit E), By-Laws Art. III Sec. 19(a) Management Agent, p.75

“No management contract may have a term in excess of one (1) year and must permit termination by either party without cause and without termination fee or penalty on ninety (90) days' or less written notice.”By-Laws (Master Deed Exhibit E), By-Laws Art. III Sec. 19(b), p.75

“At the first annual meeting after the termination of Class II control, five (5) Directors shall be elected.”By-Laws (Master Deed Exhibit E), By-Laws Art. III Sec. 6(b), p.70

“Thereafter and otherwise, these By-Laws may be amended only by the affirmative vote (in person or by alternate) or written consent of Voting Members representing two-thirds (2/3) of the total votes of the Association.”By-Laws (Master Deed Exhibit E), By-Laws Art. VI Sec. 6 Amendment, p.80

“GRANTOR HEREBY DECLARES, ON BEHALF OF ITSELF, THE ASSOCIATION, AND ANY OWNER OF A UNIT, THAT ANY AND ALL RIGHT TO TRIAL BY JURY SHALL BE WAIVED BY GRANTOR, THE ASSOCIATION, OR ANY OWNER OF A UNIT IN ANY DISPUTE, PROCEEDING, CASE OR CONTROVERSY ARISING UNDER OR RELATED TO THE WITHIN MASTER DEED OR OWNERSHIP OF A UNIT AND EACH OWNER, BY ACCEPTANCE OF A DEED TO A UNIT, AGREES TO BE BOUND HEREBY.”Master Deed, Art. XXXVIII Waiver of Jury Trial, pp.38-39

“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.”Master Deed, Art. XXXIX.B.4 Final and Binding Arbitration, p.41

“Notwithstanding anything to the contrary contained herein, the Grantor hereby reserves unto itself, its successors or assigns, the right and option, to be exercised at its sole discretion, to grant easements over the amenities comprising portions of the Common Elements of Grand Atlantic Ocean Resort Horizontal Property Regime, for the benefit of property owners of other properties within The Firebird and Surf & Dunes Planned Unit Development, and to enter into agreements with the owners of other properties or with the Associations of other Horizontal Property Regimes within The Firebird and Surf & Dunes Planned Unit Development, for the joint use of amenities comprising portions of the Common Elements of Grand Atlantic Ocean Resort Horizontal Property Regime, by the owners of other properties within The Firebird and Surf & Dunes Planned Unit Development, their guests, invitees, and licensees, under terms and conditions that the Grantor determines are fair, reasonable, and in the best interest of the Members.”Master Deed, Art. IV Additional Phases and Easements Therefore, pp.11-12

“The Board of Directors of Association may not defer or delay the timing of the repair and replacements of the portions of the Common Elements as set forth in the Maintenance Schedule without the written consent of the Grantor and all such repairs and replacements must be undertaken by Association at the times provided in the Maintenance Schedule unless Grantor otherwise consents in writing.”Master Deed, Art. XXIII, p.21

“The Association shall not be bound, either directly or indirectly, by any contract, lease, or other agreement (including any management contract) executed during the period of Class "II" control unless such contract, lease or other agreement contains a right of termination exercisable by either party without penalty at any time, with or without cause, upon not more than ninety (90) days notice to the other party.”By-Laws (Master Deed Exhibit E), By-Laws Art. III Sec. 22 Rights of the Association, p.76

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, and nothing in any document imposes a minimum stay, an on-site rental program, registration, or an advertising or disclaimer rule on owners (Master Deed, Art. XV p.17; Rules 2019).
The deed anticipates owner-engaged rental managers: anyone 'authorized by the Unit Owner (including rental managers and their agents)' may enter in an emergency, so using Airbnb/VRBO or an outside manager does not conflict with the governing documents (Master Deed, Art. XVIII p.18).
Owners' guests, licensees and invitees hold a perpetual easement over all Common Elements, so off-program guests may use the pools and exercise room on the same terms as anyone else; the only posted limits are hours (pool 9am-11pm, gym 6am-11pm) and supervision of children under 14 (Master Deed, Art. VIII p.14; Rules 2019 p.1).
Dues are all-inclusive: in-unit electricity, water/sewer, fuel, trash, cable TV and internet, unit phone, pest control, security and building/wind/flood insurance are all common expenses, so a self-managing owner carries almost no separate utility bills (2026 Budget p.1; Master Deed Art. XXVIII.J p.30).
Dues were held at 0.00% for 2026 and essentially flat for 2025 ($869.45/month for a one-bedroom both years), and the budgeted insurance premium has fallen from $661,286 (2024) to $543,953 (2025) to $481,552 (2026) (2026 Budget p.1; 2025 Budget p.1; Year-End Mailing 2024 p.2).
Reserves are funded at 22% of the 2026 budget ($523,357) and the Board publishes a seven-year reserve projection with a $1,735,913 starting balance for 2026 (2026 Budget pp.1-2).
No special assessment is documented in the 2024, 2025 or 2026 budgets, and the Board must get a majority owner vote before borrowing more than 5% of the budget to add or improve amenities (2024-2026 Budgets; By-Laws Art. III Sec. 21, Master Deed file p.76).
Management contracts are capped at one year with 90-day no-penalty termination, quarterly financial reports (income statement, budget variance, balance sheet, delinquency report) are required, an annual report must be prepared by an independent CPA (audited, reviewed or unaudited at the Board's option) in any year income exceeds $75,000, and books, minutes and Board meetings are open to owners (By-Laws Art. III Secs. 16, 19-20 and Art. VI Sec. 4, Master Deed file pp.72-79).
Fines require written notice, a 10-day window to request a hearing, and a hearing before a Covenants Committee with appeal to the Board; a guest's fine is assessed against the occupant first (By-Laws Art. III Sec. 23, Master Deed file pp.76-77).
The deed requires a professional engineer or architect to inspect the Common Elements about every three years and the Board cannot defer scheduled major repairs, which supports long-term building condition (Master Deed, Art. XXIII p.21; Exhibit F p.81).
The master policy must cover every unit as well as the Common Elements at full replacement value on an 'all-in' condominium form, so an owner's own policy only needs to pick up contents, improvements, loss of rents, liability and the deductible share (Master Deed Art. XXV.A p.23; COI p.1).
The NFIP flood declarations show zero prior flood claims on the building and a 15-foot first-floor elevation (COI p.3).
Any contract or lease the developer-controlled board signed (including the $16,800 'Space Lease' if it dates from that period) must be terminable by the Association without penalty on 90 days' notice, so an owner-elected board is not locked into developer-era deals (By-Laws Art. III Sec. 22, Master Deed file p.76).
The deed imposes no resale capital contribution or transfer fee payable to the Association; the two-month working-capital payment applies only to the Grantor's initial sale of each unit, leaving the $50 right-of-first-refusal certificate as the only deed-level transfer charge (Master Deed Art. XXVIII.L p.31; Art. XXXVII p.38).

Watch-outs

The 2026 reserve schedule contradicts itself: the summary projection shows a $1,735,913 balance entering 2026 and only $136,581 of 2025 expenses, but the component table on the same page shows $2,004,102 of 2025 expenses through 6/30/25 (including $1,461,712 'Miscellaneous', $344,900 balcony/railings and $185,000 fire suppression) and a projected balance of ($1,121,647) at 12/31/25, with Roofing at ($536,997) and Miscellaneous at ($1,636,587) projected; demand the actual reserve bank balance and an explanation of the 2025 spending (2026 Budget p.2).
Reserve contribution figures do not reconcile: the operating budget funds $523,357 for 2026 and $494,104 for 2025, the schedule's projection row shows $470,651 and $420,224, and the component table's budget-contribution column totals $336,000 for both years (2026 Budget pp.1-2).
There is no professional reserve study; the schedule is a Board projection (total replacement cost $3,309,000, 'annual contribution per estimate' $259,146) and the engineer inspection the deed requires every three years is not supplied (2026 Budget p.2; Master Deed Art. XXIII p.21).
Dues jumped 19.82% in 2024 (one-bedroom from $725.62 to $869.45/month; four-bedroom from $1,663.52 to $1,993.25) because the insurance premium rose from $350,042 to $661,286, showing how exposed this oceanfront tower is to the coastal insurance market (Year-End Mailing 2024 pp.1-2).
Dues are high in absolute terms: $10,433/year for a 1BR, $13,916-$14,440 for a 2BR, $17,156 for a 3BR and $23,919 for a 4BR, which a self-managed rental must clear before any profit (2026 Budget p.1).
The only insurance evidence is from the 2022-23 policy year; at that time the named-windstorm deductible was $75,000 per occurrence, other wind/hail $25,000, water damage $25,000, and the NFIP flood policy (Zone VE, $33,250,000 building, $25,000 deductible) was priced at a discounted $25,624 against a $36,538 full-risk premium, so current terms, deductibles and premiums are unknown and likely higher (COI pp.1-3).
The Board may levy additional assessments whenever it decides, in its sole discretion, that dues are or may prove insufficient, and may borrow for repairs without any owner vote (Master Deed Art. XXVIII.C p.28; By-Laws Art. III Sec. 21 p.76).
Because in-unit electricity is commonly metered, the Association may shut off power to a unit 20 days after a missed assessment, which would halt rentals immediately; interest, attorney's fees, acceleration and foreclosure also follow (Master Deed Art. XXVIII.G and J pp.29-30).
The lobby, check-in area, offices, game room, meeting room, laundry room, maids' closets and laundry chutes belong to Commercial Unit CU-1 (as unit space or its Limited Common Elements), not to the Association, so an off-program owner has no deed right to front-desk check-in or to the building's housekeeping infrastructure and must run keys, cleaning and linen independently (Master Deed Exhibit B pp.51-53; Art. VIII p.14).
CU-1 holds a perpetual exclusive advertising easement over the corridors, elevators, building exterior and parking garage and an exclusive rooftop antenna/satellite easement; any additional telephone system and switchboard the Grantor installs, and the cable/internet wiring inside every unit if the Grantor owns and provides those services, are also CU-1 Limited Common Elements (the original switchboard is a Common Element), giving the commercial owner control over in-building signage and a conditional claim on the phone/TV/internet plant that dues pay for ($125,300 cable/internet and $44,125 unit phone in 2026) (Master Deed Exhibit B p.53; Art. IX pp.14-15; 2026 Budget p.1).
Commercial Unit rights can only be altered with the Grantor's express written consent, Board rules that affect the Commercial Units are not binding without Grantor consent, and the commercial-activity restriction needs Grantor consent plus a unanimous owner vote, so owners cannot rebalance the resort's structure by ordinary amendment (Master Deed Art. XXX p.33; Art. XVI p.18; Art. XV p.17).
A right of first refusal in favor of the Grantor (10 days to match any bona fide third-party offer, $50 certificate, not amendable without Grantor consent) burdens arm's-length resales of residential units and can delay closings; it does not apply to the Commercial Units, foreclosure or judicial sales, transfers to or from mortgagees, co-tenant transfers, transfers by will, intestacy or to a trust, or transfers to first-degree family members, and it is conclusively waived if the Grantor does not respond within 10 days or does not sue within 90 days after a non-compliant transfer is recorded (Master Deed Art. XXXVII pp.37-38).
The developer held four votes per unit, a veto over all Board actions and the right to appoint a majority of directors until no later than August 1, 2026; the 2024 mailing still showed a three-person board, so as of October 2026 confirm that Class II control has actually ended and an owner-elected five-member board has been seated (Master Deed Art. XXXIII p.36; By-Laws Art. II Sec. 1 and Art. III Secs. 2-6, Master Deed file pp.66-71; Year-End Mailing 2024 p.1).
Grantor representatives need not recuse from votes on management contracts between the Grantor and the Association, and the Grantor or an affiliate may serve as managing agent (Master Deed Art. XXXIII p.36; By-Laws Art. III Sec. 19 p.75).
Every owner waives jury trial and must take virtually any dispute with the Association, developer or contractors through mandatory negotiation, mediation and binding arbitration with short deadlines after which a claim is 'deemed waived' or 'deemed abandoned', while the Association may still sue owners in court to collect assessments (Master Deed Arts. XXXVIII-XXXIX pp.38-44).
Owners must deposit a unit key with the Association and cannot change the entry lock without complying; the reserve schedule carries a building-wide Door Lock System, so smart-lock plans need Association sign-off (Master Deed Art. XVIII p.18; Art. XXII p.20; 2026 Budget p.2).
Hosts must police a strict rule set with no pets, no grilling, no smoking or vaping on balconies, no boats/trailers/jet skis, quiet after 10pm and no items in hallways; fines unpaid by the guest fall on the owner, towing is at the owner's expense, and late fines start at $25 with administrative fines from $30 (Rules 2019 p.1; By-Laws Art. III Sec. 23 pp.76-77; Year-End Mailing 2024 p.1).
Fifty of the parking spaces are on an off-site lot the regime holds only by non-exclusive easement; that lot's owner may relocate or reconfigure the spaces, build on the lot, substitute off-site parking during construction and set parking rules, while the Association pays the lot's maintenance, taxes and insurance ($13,131 Parking Area Contribution) (Master Deed Exhibit A p.47; 2026 Budget p.1).
The Grantor may grant other properties in The Firebird and Surf & Dunes PUD easements over the resort's pools and amenities, and may charge owners as a common expense for use of other properties' amenities, so amenity crowding and costs can be set outside owner control (Master Deed Art. IV pp.11-12).
Elevator upgrades ($660,000, zero remaining useful life), exterior caulking/paint ($525,000, five years remaining) and roofing ($418,500) dominate the component schedule, and the projection shows $1,027,836 of reserve spending in 2027 (2026 Budget p.2).
The deed discloses the site is or may be seaward of the coastal setback line and within the FEMA velocity zone (Flood Zone VE on the NFIP declarations), which constrains rebuilding and drives wind and flood pricing (Master Deed pp.5-6; COI p.3).
The 2025 budget approved 8/22/2024 totals $2,374,405 with monthly fees $0.17-$0.79 higher, but the 2026 budget restates 2025 at $2,373,965 with the old fees; the budget also carries a $16,800 'Space Lease' whose purpose and counterparty are not stated (2025 Budget p.1; 2026 Budget p.1).
The deed makes each owner liable for accidents inside the unit 'to the same extent and degree that the Owner of a house would be liable' and leaves contents and furnishings at the owner's risk, so a short-term-rental host needs an HO-6/landlord policy with liability cover that waives subrogation; the Association's master policy and $5M umbrella do not stand in for it (Master Deed Art. XXIV p.22; COI p.4).
The deed lets the Board spend the replacement reserve on any operating shortfall or emergency without an owner vote, which is one possible explanation for the $1,461,712 'Miscellaneous' reserve outflow in the 2025 component table; ask what it was (Master Deed Art. XXVIII.D p.28; 2026 Budget p.2).

Unit type	Per month	Per year
Type E - 1 Bedroom (776 sf, 0.439495% interest, 19 units)	$869	$10,433
Type C - 2 Bedroom (1,035 sf, 0.586183% interest, 19 units)	$1,160	$13,916
Type D - 2 Bedroom (1,074 sf, 0.608271% interest, 19 units)	$1,203	$14,440
Type B/Br - 3 Bedroom (1,276 sf, 0.722675% interest, 38 units)	$1,430	$17,156
Type A/Ar - 4 Bedroom with loft (1,779 sf, 1.007555% interest, 38 units)	$1,993	$23,919
CU-1 - Commercial (2.14424% interest)	$4,242	$50,904
CU-2 - Commercial (0.575422% interest)	$1,138	$13,660
CU-3 - Commercial (0.486503% interest)	$962	$11,549

Grand Atlantic Ocean 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.

Grand Atlantic Ocean 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.