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HomeMy WebLinkAboutOrder 022 - Notice of Default - PronghornDeschutes County Board of Commissioners 1300 NW Wall St., Suite 200, Bend, OR 97701-1960 (541) 388-6570 -Fax (541) 385-3202 -www.deschutes.org I 1 1 1 I I iI 1 AGENDA REQUEST & STAFF REPORT For Board Business Meeting of April 25, 2012 Please see directions for completing this document on the next page. DATE: April 19, 2012 FROM: Mark Pilliod Legal TITLE OF AGENDA ITEM: An Order Authorizing Interim County Administrator to Execute and Deliver Notice of Default. PUBLIC HEARING ON THIS DATE? NO. BACKGROUND AND POLICY IMPLICATIONS: State law defines destination resort in part as "a self-contained development providing visitor-oriented accommodations and developed recreational facilities in a setting with high natural amenities." County Code also requires the number of units approved for residential sale may not be more than two (2) units for each (1) unit of permanent overnight (visitor) lodging (State law requires 2.5:1). Ifa resort does not construct all of the required overnight lodging units necessary to comply with the 2:1 ratio, then it is required to guarantee through surety bonding or substantially equivalent financial assurances prior to closure of sale of individual lots or units an amount necessary to cover the costs of constructing the remaining overnight lodging units. In 2002, Deschutes County approved Pronghorn's application for 289 single family residential lots. The minimum number of overnight lodging units required under Oregon Statewide Planning Goal 8 is 150 units. Deschutes County approved Pronghorn's Improvement Agreement (IA) to construct 150 overnight lodging units in 2002. Between 2002 and 2008, the County permitted Pronghorn to increase the number of single family residential lots from 289 to 384, which had the effect of increasing its overnight lodging unit obligation from 150 to 192. During this same period, Pronghorn constructed 48 overnight lodging units. Therefore, to maintain compliance with the state's required 2: 1 ratio, Deschutes County approved Pronghorn's Amendment to the IA in 2008 to provide a financial assurance to construct 144 additional overnight lodging units. Specifically, the 2008 Amendment required Pronghorn to build Hotel A, 64 units, by April 2011, and Hotel B, 80 units, by April 2013. Since entering into the Amendment to the IA in 2008, Pronghorn has not constructed any overnight lodging units. Deschutes County must ensure it retains the right to require compliance with State Law and County Code to achieve the 2:1 ratio. Pronghorn's construction of only 48 overnight lodging units, while enjoying the benefit of 384 single family lots, represents an 8: 1 ratio. In discussions with the developer who signed the improvement agreement, it was apparent that further extension of the obligations under the improvement agreement would not provide any certainty that the overnight lodging units would be constructed in a timely manner. FISCAL IMPLICATIONS: None RECOMMENDATION & ACTION REQUESTED: Move adoption of recommended Order Number 2012-22, attached ATTENDANCE: Mark Pilliod, Legal Counsel DISTRIBUTION OF DOCUMENTS: File original in Commissioners Journal, with copies to Legal and Finance \ I 7!{:1~ LEGAL CO NSEL For Recording Stamp Only BEFORE THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON An Order Authorizing Interim County * Administrator to Execute and Deliver Notice of * ORDER NO. 2012-022 Default. * WHEREAS, Pronghorn Investors LLC, Pronghorn Villa Partners LLC., and Pronghorn Development Company LLC (collectively "Developer") are the developer of Pronghorn Destination Resol1 development in Deschutes County ("Project"); and WHEREAS, as a part of the land use approval of the Project, Developer was required to complete construction of overnight lodging units; and WHEREAS, Developer is a party to that certain Improvement Agreement Amendment:, Deschutes County document number 2008-171 ("Improvement Agreement"), recorded on May 21, 2008, in the Deschutes County Official Records at 2008-22062, by which the County allowed Developer to proceed with the project, sell properties comprising the Project and defer construction of overnight lodging units; and WHEREAS, under the Improvement Agreement:, Developer agreed to complete construction of certain overnight lodging units no later than May, 2011; and WHEREAS, as security for performance of its obligations under the Improvement Agreement, Developer caused to be deposited with the county an amount of cash which Developer asserted was sufficient to satisfy the Developer's obligation to construct the overnight lodging units in the event Developer failed to do so; and WHEREAS, Developer has failed to complete the required overnight lodging units by the deadline set forth in the Improvement Agreement and is therefore in default, now, therefore, THE BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON, HEREBY ORDERS as follows: Section 1. A default and breach of the Improvement Agreement is declared. III I i I I t Page 1 of2 -ORDER NO. 2012-022 J Section 2. The Deschutes County Interim Administrator is authorized and directed to execute and deliver by mail a Notice of Default, in substantially the form attached hereto, marked Exhibit A and incorporated by reference herein. DATED April __, 2012 BOARD OF COUNTY COMMISSIONERS OF DESCHUTES COUNTY, OREGON ANTHONY DEBONE, Chair ATTEST: ALAN UNGER, Vice Chair Recording Secretary TAMMY BANEY, Commissioner Page 2 of2 -ORDER NO. 2012-022 ~EWED G~ , ­ L GAL COUNSEL For Recording Stamp Only [DATE] CERTIFIED MAIL RETURN RECEIPT REQUESTED Attn: Tom Hix High Desert Development, LLC Pronghorn Investors LLC Pronghorn Villa Partners LLC Pronghorn Development Company LLC 480 San Antonio Rd, Ste 205 Mountain View, CA 94040-1245 Pronghorn Intangibles, LLC c/o Shane Orr Jacobs Chase LLC 1050 1 i h St., Ste 1500 Denver, CO 80265 Attn: Jeff Schultz Societe Generale 2001 Ross Ave., Ste 4900 Dallas, TX 95201 Attn: Tia Lewis Schwabe Williamson & Wyatt PC 360 SW Bond St, Ste. 400 Bend,OR 97702 Attn: Gerald S. Casilli Casilli Revocable Trust UTA 2905 Woodside Road Woodside, CA 94062 Pronghorn Intangibles, LLC c/o Elizabeth Dickson 747 SW Mill View Way Bend, OR 97702 Attn: Thomas P. Arnold Locke Liddell & Sapp LLP 2200 Ross Ave, Ste 2200 Dallas, TX 75201 URGENT -NOTICE OF DEFAULT YOU ARE HEREBY NOTIFIED THAT THERE IS A DEFAULT BY DEVELOPER OR OTHER PERSON OWING AN OBLIGATION OR BY HIS SUCCESSOR IN INTEREST. The obligation is set forth in the Improvement Agreement Amendment, Deschutes County Document No. 2008-171, recorded on May 21, 2008 in the Deschutes County Official Records at 2008-22062 ("Agreement"). The parties to the Agreement are: 1. Developer/Grantor/Licensor: Pronghorn Investors LLC I Pronghorn Villa Partners LLC Pronghorn Development Company LLC Any successor in interest, pursuant to Section I 21 of the Agreement l I (collectively "Developer") I Notice of Default Pronghorn Investors LLC, et al Page 2 01'2 2. Grantee/Licensee: Deschutes County ("County") The property which is the subject of the Agreement is legally described as in Exhibit A, attached and incorporated by reference herein. The Agreement is in default for the following reasons: 1. The Developer has failed to "install and complete, or cause to be installed and completed" Hotel A, described in Section 4 of the Agreement ("Required Improvements"), by the completion deadline of May 1,2011, as required by Section 5.2 of the Agreement. 2. The Developer has failed to provide County with annual updates, in accordance with Section 5.6 ofthe Agreement, of Developer's progress in constructing the Required Improvements. Pursuant to the Agreement, if within 30 days from the date of this notice you have not cured the default, the County shall have the right without further notice to draw on the Security as provided in Section 8 of the Agreement and to enter and remain on the property as provided as provided in Section 7. At the end of the 30-day period, if the Required Improvements are not completed, the County shall step and in and commence or complete the Required Improvements and shall draw on the Trust Account. Dated this of ,2012 BOARD OF COUNTY COMMISSIONERS --------' OF DESCHUTES COUNTY, OREGON ANTHONY DEBONE, Chair ALAN UNGER, Vice Chair ATTEST: Recording Secretary TAMMY BANEY, Commissioner EXHIBIT "A" TRACT I: Lot 11, CORE AREA AT PRONGHORN, Recorded December 15, 2005 as document No. 2005-86135, Deschutes County, Oregon. EXCEPTING THEREFROM that portion platted as The Residence Club at Pronghorn Villas Condominiums Supplemental Plat No.1: Annexation of Stage 2 Recorded August 21, 2006 as Document No. 2006-57317 TRACT II: Parcel I: An undivided 2/12 Interest in Unit 108 RESIDENCE CLUB AT PRONGHORN VILLAS CONDOMINIUMS, Recorded August 23, 2005 as Document No. 2005-56018 Deschutes County, Oregon, described in and subject to that certain Condominium Declaration of Ownership and Fractional Plan for the Residence Club at Pronghorn Villas Condominiums recorded August 23, 2005 In Volume 2005, Page 56019, Deschutes County Official Records, and rerecorded September 6, 2005 in Volume 2005, Page 59517, and amended by document recorded March 13, 2006 In Volume 2006, Page 16873, together with the limited and general common elements as set forth therein, appertaining to said unit. (COMMONLY KNOWN AS INTERESTS G & L) PARCEL II: An undivided 2/12 interest in Unit 304 RESIDENCE CLUB AT PRONGHORN VILLAS CONDOMINIUMS, Recorded August 23, 2005 as Document No. 2005-56018 Deschutes County, Oregon, described in and subject to that certain Condominium Declaration of Ownership and Fractional Plan for the Residence Club at Pronghorn Villas Condominiums recorded August 23, 2005 in Volume 2005, Page 56019, Deschutes County Official Records, and rerecorded September 6, 2005 in Volume 2005, Page 59517, and amended by document recorded March 13, 2006 in Volume 2006, Page 16873, together with the limited and general common elements as set forth therein, appertaining to said unit. (COMMONLY KNOWN AS INTERESTS J, & K) Page 1 of 11, Exhibit A to Notice of Default TRACT III: PARCEL I: An undivided 10/12 interest In Unit 401 RESIDENCE CLUB AT PRONGHORN VILLAS CONDOMINIUMS SUPPLEMENTAL PLAT NO.1: ANNEXATION OF STAGE 2, recorded August 21, 2006 as Document No. 2006-57317 Deschutes County, Oregon, described in and subject to that certain Condominium Declaration of Ownership and Fractional Plan for the Residence Club at Pronghorn Villas Condominiums recorded August 23, 2005 in Volume 2005, Page 56019, Deschutes County Official Records, and rerecorded September 6, 2005 In Volume 2005, Page 59517; and in Supplemental Declaration of Ownership & Fractional Plan for the Residence Club at Pronghorn Villas Condominiums Supplemental Plat No.1: Annexation of Stage 2 recorded August 21, 2006 In Volume 2006 Page 57318; also together with the limited and general common elements as set forth therein, appertaining to said unit. (COMMONLY KNOWN AS INTERESTS C, 0, E, F, G, H, I, J, K & L) PARCEL II: An undivided 10/12 Interest in Unit 404 RESIDENCE CLUB AT PRONGHORN VILLAS CONDOMINIUMS SUPPLEMENTAL PLAT NO.1: ANNEXATION OF STAGE 2, recorded August 21, 2006 as Document No. 2006-57317, Deschutes County, Oregon, described in and subject to that certain Condominium Declaration of Ownership and Fractional Plan for the Residence Club at Pronghorn Villas Condominiums recorded August 23, 2005 In Volume 2005, Page 56019, Deschutes County Official Records, and rerecorded September 6, 2005 in Volume 2005, Page 59517; and in Supplemental Declaration of Ownership & Fractional Plan for the Residence Club at Pronghorn Villas Condominiums Supplemental Plat No.1: Annexation of Stage 2 recorded August 21, 2006 in Volume 2006 Page 57318; also together with the limited and general common elements as set forth therein, appertaining to said unit. (COMMONLY KNOWN AS INTERESTS C, 0, E, F, G, H, I, J, K & L) I Page 2 of 11, Exhibit A to Notice of Default t I PARCEL III: An undivided 12/12 interest In Unit 405 RESIDENCE CLUB AT PRONGHORN VILLAS CONDOMINIUMS SUPPLEMENTAL PLAT NO.1: ANNEXATION OF STAGE 2, recorded August 21, 2006 as Document No. 2006-57317, Deschutes County, Oregon, described In and subject to that certain Condominium Declaration of Ownership and Fractional Plan for the Residence Club at Pronghorn Villas Condominiums recorded August 23, 2005 in Volume 2005, Page 56019, Deschutes County Official Records, and rerecorded September 6, 2005 In Volume 2005, Page 59517; and In Supplemental Declaration of Ownership & Fractional Plan for the Residence Club at Pronghorn Villas Condominiums Supplemental Plat No.1: Annexation of Stage 2 recorded August 21, 2006 In Volume 2006 Page 57318; also together with the limited and general common elements as set forth therein, appertaining to said unIt. (COMMONLY KNOWN AS INTERESTS A, B, C, D, E, F, G, H, I, J, K & L) TRACT IV: Lots 104, and Developer Lot C ESTATES AT PRONGHORN, PHASE 2, Recorded August 18, 2003, Document No. 2003 -56597, Official Records, Deschutes County, Oregon TRACT V: lots 230, 240 through 244, 248, 251, 252, 256 through 260, 262, 263, 268, 269, 274 275, 282, 283 and 285, Developer lot D, Developer lot E, Developer lot F; and Developer lot G, ESTATES AT PRONGHORN, PHASE 3, Recorded November 10, 2004, Document No. 2004 -67478, Official Records, Deschutes County, Oregon. TOGETHER WITH a tract of land, being a portion of Lot 177, ESTATES AT PRONGHORN, PHASE 2, as recorded on August 18, 2003, Document No. 2003-56597, Official Records, Deschutes County, Oregon and located in the North Half (Nl/2) of Section 16, Township 16 South, Range 13 East, Willamette Meridian, Deschutes County, Oregon, being more fully described as follows: BEGINNING from the Southwesterly corner of Lot 177, ESTATES AT PRONGHORN, PHASE 2, as recorded in the Deschutes County Clerks Records in Cabinet "GIl, Page 3, said point being a found yellow plastic cap marked "W&H Pacific"; thence along a line common to the Westerly line of said Lot 177, and the Easterly line of Developer Lot Page 3 of 11 , Exhibit A to Notice of Default "F", ESTATES AT PRONGHORN, PHASE 3, as recorded in the Deschutes County Clerks Records in Cabinet "G", Page 512, North 11°40'0611 West, 76.07 feet to a found yellow plastic cap marked "W&H Pacific"; thence leaving said common line and along the Northerly line of said Lot 177 and being common to said Developer Lot "F", North 69°34'24" East, 21.87 feet; thence leaving said Northerly line and said common line South 03°33'40" West, 82.29 feet to the point of beginning. EXCEPTING THEREFROM that portion of Developer Lot F described in the following 4 Lot Line Adjustment descriptions: LOT 177 & DEVELOPER LOT "F" ADJUSTMENT AREA Lot line adjustment description located in the North Half of Section 16, Township 16 South, Range 13 East, Willamette Meridian, Deschutes County, Oregon being more fully described as follows: BEGINNING FROM the Northeasterly corner of Lot 177, ESTATES AT PRONGHORN, PHASE 2 as recorded in the Deschutes County clerks records in Cabinet "Gil, Page 3, said point being a found yellow plastic cap marked "W&H Paclfic"i thence along a line common to the Westerly line of said Lot 177, and the Easterly line of Developer Lot "F", Estates At Pronghorn, Phase 3, as recorded in the Deschutes County clerks records in Cabinet "G", Page 512, South 69°34'25" West, 171.06 feet; thence leaving said common line North 03°33'40" East, 68.57 feet; thence North 75°34'36" East, 132.84 feet; thence South 33°13'15" East, 50.00 feet to the POINT OF BEGINNING. LOT 178 & DEVELOPER LOT "F" ADJUSTMENT AREA Lot Line Adjustment Description located in the North Half (Nl/2) of Section 16, Township 16 South, Range 13 East, Willamette Meridian, Deschutes County, Oregon being more fully described as follows: BEGINNING from the Northwesterly corner of Lot 178, ESTATES AT PRONGHORN, PHASE 2 as recorded In the Deschutes County clerks records In Cabinet "Gil, Page 3, said point being a found yellow plastic cap marked "W&H Pacific"; thence along a line common to the Westerly line of said Lot 178, and the Easterly line of Developer Lot "F", ESTATES AT PRONGHORN, PHASE 3, as recorded in the Deschutes County clerks records in Cabinet "Gil, Page 512, thence South 30°59'58" West, 113.67 feet; to the Southwesterly corner of Lot 178, being a found yellow plastic cap marked "W&H Pacific"; thence leaving said common line North 33°13'15" West, 50.00 feet; thence North Page 4 of 11. Exhibit A to Notice of Default 39°20'24" East, 93.58 feet; thence South 57°48'06" East, 31.46 feet the POINT OF BEGINNING. LOT 179 & DEVELOPER LOT "F" ADJUSTMENT AREA Lot line adjustment description located in the North Half (N 1/2) of Section 16, Township 16 South, Range 13 East, Willamette Meridian, Deschutes County, Oregon being more fully described as follows: Beginning From The Southwesterly Corner Of Lot 179, ESTATES AT PRONGHORN, PHASE 2 as recorded In the Deschutes county clerks records in Cabinet "Gil, Page 3, said point being a found yellow plastic cap marked "W&H Pacific"; thence North 57°48'06" West, 31.46 feet; thence North 39°20'24" East, 89.45 feet; thence South 77°34'46" East, 19.49 feet to the Northwesterly corner of said Lot 179; thence along a line common to the Westerly line of said Lot 179, and the Easterly line of Developer Lot "F", ESTATES AT PRONGHORN, PHASE 3, as recorded in the Deschutes County clerks records in Cabinet "G", Page 512, South 30°59'58" West, 95.37 feet the pOint of beginning. LOT 180 & DEVELOPER LOT "F" ADJUSTMENT AREA Lot line adjustment description located In the North Half (N1/2) of Section 16, Township 16 South, Range 13 East, Willamette Meridian, Deschutes County, Oregon being more fully described as follows: BEGINNING from the Northwesterly corner of Lot 180, ESTATES AT PRONGHORN, PHASE 2 as recorded in the Deschutes County clerks records in Cabinet "Gil, Page 3, said pOint being a found yellow plastic cap marked "W&H Pacific"; thence along a line common to the Westerly line of said Lot 180, and the Easterly line of Developer Lot "F", ESTATES AT PRONGHORN, PHASE 3, as recorded in the Deschutes County clerks records in Cabinet "G", Page 512, South 30°59'58" West, 119.80 feet; thence leaving said common line North 77°34'46" West, 19.49 feet; thence North 39°20'24" East, 127.36 feet to the POINT OF BEGINNING. Page 5 of 11. Exhibit A to Notice of Default TRACT VI: The Northwest Quarter of Section 16, Township 16 South, Range 13, East of the Willamette Meridian, also known as Parcell of Partition Plat 1993-59, Recorded September 2, 1993, Document No. 1993­ 030812, Deschutes County Plat Records, Deschutes County, Oregon. EXCEPTING THEREFROM any portion lying within the boundaries of ESTATES AT PRONGHORN, PHASE 2, Recorded August 18, 2003, Document No. 2003 -56597, Official Records, and within the boundaries of ESTATES AT PRONGHORN, PHASE 3, Recorded November 10, 2004, Document No. 2004 -67478, Official Records. TRACT VII: A parcel of land located In South Half of Section 16, Township 16 South, Range 13 East, WlIIamette Meridian, Deschutes County, Oregon, being more particularly described as follows: All of the South Half (51/2) of Section 16, Township 16 South, Range 13 East, Willamette Meridian, Deschutes County, Oregon. EXCLUDING: That portion of ESTATES AT PRONGHORN, PHASE 1, lying In the Southeast Quarter (SE1/4) of Section 16, Township 16 South, Range 13 East, Willamette Meridian as recorded December 19, 2002, Document No. 2002-71282, in the Deschutes County Official Records. ALSO EXCLUDING: Any portion lying within the plat of CORE AREA AT PRONGHORN, recorded December 15, 2005 as Document 2005-86135 in Deschutes County Official Records. ALSO EXCLUDING: An portion lying within the plat of VILLAS AT PRONGHORN TOWNHOUSES, recorded March 16, 2006 as Document 2006-18025 in Deschutes County Official Records. ALSO EXCLUDING: That portion of ESTATES AT PRONGHORN PHASE 2, Developer lot "C", lying in the Southeast Quarter (SE1/4) of Section 16, Township 16 South, Range 13 East, WlIlamette Meridian, as recorded August 18, Page 6 of 11, Exhibit A to Notice of Default 2003/ Document No. 2003 -56597 in the Deschutes County Official Records. ALSO EXCLUDING: That portion of ESTATES AT PRONGHORN, PHASE 3, Recorded November 10/ 2004, Document No. 2004 -67478/ Official Records/ lying In the South Half (51/2) of Section 16 South/ Range 13, East/ Willamette Meridian/ Deschutes County, Oregon. ALSO EXCLUDING: Any portion contained with the plat of RESIDENCE CLUB AT PRONGHORN VILLAS CONDOMINIUMS Recorded August 23, 2005 as Document 2005-56018. TRACT VIII: Lots 1/ 3/ 4/ 5/ 6/ 7/ 8/ 9/ 10/ and Developer Lot 1/ CORE AREA AT PRONGHORN, recorded December 15, 2005 as Document 2005-86135 in Deschutes County Official Records. TRACT X: The Northeast Quarter (NE1/4) of Section 16/ Township 16 South, Range 13/ East of the Willamette Meridian, Deschutes County, Oregon. EXCEPTING THEREFROM any portion lying within the boundaries of ESTATES AT PRONGHORN, PHASE 1/ Recorded December 19, 2002/ Document No. 2002 -71282/ Official Records, ESTATES AT PRONGHORN/ PHASE 2/ Recorded August 18/ 2003, Document No. 2003 -56597/ Official Records, and ESTATES AT PRONGHORN, PHASE 3, Recorded November 10, 2004, Document No. 2004 -67478, Official Records. TRACT XI: All property in VILLAS AT PRONGHORN TOWNHOUSES, recorded March 16, 2006 as Document 2006-18025 in Deschutes County Official Records TRACT XII: Parcels 1 & 2, Partition Plat 2005-38, Recorded May 26, 2005, Document No. 2005 -32432, Official Records, Deschutes County, Oregon. Page 7 of 11 , Exhibit A to Notice of Default EXCEPTING FROM ALL OF THE ABOVE PROPERTY, THE FOLLOWING PROPERTIES: Lot 1, VILLAS AT PRONGHORN TOWNHOUSES, Deschutes County, Oregon. Recorded: August 3, 2007 Document No.: 2007-42973, Official Records Lot 3, VILLAS AT PRONGHORN TOWNHOMES, recorded in Deschutes County, survey records as CS16825. TOGETHER WITH: Beginning at the Northerly angle pOint on the Southerly line of said Lot 3, point of which bears North 46°37'45" East, 31.90 feet from the Southwest corner of said Lot 3: thence South 43°22'15" East along the line common to Lots 3 and 4 of said plat, 7.90 feet to the Southerly angle point on said Southerly line; thence South 46°37'45" West along the projection of said common line 2.00 feet; thence parallel to the line between the Northerly and Southerly angle pOints on said Southerly line North 43°22'15" West, 7.90 feet to a point on said common line; thence along said common line North 46°37'45" East, 2.00 feet to the point of beginning. Recorded: March 9, 2007 Document No.: 2007-14374, Official Records Lot 3 of Villas at Pronghorn Townhomes, located in Deschutes County, Oregon, according to the Plat of Villas at Pronghorn Townhomes, recorded In Deschutes County, Oregon, Official Records on March 16, 2006, as Document No. 2006-18025, in Plat Cabinet G, at pages 1079­ 1080. TOGETHER WITH A parcel of real property located in Deschutes County, Oregon, resulting from the Deschutes County, Oregon, Lot Line Adjustment No. LL-06-84, described as: Beginning at the Northerly angle point on the Southerly line of said Lot 3, point of which Page 8 of 11, Exhibit A to Notice of Default bears North 46°37'45" East! 31.90 feet from the Southwest corner of said Lot 3; thence South 43°22'15" East along the line common to Lots 3 and 4 of said plat, 7.90 feet to the Southerly angle point on said Southerly line; thence South 46°37'45" West along the projection of said common line 2.00 feet; thence parallel to the line between the Northerly and Southerly angle points on said Southerly line North 43°22'15" West! 7.90 feet to a point on said common line; thence along said common line North 46°37'45" East, 2.00 feet to the point of beginning. TOGETHER WITH an easement for Ingress and egress to, from and through Common Areas in favor of Owners as set out in that certain Declaration of Protective Covenants, Conditions and Restrictions for the Villas at Pronghorn! recorded in Deschutes County, Oregon Official Records on March 16, 2006, as Document No. 2006-18026. Recorded: August 31! 2007 Document No.: 2007-48111, Official Records Lot 2, VILLAS AT PRONGHORN TOWNHOUSES, Deschutes County, Oregon. Recorded: September 6, 2007 Document No.: 2007-48854, Official Records Lot 9, VILLAS AT PRONGHORN TOWNHOUSES, Deschutes County, Oregon. Recorded: October 15, 2007 Document No.: 2007-55105, Official Records Lot 6, VILLAS AT PRONGHORN TOWNHOUSES, recorded in Deschutes County Surveyor's records as CS16825. TOGETHER WITH: Beginning from the most Easterly corner common to Lots 5 and 6 of said plat of Villas at Pronghorn Townhomes; thence along the line common to said Lots 5 and 6, North 89°31'15" West, 86.54 feet tot the true point of beginning; thence South 00°28'45" West, 7.98 feet; thence North 89°31'15" West 2.00 feet; thence Page 9 om,Exhibit A to Notice of Default leaving said common line North 00°28'45" East, 7.98 feet; thence South 89°31'15" East, 2.00 feet to the true point of beginning. Recorded: November 14, 2007 Document No.: 2007-59608, Official Records Lot 5, VILLAS AT PRONGHORN TOWNHOUSES, recorded in Deschutes County Surveyor's records as CS 16825. EXCEPTING THEREFROM: Beginning from the most Easterly corner common to Lots 5 and 6 of said plat of Villas at Pronghorn Townhomes; thence along the line common to said Lots 5 and 6, North 89°31'15/1 West, 86.54 feet tot the true point of beginning; thence South 00°28'45/1 West, 7.98 feet; thence North 89°31'15" West 2.00 feet; thence leaving said common line North 00°28'45" East, 7.98 feet; thence South 89°31'15" East, 2.00 feet to the true point of beginning. Recorded: November 14, 2007 Document No.: 2007-59609, Official Records Lot 10, VILLAS AT PRONGHORN TOWNHOUSES, Deschutes County, Oregon. Recorded: November 26, 2007 Document No.: 2007-61156, Official Records Lot 12, VILLAS AT PRONGHORN TOWNHOUSES, Deschutes County, Oregon. Recorded: November 30, 2007 Document No.: 2007-62018, Official Records Lot 4 of VILLAS AT PRONGHORN TOWNHOFVIES, recorded in Deschutes County survey records as CS16825. EXCEPTING THEREFROM: Beginning at the Northerly angle pOint on the Southerly line of Lot 3 of said plat, point of which bears North Page 10 of 11, Exhibit A to Notice of Default 46°37'45" East, 31.90 feet from the Southwest corner of said Lot 3: thence South 43°22 /15/1 East along the line common to Lots 3 and 4 of said plat, 7.90 feet to the Southerly angle point on said Southerly line; thence South 49°37'45" West along the projection of said common line 2.00 feet; thence parallel to the line between the Northerly and Southerly angle pOints on said Southerly line North 43°22'15" West, 7.90 feet to a point on said common line; thence along said common line North 46°37'45" East, 2.00 feet to the point of beginning. Recorded: June 21, 2007 Document No.: 2007-34972, Official Records Re-recorded: June 27, 2007 Document No.: 2007-35867, Official Records Lot 11, VILLAS AT PRONGHORN TOWNHOUSES Deschutes County, Oregon. Recorded February 20, 2008 as document Number 2008-7587 Page 110,11, Exhibit A to Notice of Default