DOC

PROPERTY MANAGEMENT AGREEMENT

By Nicole Campbell,2014-06-28 10:24
9 views 0
PROPERTY MANAGEMENT AGREEMENT ...

    PROPERTY MANAGEMENT AGREEMENT

     THIS AGREEMENT is between Chippewa Retreat Resort Condominium & Spa

    Association, Inc., a Wisconsin non-stock corporation (“Chippewa Retreat”), and

    Caretakers, LLC, a Wisconsin Limited Liability Company (“Caretakers”).

     For good and valuable consideration, including the mutual covenants contained in

    this Agreement, the parties agree as follows:

    I

    APPOINTMENT AND TERM

    1. Chippewa Retreat is the association of owners of units in Chippewa Retreat

    Condominium and Spa (the "Condominium"). The Condominium was created by a

    condominium declaration (the "Declaration"). Chippewa Retreat hereby appoints

    Caretakers, and Caretakers hereby accepts appointment as the property manager for

    Chippewa Retreat pursuant to and in accordance with the terms hereof. The term of this

    Agreement shall be from the date hereof until terminated. Either party may terminate this

    Agreement upon 90 days' written notice to the other.

    2. Caretakers shall operate as an independent contractor, and neither it nor its

    employees are to be considered as employees of Chippewa Retreat for any purpose.

    II

    DUTIES OF CARETAKERS

     Caretakers’ duties hereunder shall include the following:

    1. Caretakers shall hire, in its own name, all personnel necessary for the

    efficient discharge of the duties of Caretakers hereunder. Compensation for the services

of such employees shall be Caretakers’ responsibility. Caretakers reserves the right to

    hire and dismiss its managers, assistants and other employees.

    2. Caretakers shall cause the Common Elements to be maintained, repaired and

    altered in the condition deemed advisable by Chippewa Retreat as set forth below, subject

    to budgetary constraints and limitations or caveats to such responsibility directed by

    Chippewa Retreat. The term "Common Elements" as used herein shall mean those

    Common Elements (as defined in the Declaration) which Chippewa Retreat is responsible

    under the Declaration for maintaining and does not include any Common Elements or

    Limited Common Elements (as defined in the Declaration) which persons other than

    Chippewa Retreat are responsible for maintaining. Caretakers shall:

    A. Recommend to Chippewa Retreat such maintenance and repairs as

    may be necessary to preserve the physical condition and improve the

    attractiveness of the Common Elements.

    B. Inspect the exterior of all buildings and adjacent grounds and take such

    reasonable prompt action so as to preserve the tidiness and order of the

    Common Elements except as otherwise directed. The cleanup of litter

    from the grounds shall be accomplished by Caretakers’ personnel.

    Inspections shall typically be completed on at least a weekly basis, 52

    weeks per year. Included in the work to be provided by Caretakers as

    and when needed are:

    i. Clean grounds.

    ii. Replace missing or burnt out light bulbs within the Common

    Elements, if any.

     2

    iii. Clean Common Elements as needed.

    iv. Take such reasonable measures as necessary to preserve the

    safety, cleanliness or upkeep of the Common Elements,

    including the calling for police or fire protection or medical

    assistance as appropriate. All theft, vandalism and damage

    shall be reported as soon as practicable to Chippewa Retreat. C. In the event of an emergency requiring immediate repairs to preserve

    the safety and health of persons or the property of Chippewa Retreat or

    of any condominium owners, Caretakers shall cause necessary and

    reasonable repairs to be made and will charge the actual expense

    thereof to Chippewa Retreat. Chippewa Retreat will be notified of the

    emergency and the repairs required as soon as practicable.

    D. Have fire extinguishers inspected annually and smoke detectors semi-

    annually, and obtain necessary regulatory review.

    E. Arrange adequate trash removal.

    3. As agent for Chippewa Retreat, contract for necessary services and purchase

    all supplies necessary to properly repair and/or improve the Common

    Elements, as approved and budgeted by Chippewa Retreat's board of

    directors.

    4. Review all bills in connection with the management and operation of

    Chippewa Retreat and the Common Elements and cause all such bills and

    other expenses to be paid. Sums disbursed for categories not budgeted for or

    pre-approved by Chippewa Retreat shall require approval in advance of

     3

    payment by Chippewa Retreat. Except in case of emergency, the approval of

    Chippewa Retreat is necessary for any expenditure of over Two Thousand

    Dollars ($2,000.00) for any one item of ordinary repairs or alterations. 5. Provide, on a twice per month basis (with a maximum of 20 days between

    checks) a daytime check of each unoccupied unit for which the unit owner

    has authorized such checks. For each check, Caretakers shall:

    A. Knock loudly and, if no answer, enter.

    B. Check visually for proper appearance (i.e., no signs of vandalism, etc.).

    C. Verify that the heating system is operating properly.

    D. Verify electrical and water operation.

    E. Check for presence of approved fire extinguisher and operating smoke

    alarm.

    F. Contact owner or owner’s representative if any problems.

    G. Take emergency measures when required. In addition to the foregoing, Caretakers shall be responsible for making checks of

    unoccupied units after unusually severe weather conditions which could produce

    damage.

    6. Except as set forth herein, Caretakers has no authority or responsibility for

    maintenance of, or repairs to, individual units in the Condominium. Such

    maintenance and repairs shall be the sole responsibility of the owners

    individually. Each unit owner may separately contract with Caretakers on an

    individual basis for the provision of certain maintenance and other related

    services.

     4

    7. Maintain a permanent collection and ongoing update of official records,

    books and accounts, which records shall be subject to examination by

    Chippewa Retreat or its authorized agents at all reasonable hours. 8. Caretakers shall bill the condominium owners for Chippewa Retreat-

    approved assessments and exercise reasonable diligence in an effort to

    collect all assessments due from owners. Chippewa Retreat authorizes

    Caretakers to request, demand, receive and receipt for any and all charges

    which may at any time be or become due to Chippewa Retreat. Any

    assessments remaining uncollected shall be turned over to Chippewa Retreat

    for collection, lien or foreclosure, and the cost thereof shall be an expense of

    Chippewa Retreat and shall be paid by Chippewa Retreat. If requested,

    Caretakers will take responsibility for and cause such proceedings to be

    conducted at Chippewa Retreat’s expense.

    9. Assist Chippewa Retreat in obtaining bids for insurance coverage for each

    year. Caretakers shall be named as additional insured party under Chippewa

    Retreat's liability policies. Caretakers shall maintain permanent records of

    all insurance coverage carried on behalf of Chippewa Retreat. Caretakers

    shall report to the insurance carrier and to Chippewa Retreat all accidents or

    claims relating to the ownership, operation and maintenance of Chippewa

    Retreat.

    10. At least sixty (60) days prior to the commencement of each fiscal year,

    Caretakers shall prepare and deliver to Chippewa Retreat’s President and

    Treasurer a proposed operating budget setting forth an itemized statement of

     5

    the anticipated receipts and disbursements for the new fiscal year based

    upon the anticipated assessments, and taking into account the general

    condition of the Common Elements. Such budget shall include Caretakers’

    recommendations on capital improvements and maintenance, as well as

    expense reimbursement for Chippewa Retreat members on Chippewa

    Retreat business approved or directed by the Chippewa Retreat Board. The

    annual budget approved by Chippewa Retreat shall constitute a major

    control under which Caretakers shall operate. The budget shall be subject to

    modification and approval by Chippewa Retreat to implementation. 11. Caretakers shall mail a quarterly financial report to Chippewa Retreat

    Directors.

    12. A Caretakers’ representative shall attend all Chippewa Retreat meetings

    each year, up to six meetings, including meetings of the Board of Directors

    and condominium owners, and special meetings and committee meetings

    when invited.

    13. Provide essentially 24-hour-per day, 365 days-per-year desk clerk coverage

    on or near the Condominium. If the Condominium's front desk is not staffed,

    on-site personnel will be available during the day and on-call personnel will

    be available during the night.

    14. Give master keys only to authorized personnel.

    15. Provide such other services as are mutually agreed upon.

     6

    16. Assist owners in providing financial information pertinent to real estate

    transactions, delivering emergency messages and assisting Chippewa

    Retreat’s General Manager.

    17. Caretakers is not obligated to provide access through this Agreement to any

    of the amenities in the spa located or to be constructed in Unit 7 of the

    Condominium (the "Lodge"), and, in fact, Chippewa Retreat and Caretakers

    agree and understand that access to the Lodge amenities is to be provided

    only to Lodge Fitness Facility members only through whatever rental

    management agreement may be entered into between Chippewa Retreat,

    individual condominium owners and CareTakers. It is further understood

    that Caretakers will not provide any other maintenance, housekeeping, or

    other services to individual owners other than pursuant to separate

    agreements with such owners.

    III

    BANK ACCOUNTS AND ACCOUNTING MATTERS

    1. Caretakers shall maintain separate and independent bank accounts for

    Chippewa Retreat throughout the term of this Agreement. When possible,

    funds shall be kept in an interest-bearing account for the benefit of

    Chippewa Retreat.

    2. All Caretakers employees and agents who handle Chippewa Retreat funds

    shall be covered by an employee dishonesty policy in an amount of not less

     7

    than Twenty-Five Thousand Dollars ($25,000.00), unless Chippewa Retreat

    authorizes in writing a lesser limit.

    3. Caretakers shall render to Chippewa Retreat’s Treasurer a monthly

    statement of receipts and disbursements, income statement and balance

    sheet, and all other records reasonably requested by Chippewa Retreat. 4. Within thirty (30) days after the end of each calendar year, Caretakers shall

    submit to Chippewa Retreat Treasurer completed financial records relating

    to Chippewa Retreat for the preceding year.

    5. Caretakers shall have prepared any federal, state and local tax return

    required to be filed for Chippewa Retreat at Chippewa Retreat's expense by

    an independent CPA.

    6. Caretakers shall cooperate with any independent certified public accountant

    or auditor selected, retained and paid for by Chippewa Retreat to examine

    applicable records.

    IV

    COMPENSATION AND EXPENSES

    1. For the period beginning January 1, 2005 and ending December 31, 2005,

    Caretakers shall be paid, in 4 equal quarterly installments, an annual

    property management fee equal to $1,4000.00. The fee for any partial years

    shall be prorated. The amount of the fee will increase annually during the

    term of this Agreement on each January 1, commencing January 1, 2006, at

    the same rate of increases in the Consumer Price Index-U.S. City Average,

    All Items (1982-84 = 100).

     8

2. Caretakers shall provide without charge its overhead costs such as clerical

    and office supplies, rent for its office, telephone, photocopies, and postage.

    3. CareTakers has agreed to lease, operate and manage two (2) of the common

    elements of the condominium for the benefit of the owners; namely the Pool

    & Tennis Complex and the Boathouse.

    a. CareTakers will receive all income and be responsible for all expenses

    associated with the operation and management of these common

    elements.

    b. CareTakers will set the days and hours of operation of these common

    elements.

    c. Owners will use these common elements free of charge.

    d. If owner elects to rent their condominium through the Rental

    Management Agreement, guests of Chippewa Retreat lodging at the

    condominiums under the program will use these common elements

    free of charge.

    e. CareTakers’ lease with Chippewa Retreat is made part of this Property

    Management Agreement by attachment.

    V

    MISCELLANEOUS

    1. Should any dispute arise as to the interpretation of any clause in the

    Agreement, it shall be decided by arbitration as follows:

    a. Chippewa Retreat and Caretakers shall each select an arbitrator, and

    those arbitrators shall select a third arbitrator.

     9

    b. The issues in dispute shall be committed to writing, and a copy shall

    be furnished to the arbitrators.

    c. The fees and expenses of the arbitrators shall be borne by the parties

    equally.

    d. The parties agree that the findings of a majority of the three arbitrators

    shall be conclusive on them, their heirs, successors and assigns.

    e. The arbitration shall take place in Vilas or Oneida Counties,

    Wisconsin or such other place as the parties mutually agree. 2. This Agreement sets forth the entire understanding of the parties and shall

    not be changed or terminated orally.

    3. Whenever in this Agreement provision is made for the exercise of any

    discretion by, or the approval or consent of any party, then such discretion,

    approval or consent shall not be unreasonably exercised, withheld or

    delayed.

    4. Whenever the consent, approval or direction of Chippewa Retreat is

    required herein, Caretakers shall obtain same from the President of

    Chippewa Retreat or from the President's designee.

    5. This Agreement is made and delivered in the state of Wisconsin and shall be

    construed and enforced in accordance with the laws thereof. The terms

    hereof shall be binding upon and inure to the benefit of the parties hereto

    and to their respective successors and assigns.

    6. Upon termination of this Agreement, all parties shall cooperate to insure an

    orderly transition to new management. Caretakers shall promptly complete

     10

Report this document

For any questions or suggestions please email
cust-service@docsford.com