TO: All Unit Owners-The Fairways
FROM: Harrin K. Platzner SUBJECT: Operating Budget 2012
DATE: 15th December 2011

The Board of Directors has reviewed and approved an Operating Budget for 2012 and as a result has not found it necessary to impose a common charge increase at this time. However, the rising costs associated with operating the property may mandate an increase during the course of the year. Primarily, Fuel oil, electric and water costs continue to increase at incredible proportions and we have had no common charge increase since January 2009.

We are pleased to report that our controllable operating expenses have remained stable or even decreased. We won a reduction in Real Estate Taxes and a refund on utility payments. These savings have provided some additional capital for the reserve; however, the increase in fuel oil (35% since last winter) and water (33% since last year) is tough for the Corporation to carry.

We have and will continue to perform necessary capital maintenance projects such as the boiler repairs and new hot water system, roofing repairs, brick pointing, etc. It is imperative that we maintain our building while maintaining our financial health.

The Operating Budget has been carefully crafted based on what we have learned from this year’s experience plus certain assumptions about 2012 expenses. If our assumptions concerning fuel oil or other costs are too low, it may be necessary to consider a surcharge or increase when we review the budget status at mid year. Hopefully, we will be able to maintain the status quo for the entire fiscal year.

We would be pleased to answer any questions or discuss any comments with you and invite you to contact our office at your convenience. We wish you all a happy and healthy holiday season!

TO:  All Unit Owners of The Fairways
DATE:  15th December 2011
SUBJECT: Sublet Regulations
FROM: Harrin K. Platzner

There are currently 27 units that are rented which represent more than 37% of the total units at The Fairways.  This data suggests a number of problems, i.e. banks may be unwilling to finance purchases as a result of the unusually high non-resident population, people who purchased a Condominium, to live with other owners, are now subjected to living with renters, rental tenants do not always have the same pride and respect for the property, the tenancy has become transient with renters moving in and out constantly.

In an effort to bring this situation under control, the following restrictions or regulations are in effect, already or immediately, and will be strongly enforced:

1. An owner must reside in the unit for a minimum of three (3) years before the unit can be rented.
2. Animals will not be permitted in any unit that is rented.
3. The term of all rentals must be a minimum of two (2) years.  Shorter term rentals will not be approved.
4. There will be a sublet fee of $1,000.00 per annum and same is due prior to initial rental and each year thereafter.
5. An Application will be required for any sublet and an interview will also be required as will ultimate approval of the Board. A fee for an application will be determined periodically but is currently $150.00.  Applications will be available through the Management Office or the website.
6. The Fairways has adopted, as a Mission Statement, its necessity to reduce the current number of rentals to 20% and will take any actions necessary pursuant to the Business Judgment Rule of the State of New York to achieve that goal.
7. Units that are rented as of this date will be subject to certain provisions being grandfathered.  Units that are vacant as of this date, regardless of their having been rented previously, will not be subject to any type of grandfathered regulation and may not be rented until the number of rented units is decreased to a level as set forth in Item #6 and as prescribed by numerous financial institutions.
8. Units currently rented, or being renewed or approved for a future rental must submit an application and lease agreement to the Managing Agent.
9. The Board will review and impose limits or conditions as are deemed necessary which will include a limitation on the term of rental currently set at two, two year leases (four years).
10. The Board can and will withdraw the approval to sublet for any unit where the tenant or their conduct is deemed objectionable by Management.

We know that this action may seem overly restrictive to some of you, especially to those renting or considering renting, but the harm being caused by the large number of sublets is both fiscally imprudent and damaging to the owner’s way of life at The Fairways.  The Board is open to any and all suggestions and would appreciate those suggestions being forwarded to the Managing Agent as soon as is possible (Harrin@Platznerinternational.com) !

Any owner who fails to follow the requirements set forth above will be fined $1,000.00, over and above the sublet fee, and be subject to additional fines and legal action if the violation is not cured timely.

To all Fairways Residents:

Unfortunately, the company that was to do the floor blasting found that their machines (after two visits) did not fit in the basement.

We are discussing alternative companies and have put the project on a short temporary hold so the basement is open and available until we send an additional notice with a new start date.

During this time, once we get started, garbage will be disposed of in the garage.

Harrin K. Platzner
Chief Operating Officer
Platzner International Group, Ltd.
Box 111, Wykagyl
New Rochelle, New York 10804-0111
914-235-7770 Fax: 914-235-1037

Greetings:

We hope that you are enjoying the holiday season. We wish you a happy and healthy season and hope that 2011 is the best year ever.

We wanted to bring to your attention that a vase was stolen from the lobby of the middle entrance and that the security cameras functioned perfectly. This helped us to identify the food deliveryman who had stolen the vase.

Through spectacular detective work (I happen to order from the same restaurant) we located the individual and as a result,  the vase should be returned later today.  We did not opt for criminal charges given the season and the eventual return of the stolen item.

We want you to know that the security systems that have been installed are effective and do deliver results. This was a good investment for the safety and security of our property. Your funds were spent wisely for a program that has delivered results.

If you have any questions or suggestions, please feel free to e-mail me directly so we might discuss them.

Harrin K. Platzner
Chief Operating Officer
Platzner International Group, Ltd.
Box 111, Wykagyl
New Rochelle, New York 10804-0111
914-235-7770 Fax: 914-235-1037
HARRIN@PLATZNERINTERNATIONAL.COM

Dear Unit Owners:

Last evening, November 30th, the Fairways had their Annual Unit Owners Meeting and we appreciate the support of those who attended and appreciate your input.

The Accountant discussed the Financial Report ending 12-31-09 and remarked that we are in excellent financial health with a now “significant” reserve fund that has allowed us to make certain capital repairs without the need for any assessments.

It is the direction of the Board and Management to continue to build this fund and continue to make required capital improvements hopefully without the need of any assessments.

The Board and those owners assembled discussed the need, the requirement, that each owner allow the exterminator into their unit and that possible warnings and fines might be instituted to encourage residents to allow the exterminator to do his job so that other residents do not suffer the consequences.

A discussion was opened regarding future capital improvements and we advised that the roof, while old, is holding tight and requiring only minimal repairs currently so replacement is not on the Agenda at this time.  The elevators continue to be problematic due to their age and the difficulty in obtaining replacement parts; as these continue to age the Board will ultimately be forced to begin a project of upgrading the elevators.  Again, it is our plan that we will have enough of a capital reserve to complete elevator upgrades, one at a time, without any assessment.

The Board also approved, after a study done by a heating engineer and architect, to accept bids for the installation of a separate hot water system.  The anticipated cost, $25,000.00 =/-, would be paid from our reserves and the savings should pay for the installation within three (3) years.  In addition, this will allow us to shut down the boiler during summer months, the hot water heaters during winter months and always have a source of hot water should one or the other breakdown.  The efficiency of this new system is projected to save about $10-15,000.00 in fuel costs per annum.

Mr. Bortree, our Board Secretary, was re-elected to a new three (3) year term and we deeply appreciate his service and wise counsel.  Annual Meeting minutes will follow once completed but we wanted to make sure that you had the up to date information.

Please note that the holiday party is scheduled for December 10th @ 7:00 P.M.  Please come and share this special time with your neighbors.

The basement floor will be “blasted” clean of its paint and dirt, sealed and re-painted.  We will provide additional notice to you of the actual date for this work but it will cause some inconvenience as the entire basement will be unavailable for at least one full day while the “pressure cleaning” is done and then some additional days parts of the basement will be unavailable while the painting takes place.  We apologize for this inconvenience but the floor is in desperate need of repair and repainting.

If you have any questions at all, please feel free to contact me: HARRIN@PLATZNERINTERNATIONAL.COM or as below.

Have a happy and healthy holiday season!!!

Harrin K. Platzner
Chief Operating Officer
Platzner International Group, Ltd.
Box 111, Wykagyl
New Rochelle, New York 10804-0111
914-235-7770 Fax: 914-235-1037