PINE ISLAND RIDGE

LAKE COUNTY, INDIANA

DECLARATION of protective covenants made this ______________ day of _______________________

, 1992, by THE FOGELSON COMPANIES, INC., an Illinois corporation duly licensed and qualified to do business in Indiana (hereinafter called "Declarant").

WITNESSETH:

WHEREAS, Declarant is the owner of the real property described in Clause I of this Declaration, and is desirous of subjecting a portion of said real property to the conditions, covenants, options, restrictions, reservations, undertakings, agreements and easements hereinafter set forth (sometimes hereinafter collectively referred to as "Covenants"), each and all of which is and are binding upon the property so designated and each owner thereof and every other party having any interest therein, and shall inure to the benefit of and pass with said property, and each and every parcel thereof.

NOW, THEREFORE, Declarant hereby declares that the real property described in and referred to in Paragraph 1 of Clause I hereof is, and shall be, held, transferred, sold, conveyed, used and occupied subject to the Covenants.

CLAUSE I

PROPERTY SUBJECT TO AND BENEFITING FROM THIS DECLARATION

1. THIS SUBDIVISION. The real property which is, and shall be, held, transferred, sold, conveyed, used and occupied subject to the Covenants (herein referred to as "This Subdivision") is located in Lake County, Indiana, and is more particularly described as follows, to-wit:

(SUBDIVISION DESCRIPTION)

See Exhibit A

a subdivision plat of which is or is intended to be recorded in the Office of the Recorder of Deeds of lake county, In Crown Point, Indiana.

2.PROPERTY BENEFITTED. The Covenants shall be for the benefit of all of the land in This Subdivision and adjacent lands owned or controlled by Declarant, all of which property (hereinafter referred to as "Pine Island Ridge") is ore particularly described as follows:

R-1 (Single Family)

Part of the Northeast 1/4 of Section 25, Township 35 North, Range 9 west of the 2nd P.M. and part of the Southeast 1/4 of Section 24, Township 35 North, Range 9 West of the 2nd P.M. more particularly described as beginning at the Southwest corner of the Northeast 1/4 of said Section 25; thence North along the West line of said Northeast 1/4 a distance of 2646.42 feet to the North line of said Section 25; thence East along the North Line of said Section 25 a distance of 1324.275 feet to the Southwest corner of the Southeast 1/4 of the Southeast 1/4 of said Section 24; thence North along the West line of the Southeast 1/4 of said Southeast 1/4 a distance of 865.00 feet; thence North 90 degrees East a distance of 760.00 feet; thence North 31 degrees East a distance of 690.00 feet; thence South 84 degrees -05' -29" East a distance of 211.77 feet to a point on the East line of said Section 24 being 1450.00 feet North of the Southeast corner of said Section 24; thence South a distance of 1450.00 feet to the Southeast corner of said Section 24; thence South along the East line of Section 25 a distance of 1120.28 feet, more or less, to a point being 1540.00 feet North of the Southeast corner of the Northeast 1/4 of said Section 25; thence North 65 degrees -26' -01" West a distance of 1748.91 feet; thence South 15 degrees -30' East a distance of 600.00 feet; thence South 4 degrees -30' East a distance of 1200.00 feet; thence South 16 degrees East a distance of 250.00 feet; thence South 90 degrees West a distance of 63.00 feet to a point on the East line of the Southwest 1/4 of the Northeast 1/4 of said Section 25; thence South along the East line of the Southwest 1/4 of the Northeast 1/4 of said Section 25 a distance of 230.00 feet to the Southwest corner of the Southeast 1/4 of the Northeast 1/4 of said Section 25; thence West along the South line of the Northeast 1/4 of said Section 25 a distance of 1323.05 feet to the point of beginning, containing 133.815 acres, more or less, all in Lake County, Indiana.

R-2 (Single Family)

The Northeast 1/4 of the Southeast 1/4 of Section 25, Township 35 North, Range 9 West of the 2nd P.M. and part of the Northeast 1/4 of Section 25, Township 35 North, R9W of the 2nd P.M. said part being more particularly described as beginning at the Southwest corner of the Southeast 1/4 of said Northeast 1/4; thence North along the West line of said Southeast 1/4 of the Northeast 1/4 a distance of 230.00 feet; thence North 90 degrees East a distance of 63.00 feet;; thence North 16 degrees West a distance of 250.00 feet; thence North 4 degrees -30' West a distance of 1200.00 feet; thence North 15 degrees -30' West a distance of 600.00; thence South 65 degrees -26' -01" East a distance of 1748.91 feet to a point on the East line of said section 25 being 1540.00 feet North of the Southeast corner of said Northeast 1/4; thence South along the East line of said Section a distance of 1540.00 feet to the Southeast corner of said Northeast 1/4; thence West along the South line of said Northeast 1/4 a distance of 1323.05 feet to the point of beginning, containing 99.520 acres, more or less, all in Lake County, Indiana.

3. WAIVER. Any owner of land located in Pine Island Ridge (including but not limited to Declarant) may waive in whole or in part the benefits of the Covenants. If such waiver is by a document duly executed by said owner, acknowledged and recorded with the Recorder of Deeds of Lake county, Indiana, the same shall permanently waive the benefits of the Covenants for the benefit of the property which such owner owns, and shall be binding upon said owner and his successors and assigns.

4. LIMITED AREA. The obligations set forth in the Covenants shall be binding only upon This Subdivision. Other property in Pine Island Ridge may be subjected to obligations comparable to those herein set forth only as, if and when Declarant or any other owner thereof shall file for record with the Recorder of Deeds of Lake county, Indiana, a comparable declaration subjecting the property to such Covenants.

CLAUSE II

GENERAL PURPOSES OF THIS DECLARATION

This Subdivision is subjected to the Covenants to insure proper use and appropriate development and improvement of This Subdivision and every part thereof; to protect each and every owner of any part of Pine Island ridge against such use of lots in This Subdivision as may depreciate the value of their property, to guard against the erection thereon of buildings built of improper or unsuitable materials; to insure adequate and reasonable development of This Subdivision and the use and enjoyment of property ownership therein; to encourage the erection of attractive improvements thereon, with appropriate locations thereof; to prevent haphazard and inharmonious improvement; to secure and maintain proper setbacks from streets, and adequate free spaces between structures; and in general to provide adequately for a type and quality of improvement in This Subdivision consonant with the Covenants; and to insure desired standards of maintenance and operation of community facilities and services for the benefit of all owners of Pine island ridge. It is the intention and purpose of these covenants to assure that all dwellings in This Subdivision shall be of a quality of design, workmanship, and materials approved by the Architectural Review Committee. It is understood and agreed that the purpose of architectural control is to secure an attractive harmonious residential development having continuing appeal. In consideration of the eventual overall aspect of the Pine Island Ridge Community, the Architectural Review Committee will be guided by the principal that the exterior surface of the structure will have a substantial area in brick material. The quality of architectural design will be considered in relation to this principal.

CLAUSE III

DEFINITIONS

R-1 DISTRICT. The following parcels identified as lots in the plat of subdivision of This Subdivision: , and any Lot, fifty (50%) percent or more of the area of which is an R-1 District.

R-2 DISTRICT. All of the real estate within the boundaries of This Subdivision and which is not included in an R-1 District.

BASEMENT. That portion of the interior area of a Building having its floor area below grade and having less than half its clear floor-to-ceiling height below grade. For purposes hereof, grade shall be the average level of the ground continuous to the building front.

BUILDABLE AREA (for the purpose of measuring Lot Width). The narrowest width of a Lot within the 30 feet of the Lot situated immediately in back of the front yard setback line established or referred to in Paragraph 4 of Clause IV hereof.

BUILDING. Any structure having a roof, supported by columns or by walls or other means, or other structure intended or used for the shelter, housing, r enclosure of any person, animal, or chattel.

BUILDING, ACCESSORY. A subordinate Building or portion of a principal Building. the use of which is incidental to that of the principal Building on a Lot.

BUILDING HEIGHT. The vertical distance measured from the established ground level to the highest point of the underside of the ceiling beams, in the case of a flat roof; to the deck line of a mansard roof; to the mean level of the underside of rafters between the eaves, and the ridge of a gable, hip, or gambrel roof; or to the mean level of any other vertical parts of any other structure. Chimneys and ordinary and customary ornamental architectural projections shall not be included in calculating Building Height.

CELLAR. That portion of the interior area of a Building having its floor area below grade and having half or more than half of its clear floor-to-ceiling height below grade. For purposes hereof, grade shall be the average level of the ground contiguous to the Building front.

DECLARANT. THE FOGELSON COMPANIES, INC., or any corporate successor thereto as a result of merger or consolidation, or any transferee of substantially all of the interest of THE FOGELSON COMPANIES, INC., from time to time, in Pine Island Ridge.

DWELLING. A residential Building or portion thereof, but not including hotels, motels, rooming houses, nursing homes, tourist homes, or trailers.

FAMILY. One or more persons each related to the other by blood, marriage, or legal adoption, or a group of not more than three persons not all so related, together with his or their domestic servants, maintaining a common household in a Dwelling.

LAKE AND COMMUNITY GROUNDS. The parks, lakes, islands, and other real property within Pine Island Ridge reserved by Declarant for the common use of all residents and owners of This Subdivision and other areas of Pine Island Ridge as shown on a recorded plat of subdivision.

LOT. A parcel of land in This Subdivision, under common fee ownership, which may or may not coincide with a lot of record occupied by or intended for occupancy by one Dwelling and having frontage upon a street.

LOT AREA. The area of a horizontal plane, bounded by the vertical planes through front, side, and rear lot lines.

LOT LINE, FRONT. That boundary line of a Lot which is along a dedicated street line. On corner lots, the owner may select either street lot line as the Front Lot Line.

LOT LINE, REAR. That linear boundary of a Lot which is most distant from the Front Lot Line. If the Rear Lot Line is less than 10 feet in length, or if the Lot forms a point at the rear, the Rear Lot Line shall be deemed to be a line 10 feet in length within the Lot, parallel to and at the maximum distance from the Front Lot Line.

LOT LINE, SIDE. Any boundary of a Lot which is not a Front or Rear Lot Line.

LOT WIDTH. The length of a line perpendicular to a Side Lot Line and lying entirely within a Lot, which either commences at the intersection of a Front Lot Line and a Side Lot Line or if the Front Lot Line is curved, which is a tangent of a line joining the mid-points of a Front Lot Line and a Rear Lot Line.

LOT DEPTH. The length of a line joining the mid-points of a Front Lot Line and a Rear Lot Line.

STORY. That portion of the interior of a Building included between the surface of the ground or any floor and the surface of existing or extended plane of the floor next above, or if there is no floor above, the space between the floor and the surface of existing or extended plane of the ceiling next above. A basement shall be counted as a Story and a Cellar shall not be counted as a Story.

STORY, HALF. A space under a sloping roof which has the lie of intersection of roof decking and exterior wall not more than 3 feet above the top floor level, and in which space not more than 60 percent of the floor area is improved for principal or accessory use.

STRUCTURE. Any stationery object erected, constructed or placed on the property or attached to something having a permanent location on or in the ground. A sign or other advertising device, detached or projecting, shall be construed to be separate Structure.

CLAUSE IV

GENERAL RESTRICTIONS

1. LAND USE AND BUILDING TYPE. Each Lot shall be used, if at all, as a site for a Dwelling designed for private residence purposes only, by one Family, and a private garage containing no more than four parking spaces for the sole use of the owners or occupants of the Dwelling. Said garages shall not be used for rental purposes. All other detached Accessory Buildings or Structures may be erected only in such manner and location as approved in wiring in the sole discretion of the Architectural Review Committee.

2. BUILDING HEIGHT. No Dwelling shall be erected, altered, or placed on a lot which shall contain more than two and one-half stories, nor shall any such Dwelling have a Building Height in excess of 30 feet. No Accessory Building or Structure shall have a Building Height in excess of 17 feet unless a greater height is approved in writing by the Architectural Review Committee.