Meridian Plaza 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.

The Master Deed itself bars the Council and Board from ever preventing an owner from renting for any period in his sole discretion, there is no minimum stay, registration, disclaimer, off-property advertising rule or on-site program, the Rules expressly contemplate owner-chosen rental agents, and changing this needs 67% of all owners; the only limits are residential use, on-property signage and Declarant consent for time-share marketing.

Short-term rentalsAllowed

Must use on-site programNo

Owner may rent it personallyYes

Off-site manager allowedYes

Owner-use limitsNone stated. The Master Deed guarantees the owner may rent for any period in his sole discretion; the only limits are residential use, compliance with the governing documents, and the Declarant-consent requirement for time-share or interval-ownership marketing.

Registrationunstated - no rental, tenant or guest registration requirement appears in the Master Deed, By-Laws or Rules. Only pets (owners only) and service animals must be registered with the management office, and contractors must register with Building Maintenance.

Advertising rulesNo restriction on advertising the unit off-property. On-property signs and posters are prohibited without Board approval (Master Deed Art. XII 3(d); By-Laws Art. XII Sec. 10; Rules SIGNS).

Disclaimer in your listingNot required

Vote to change rental rulesMaster Deed (which contains the rental right): affirmative vote of 67 percent of all the Voting Members, and no amendment may change a unit's share of expenses or votes without all owners and mortgagees joining. By-Laws: 51 percent of the total vote. Rules and Regulations: Board of Directors alone, in its sole discretion.

What the documents say (9)

“The Co-owner of each Apartment (other than a Commercial Unit) shall occupy and use his Apartment as a single family private dwelling for residential purposes for himself and the members of his family and/or his social guests or designees and for no other purposes; provided, however, nothing herein contained nor any present or future action by the Council of Co-Owners or its Board of Directors shall prevent any Co-owner from leasing or renting his Apartment for such period or periods as he shall determine in his sole discretion to third parties; provided, however, such Apartment shall, if so rented or leased, be used for residential purposes only by such lessee or renter and in compliance with this Master Deed and its Exhibits, the Act and Rules and Regulations properly promulgated.”Master Deed, Article XI Use and Occupancy, page 13

“Such renter or lessee may be removed from the Property and/or refused further entrance by the Board of Directors of the Association or its designee for non-compliance, and the Co-Owner of that Apartment shall be liable for all damages caused by his lessee or renter and all costs of removal which shall be a lien upon his Apartment the same as the lien for unpaid Common Expenses.”Master Deed, Article XI Use and Occupancy, page 13

“Notwithstanding the foregoing, nothing contained in this Declaration shall be construed to restrict the Declarant or any successor in interest to the Declarant as developer of the Regime from selling and/or conveying any Apartment under any plan of multiple use, interval ownership or time sharing arrangement; provided, further, no Apartment may be sold, leased or otherwise marketed under any plan of multiple use, interval ownership or time sharing arrangement without express written consent of Declarant.”Master Deed, Article XI Use and Occupancy, page 13

“No commercial or business activity shall be carried out in any Apartment or other part of the Submitted Property except a Commercial Unit and further except that the Declarant, its successors and assigns, may maintain and use one or more Apartments of the Condominium owned or leased by it, its successors or assigns, designated by Declarant as a model and/or for management, sales and/or rental offices, and commercial laundry and vending equipment may be maintained and maintenance and laundry equipment kept and maintained in areas of the Common Elements suitable for such purposes.”Master Deed, Article XI Use and Occupancy, page 13

“Each Apartment, other than any Apartment owned by Declarant or specifically designated as a Commercial Unit shall be utilized for residential purposes only, provided, however, such shall not prevent rent or lease of his Apartment by a Co-Owner to a lessee or renter to use for residential purposes.”By-Laws, Article XII Obligations of Co-Owners, Section 6, page 7 (Exhibit 3-7)

“It is also each owner's responsibility to ensure that his rental agent and guests understand and observe all rules and regulations.”Rules and Regulations (recorded 2019), GENERAL, page 1

“No trade or business activity may be conducted on Meridian Plaza property.”Rules and Regulations (recorded 2019), BUSINESS ACTIVITY, page 1

“Contractors and Rental Agencies are not permitted to use luggage carts.”Rules and Regulations (recorded 2019), LUGGAGE CARTS, page 1

“This Master Deed may be amended at the regular or any special meeting of the Association of the Regime, called and convened in accordance with the By-Laws, upon the affirmative vote of 67 percent of all the Voting Members of the Association; provided, however, that this Master Deed may not be cancelled nor any amendment be made hereto having as its effect a termination of the Regime without the written agreement of all of the Co-Owners in the Regime and all Institutional Mortgagees holding mortgages of record upon the Regime or any portion thereof, as provided in the Act.”Master Deed, Article VI Amendment of the Master Deed, page 6

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.

Renters and guests use the indoor and outdoor pools, spas and luggage carts on the same footing as owners with no wristbands or disclaimer, but no front-desk check-in is described anywhere, the owner must arrange the parking decal/visitor tag (issuer, cost and count unstated) and keys, renters may not bring pets, and the deed's text still says guests of an occupant use common elements only with Board permission - the guide's 'same amenities but owner handles passes/keys' case.

Amenities for your guestsSame as program guests

Off limits to your guestsPets: only owners may have pets on the property, so renters and guests may not bring pets (service animals excepted)

Wristbands & parking passesNo wristbands. Parking is limited to one space per unit; every vehicle must display a Meridian Plaza parking decal or visitor parking tag at all times, and vehicles without one are tagged and towed at the owner's expense after 24 hours. Who issues visitor tags, any cost, and how many are available per unit are unstated. Porte Cochere is loading/unloading only with a 30-minute limit. No trailers, campers, boats or jet skis.

Check-inunstated - no front-desk or check-in procedure is described in any document; the older undated rules sheet lists a FRONT DESK phone number, so a staffed desk existed at some point, but its role in guest arrivals is not stated

TrashGarbage must be placed only in the disposal installations provided (By-Laws Art. XII Sec. 11); accumulation of trash that may attract pests is a health and safety violation subject to fines up to $500 per occurrence. No rule requires owners or guests to haul trash off-site.

ElevatorsNo service-elevator or guest-elevator rule. Hallways, stairs and elevators must be kept clear of debris (Contractors Rules item 7). Elevator expense is budgeted at $50,000 for 2026 and $24,614 of reserve money went to elevator roof and skylight work in 2025.

What the documents say (11)

“All owners, guests and renters are cautioned that USE OF THE SWIMMING POOLS, IT'S EQUIPMENT AND FACILITIES ARE AT THEIR OWN RISK.”Rules and Regulations (recorded 2019), SWIMMING POOLS, page 1

“Pool hours are from 9:00AM - 11:00PM.”Rules and Regulations (recorded 2019), SWIMMING POOLS, page 1

“Luggage carts are for the use and convenience of owners and guests.”Rules and Regulations (recorded 2019), LUGGAGE CARTS, page 1

“Parking is limited to one (1) parking space per unit.”Rules and Regulations (recorded 2019), PARKING, page 1

“All vehicles must display the proper Meridian Plaza parking decal or visitor parking tag at all times.”Rules and Regulations (recorded 2019), PARKING, page 1

“Vehicles not displaying the proper Meridian Plaza parking decal or guest tag shall be tagged and towed at the OWNERS' expense after twenty-four (24) hours.”Rules and Regulations (recorded 2019), Exhibit A Fine Policy, (2)(b), page 2

“The Porte Cochere is for loading/unloading ONLY and subject to a 30-minute limit.”Rules and Regulations (recorded 2019), Exhibit A Fine Policy, (2)(d), page 2

“Any Occupant may use the Common Elements reserved for the use of the Apartment he occupies during the time such Occupant is actually in residence in the Apartment.”Master Deed, Article III Property Rights, Section 3, page 5

“Guests and invitees of an Occupant of a Apartment and the Co-Owner of an Apartment (while another occupies his Apartment) may only use the Common Elements with the express permission of the Board of Directors and subject to such terms and conditions as the Board of Directors may specify.”Master Deed, Article III Property Rights, Section 3, page 5

“Only Meridian Plaza Owners are permitted to have pets on the Association Property.”Pet Rules and Regulations, Rule 1

“Parking spaces shall not be reserved solely for the use of Occupants of any particular Apartment nor shall they be numbered.”Master Deed, Article III Property Rights, Section 5, page 5

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.

No local-contact, response-time, registration or lock rule exists, so hosting is near normal, but the owner is finally liable for guest fines (up to $100/day general, $500 health-and-safety, towing after 24 hours without a tag), must solve one-space parking and visitor tags, and any work in the unit is confined to owner-coordinated 9-5 weekday contractor windows with daily sign-in - possibly including turnover vendors.

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

Response timeunstated - no response-time rule

Locks & keysunstated - no lock, key, keypad or access-card rule. The only access provisions are the Board's right of entry (Master Deed Art. XII 3(c); By-Laws Art. XII Sec. 9) and the contractor rule that management and Building Maintenance will not let contractors in, so the owner must arrange unit access.

FinesOwner is finally responsible for every violation by guests, invitees and lessees. Fines start at $50; general violations up to $100 per day or per occurrence; health and safety violations (fireworks, throwing items from balconies, trash attracting pests, flood or fire threat) up to $500 per occurrence; pet violations $50 per occurrence (Pet Rules: warning, then $50, then $100 each); equipment (trailers, boats, jet skis, campers) $100 / $250 / $500 for first, second, third offense plus towing; vehicle maintenance $50; towing for no decal/tag after 24 hours, fire lane and Porte Cochere immediately. Board may also suspend amenity rights (Master Deed allows up to 30 days) and pursue legal action; owner must reimburse common-element damage caused by lessees and pays attorney fees for wilful violations.

Contractors & vendorsAny person or company doing work must notify the management company first; register daily with Building Maintenance with photo ID; keep business license, insurance and workers comp on file; obtain a Contractor/Owner Permit before work; permissible work hours 9:00 AM - 5:00 PM Monday-Friday ONLY; no parking at the front of the building (unload then move to garage area); no luggage carts for tools; clean up daily; no bulk items at dumpster; owner must coordinate unit access; contractor damage to common elements is the unit owner's responsibility. Owners must ensure contractors are licensed and insured. Structural or exterior alterations require prior written Board approval with sketches. The Contractors Rules preamble is broad - 'ANY PERSON, COMPANY, OR AGENCY DOING WORK OR CONDUCTING ANY BUSINESS ON MERIDIAN PLAZA PROPERTY MUST NOTIFY EMPRESS MANAGEMENT FIRST' - and the Rules bar 'Contractors and Rental Agencies' from using luggage carts, so whether housekeeping/turnover vendors must register daily and keep to 9-5 weekday hours is unstated.

AlsoOwner is responsible for the conduct of family, guests, service personnel and rental agent. Window treatments visible from outside must have a uniform white backing. Balcony: nothing hung from railings, no glass, no storage, only Declarant-style furniture without Board consent. No grills or cooking devices anywhere including balconies. Smoking and vaping banned in all common and limited common areas including balconies, pool deck and lawn - designated smoking areas and rooms only. Noise curfew after 10:00 PM. Luggage carts must be returned to the Porte Cochere. Owner maintains everything inside the unit including HVAC, water heater, appliances, plumbing, electric panel, windows and exterior doors.

What the documents say (13)

“Each owner is responsible for the proper conduct of his/her family, guests and service personnel as well as any damage to property caused by these persons.”Rules and Regulations (recorded 2019), GENERAL, page 1

“THE GOVERNING DOCUMENTS, INCLUDING THE MASTER DEED, BY-LAWS AND RULES AND REGULATIONS ARE APPLICABLE TO OWNERS, GUESTS, INVITEES, LESSEES, ETC. ALL VIOLATIONS SHALL BE THE FINAL RESPONSIBILITY OF THE OWNER.”Rules and Regulations (recorded 2019), Exhibit A Fine Policy, page 2

“GENERAL VIOLATIONS: Subject to fines, not to exceed $100.00 per day or per occurrence (up to the maximum allowed by law).”Rules and Regulations (recorded 2019), Exhibit A Fine Policy, (1), page 2

“HEALTH AND SAFETY VIOLATIONS: Subject to fines, not to exceed $500.00 per occurrence (including but not limited to shooting fireworks on ASSOCIATION PROPERTY; throwing items from balconies; accumulation of trash and/or other materials that may attract pests; threat of flood or fire damage to neighboring properties, etc.)”Rules and Regulations (recorded 2019), Exhibit A Fine Policy, (5), page 2

“Repeated violations of the stated rules may subject the homeowner to fines starting at $50 (except as otherwise noted) and/or legal action.”Rules and Regulations (recorded 2019), VIOLATIONS, page 1

“The BOARD OF DIRECTORS is authorized to enforce timely assessment payments from OWNERS, compliance with the RULES AND REGULATIONS, and other policies enacted in accordance with the governing documents by suspension of rights to the amenities, imposing monetary fines against as well as all other remedies available a law for OWNERS, their guests, invitees and lessees who are in violation.”Rules and Regulations (recorded 2019), Exhibit A Fine Policy, page 2

“Unit access must be coordinated with the homeowner. Empress Management and/or Building Maintenance will not be able to give contractor access.”Rules and Regulations (recorded 2019), Contractors Rules and Regulations, item 10, page 3

“Permissible Work Hours Are Between 9:00 AM - 5:00 PM Monday- Friday ONLY”Rules and Regulations (recorded 2019), Contractors Rules and Regulations, page 3

“All homeowners are responsible to ensure that contractors are licensed and insured.”Rules and Regulations (recorded 2019), UNIT MAINTENANCE, page 1

“Smoking, which includes the use of Vape products, is not permitted in COMMON AREAS or LIMITED COMMON AREAS, including unit balconies, pool deck, lawn area.”Rules and Regulations (recorded 2019), SMOKING, page 1

“No gas, charcoal grills or other cooking devices may be used in units, on balconies, porches, hallways, lawn or common areas.”Rules and Regulations (recorded 2019), GRILLING, page 1

“The Association shall have the right to deny any Co-Owner or Occupant the right to use the Common Elements for a period not to exceed thirty (30) days for a violation of the rules and regulations promulgated for the use of the Property.”Master Deed, Article III Property Rights, Section 3, page 5

“A Co-Owner shall reimburse the Association if there be any expenditures incurred in repairing and/or replacing any Common Elements or facilities damaged by such Co-Owner, his family, guests, invitees or lessees.”By-Laws, Article XII Obligations of Co-Owners, Section 5, page 7 (Exhibit 3-7)

Is the money healthy?

Caution

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.

Two consecutive insurance-driven special assessments (about $3,900 per unit in 2023 and $3,783 in 2024), insurance at 28% of the 2026 budget and 116% above 2022 with the $280,000 budget still far below the last documented policy-year costs, dues up 22% in four years (5.2%/yr), a 2025 operating loss and 7% of assessments in receivables, and reserve equity cut from $510k to $296k by May 2025 with no reserve study - a 2 rather than 1 because reserve funding has risen every year to 13.5% of budget, dues were held flat for 2026, no 2025-26 assessment notice is in the set, and inclusions (cable/internet, water, trash, master insurance on the units) are strong.

2026 budget$999,140

Dues change+0.0% on the year

Reserves14% of budget

Reserve balance$225,554

Special assessments2023 $3,915 per one-bedroom unit, derived as 3 installments of $1,305.00 (the per-unit total in the notice is garbled by OCR; $368,102.11 / 94 units = $3,916) beginning June 1, 2023, all due by August 1, 2023; $368,102.11 total shortfall 2023-2024 insurance shortfall (total insurance and related costs $563,102.11 vs $195,000 budgeted): property $294,118.20, wind & hail buyback $106,381.60, flood $18,279, excess earthquake $13,707, D&O/crime, liability, finance interest/taxes/fees $16,994.50, 2024 down payment $43,453.03, plus Hurricane Ian roof deductible $25,000, Federal Pacific breaker panel repairs $19,903.18 required by the insurer as a condition of renewal, and an administrative charge (OCR reads $8,500; the line items only sum to the stated $563,102.11 total if it is $3,500, as in the 2024 notice); 2024 $3,783.00 per unit (3 installments of $1,261.00 on June 1, July 1 and August 1, 2024); $355,602 total shortfall 2024-2025 insurance shortfall and special projects (total $606,068 vs $207,013 budgeted less $43,453 prepaid from 2023 assessment): property insurance $324,625, wind & hail down payment buydown $87,570, flood $23,297, excess earthquake $14,768, finance interest/taxes/fees $15,156, 2025 insurance down payment $45,000, outdoor spa repairs $12,772, building concrete repairs $58,000, administrative $3,500; 2025 unstated - the May 2025 reserve income statement records $9,496 of Special Assessment Income and a $6,735 A/R Reserve Special Assessment, the operating balance sheet carries $13,211 A/R Insurance Assessment, and $674 of Prepaid Owners-Special; whether this is a new 2025 assessment or collections on the 2023/2024 assessments is unstated - no 2025 assessment notice is in the document set unstated (2025 reserve spending through May was $277,182: Carone Electric Phase III $194,822, sprinkler system $27,500, elevator roof and skylight $24,614, Queens Concrete repairs $15,820, balcony door management $14,400)

InsuranceBudgeted insurance rose from $129,600 (2022) to $195,000 (2023) to $207,013 (2024) to $285,900 (2025) to $280,000 (2026) - a 116% increase in four years. The insurance-only line items in the two assessment notices (premiums, fidelity, D&O, liability, finance interest/taxes/fees) were about $471,000 for 2023-24 and $487,000 for 2024-25 - roughly $275,000-$280,000 above the $195,000 and $207,013 budgeted - and with next-year down payments and project costs the shortfalls were $368,102 and $355,602, triggering two consecutive special assessments. The 2026 insurance budget of $280,000 is far below those last documented policy-year costs and no 2025-26 or 2026-27 premium appears in the set, so whether $280,000 is adequate is unstated. Insurance was over budget by $46,578 year-to-date at May 31, 2025 ($165,703 actual vs $119,125 budget), with $161,981 prepaid insurance and $23,919 due to the Insurance Escrow on the balance sheet. The renewal does not align with the fiscal year, so the insurance portion of dues at year-end is held in an Insurance Escrow. Policies in force 2024-25: flood, fidelity, property, wind & hail buydown, excess earthquake, equipment breakdown, general liability, excess liability, workers compensation, D&O and crime, premium financed with interest. Commercial Units may opt out of the master policy.

Wind deductibleunstated as a percentage. The association buys a separate Wind & Hail deductible buyback/buydown policy ($106,381.60 in 2023-24; $87,570 in 2024-25), and the Master Deed requires a self-insurance fund for deductibles funded by assessment of all owners.

FloodMaster flood policy carried by the association ($18,279 in 2023, $23,297 in 2024). Property lies in FEMA zones V20, A15 and B per the 1988 plat notes. Master Deed Art. X Sec. 7: if insurance is insufficient, rebuilding costs are split equally among the directly affected unit owners.

DelinquencyAt 05/31/2025: A/R owner assessments $51,481, A/R insurance assessment $13,211, other due from owners $3,926, A/R reserve special assessment $6,735, less allowance for uncollectible accounts $33,250. Budgets carry bad debt of $12,500 (2022), $5,000 (2023), $10,000 (2024) and $2,000 (2026). Late charge: greater of $25 or 10% after 10 days (Master Deed Art. IX; By-Laws Art. XII Sec. 2); lien and mortgage-style foreclosure; membership and amenity suspension; delinquent directors automatically lose their seat. Payments must go to the association lock-box.

What the documents say (25)

“2026 Monthly Dues $850.00”2026 Approved Operating Budget, page 1, foot of budget (OCR reads 'Mornthly')

“2026 Store Monthly Dues $2545.00”2026 Approved Operating Budget, page 1

“Monthly Dues Breakdown Units Description 2022 2023 94 Units $695 $756”2023 Approved Budget (11.14.2022), page 1

“Monthly Dues Breakdown Units Description 2023 2024 94 Units $756 $756”2024 Operating Budget (11.10.2023), page 1

“* There will be a Special Assessment in 2024 to include the Insurance Premium Shortfall.”2024 Operating Budget (11.10.2023), page 1, footnote

“The total Special Assessment amount for each unit is $3,783.00.”Insurance and Special Project Shortfall Assessment Notice, April 11, 2024, page 1

“The assessment is to be paid in 3 installments of $1,261.00 on June 1, 2024, July 1, 2024 and August 1, 2024.”Insurance and Special Project Shortfall Assessment Notice, April 11, 2024, page 1

“The assessment is to be paid in 3 installments of $1,305.00 beginning on June 1, 2023. All payments are due on or before August 1, 2023”Insurance Shortfall Assessment notice, April 11, 2023, page 1

“In addition, the Insurance company is requiring the Federal Pacific Breaker Panels be repaired as a condition of renewal.”Insurance Shortfall Assessment notice, April 11, 2023, page 1

“Given the insurance renewal does not fall in the Association's fiscal year, the remaining insurance portion of the dues at the end of 2024 will be kept in the Insurance Escrow account to help offset the insurance premium for the first quarter of 2025 and the down payment for the 2025 - 2026 policy.”Insurance and Special Project Shortfall Assessment Notice, April 11, 2024, page 2

“1335 Alliance Reserve Money Market 0 225,554 0 225,554”Monthly Financial Reports 05/31/2025, Balance Sheet, page 2

“3700 Owners Equity - Reserves 0 509,997 0 509,997”Monthly Financial Reports 05/31/2025, Balance Sheet, page 2

“Net Income/(Loss) (54,497) (213,962) 0 (268,459)”Monthly Financial Reports 05/31/2025, Balance Sheet, page 2

“5023 Insurance Expense 17,051 23,825 6,774 165,703 119,125 (46,578) 285,900”Monthly Financial Reports 05/31/2025, Operating Income Statement, page 5

“4001 Regular Assessments $ 84,150 $ 79,900 $ 4,250 $ 402,050 $ 399,500 $ 2,550 $ 958,799”Monthly Financial Reports 05/31/2025, Operating Income Statement, page 5

“4000 Assessment Income $958,800.00”2026 Approved Operating Budget, page 1

“4140 Rental/Lease Income $30,540.00”2026 Approved Operating Budget, page 1

“9166 Carone Electric Phase III 0 0 0 194,822 0 (194,822) 0”Monthly Financial Reports 05/31/2025, Reserve Income Statement, page 8

“5000 Reserve funding $135,000.00”2026 Approved Operating Budget, page 1

“7000 Insurance $280,000.00”2026 Approved Operating Budget, page 1

“Insurance premiums may be a part of the Common Expenses or charged as a special assessment and paid in a number of payments designated by the Insurance Trustee; provided, however, in either event such payments shall be paid separately and to the Insurance Trustee by each Co-Owner at such address as it shall designate.”Master Deed, Article X Insurance, Section 3, page 10

“If the Property is not insured or if the insurance proceeds are insufficient to cover the costs of reconstruction, rebuilding costs shall be paid by all of the Co-Owners directly affected by the damage and each shall be responsible for a share equal to the total cost times a fraction, the numerator of which is one and the denominator of which is the number of Apartments so directly affected.”Master Deed, Article X Insurance, Section 7, page 12

“Upon assessments that are unpaid for over ten (10) days after due date, at the sole discretion of the Board of Directors (and if not forbidden by law), a late charge not to exceed $25.00 or 10% of the amount due, whichever is greater, to the extent allowed by Law, shall also be due and payable to defray the expense of late collection.”Master Deed, Article IX Assessments, page 8

“Electricity for the Units and all other purposes for the Regime may be metered to the Regime as a whole, rather than to individual Apartments, and, if so, shall be a Common Expense.”Master Deed, Article XII Maintenance and Alterations, Section 3(a), page 15

“4029 Fines/Violations 0 0 0 600 0 600 0”Monthly Financial Reports 05/31/2025, Operating Income Statement, page 5

Who's really in charge?

Favorable

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.

Owner-elected five-member board of owners in good standing with two-year terms, 67% deed and 51% by-law amendment thresholds, and no commercial-unit or developer monopoly on rentals or guest services; held below 5 because three commercial units exist with signage and common-element use rights and an opaque assessment position, the Board alone rewrites rules and fines, and the Declarant's dormant deed-level rights (time-share consent, perpetual amenity licenses to outsiders, exterior approval while it owns a unit) survive on paper.

StructureOne association

Commercial unitYes, with its own deed rights

BoardFive directors, all of whom must be co-owners (or the voting member of a corporate owner) in good standing and current on assessments; two-year staggered terms elected at the annual meeting held in the first quarter; no cumulative voting; delinquent directors automatically lose their seat; officers (President, VP, Secretary, Treasurer) elected by and from the Board; directors serve without compensation. The Board is also the designated Insurance Trustee.

Developer rightsDeclarant (Resort-Meridian Joint Venture, 1985) was to relinquish control within nine months of recording. Its remaining reserved rights apply only 'so long as the Declarant continues to own any of the Apartments' and include unrestricted sale/lease of its units, sales/rental office and signage, exclusive right to contract utilities, and amendment to meet FNMA/FHLMC rules; its written consent is required to amend its rights and for any time-share or interval-ownership marketing. Whether the Declarant or a successor still owns any unit is unstated. The Declarant also reserved, in perpetuity, the right to grant third parties non-exclusive easements over the paved areas and a license to use the Common Elements 'including amenities' (grantees must pay a pro rata share of upkeep) (Master Deed Art. XVIII p. 21; Art. XIV pp. 17-18), and while it owns any unit its written approval is required for exterior changes (Art. IV p. 6) and Board rules may not affect its rights (Art. III Sec. 3 p. 4).

Commercial-unit rightsThree Commercial Units (A, B, C) each hold one vote and a 0.0106 share. They may use adjoining common elements for uses attendant to the business (Unit C: food and beverage seating), display harmonious signs, and opt out of the master insurance policy. No commercial unit holds any right over rentals, guest services, front desk or parking. The 2026 budget's Assessment Income ($958,800) equals exactly 94 x $850 x 12, so no Commercial Unit assessment is visible; the 'Store Monthly Dues' of $2,545 equals the $30,540 Rental/Lease Income line (lobby store rent to the association) and Storage Lot Lease income is $6,300.

VotesOne vote per unit, 97 votes total (94 residential at 0.0103 each, 3 commercial at 0.0106 each, as written in Exhibit 2). Majority = 51% of total votes. Quorum 51% in person or proxy; if not met, two-thirds of the Board may declare a quorum with one-third of votes present. Written consent without a meeting requires 67%. Special meeting on request of 50% of votes.

Changing the deedMaster Deed: 67% of all Voting Members (unanimous plus all mortgagees to change shares/votes or terminate). By-Laws: 51% of total vote, must be recorded. Alterations or additions to common elements: Board plus 75% of total vote plus mortgagees holding 90% of mortgage debt. Rules and Regulations: Board alone.

Disputes or lawsuitsunstated. Legal expense budgeted at $10,000 (2022), $8,500 (2023), $5,000 (2024), $4,000 (2026); $1,205 spent through May 2025. A Hurricane Ian roof insurance claim ($25,000 deductible) was paid through the 2023 assessment and $4,150 of Insurance Claim Repairs appear in 2025.

What the documents say (11)

“The Association shall be managed and governed by a Board of Directors (herein called the Board) consisting of five (5) members.”By-Laws, Article VIII Administration, Section 1, page 3 (Exhibit 3-3)

“Directors elected at subsequent elections shall be elected for a term of two years, and shall be elected at the regular Annual Meeting of the Association.”By-Laws, Article VIII Administration, Section 1, page 3 (Exhibit 3-3)

“Each Board Member (other than members of the initial Board appointed by Declarant) must be a Co-Owner (or the Voting Member for a corporate Co-Owner) and in good standing, current in payment of all fees, Assessments and common expenses.”By-Laws, Article VIII Administration, Section 3, page 3 (Exhibit 3-3)

“There are ninety-seven (97) total votes in the Regime.”Master Deed, Exhibit 2 Property Rights and Percentage of Interest, page 54

“There is appurtenant to each one bedroom Apartment an undivided 0.0103 percent ownership in the Common Elements of the Property and share in the Common Expenses and Assessments and Common Surplus of the Regime.”Master Deed, Exhibit 2 Property Rights and Percentage of Interest, page 54

“These By-Laws may be amended by a vote of 51 percent of the total vote of the Regime, which represents 51 percent of the total value of the Submitted Property, unless some other or greater vote is required herein, in the Master Deed and/or in The Act.”By-Laws, Article XX Amendments, page 11 (Exhibit 3-11)

“There shall be no alterations or additions to the Common Elements or any part(s) thereof except as authorized by the Board of Directors and approved by not less than seventy-five (75%) percent of the total vote of the Co-Owners of the Regime provided the aforesaid alterations or additions do not affect the rights of any Co-Owner and/or his Institutional Mortgagee(s) of record unless the consent of both have been obtained.”Master Deed, Article XII Maintenance and Alterations, Section 2, page 14

“Notwithstanding any other provisions herein, so long as the Declarant continues to own any of the Apartments, the following provisions shall be deemed to be in full force and effect, none of which shall be construed so as to relieve the Declarant from any obligations as a Co-Owner to pay assessments as to each Apartment owned by the Declarant after the construction of said Apartment has been completed.”Master Deed, Article XV Certain Rights of Declarant, Section 1, page 18

“The Board of Directors shall be and is hereby empowered to promulgate and issue such Rules and Regulations from time to time and to amend and alter any Rules and Regulations theretofore promulgated and issued as it may in its sole discretion determine necessary and desirable for the continued maintenance and upkeep, use and enjoyment of any Apartments, Common Areas or facilities contained within the Regime, subject, however, to such restrictions upon such as contained in the Master Deed, its Exhibits and The Act together with any Rules and Regulations issued thereunder.”By-Laws, Article XIV Rules and Regulations, page 9 (Exhibit 3-9)

“The Board of Directors are hereby appointed and designated Insurance Trustee.”Master Deed, Article X Insurance, Section 4, page 10

“Declarant does further reserve unto itself, its successors and assigns, the right to use and grant to others non-exclusive easements over, across and through, and right to use, the paved areas of the Regime and its paths and ways for normal pedestrian and vehicular access and ingress and egress from the public road and for parking and a license to use the areas of the Common Elements (including amenities) in the manner ordinarily intended, such easements and licenses to exist in perpetuity.”Master Deed, Article XVIII The Meridian Plaza, page 21

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 itself guarantees that neither the Council nor the Board can ever prevent an owner from renting for whatever periods the owner chooses, so nightly and weekly rentals are protected at the deed level and would take a 67% owner vote to change (Master Deed, Art. XI p. 13; Art. VI p. 6).
No on-site rental program, rental desk or exclusive operator exists; the rules openly contemplate owners using their own rental agent and renting agencies (Rules and Regulations 2019, GENERAL and LUGGAGE CARTS p. 1).
No rental registration, guest registration, minimum stay, off-property advertising restriction or disclaimer requirement appears anywhere in the Master Deed, By-Laws or Rules; the only advertising rule is a ban on signs, advertisements or notices on the property itself without Board approval (Master Deed Art. XII 3(d) p. 16; By-Laws Art. XII Sec. 10 p. 8; Rules and Regulations 2019, SIGNS p. 1).
Renters and guests have the same access to the indoor and outdoor pools and spas as owners - the pool rule addresses owners, guests and renters identically and luggage carts are expressly for owners and guests (Rules and Regulations 2019, SWIMMING POOLS and LUGGAGE CARTS p. 1).
Dues include cable TV and internet, water/sewer, trash, fuel, pest control, pools, elevators and a master policy that must insure the apartments themselves as well as the common elements against fire, flood, earthquake and windstorm, so the owner buys only contents/liability cover - though the deed leaves deductibles and any insurance shortfall with the owners (2026 Approved Budget p. 1; Master Deed Art. X Secs. 1, 7 and 8 pp. 9, 12).
Reserve funding was raised every year - $100,000 (2022-23), $112,000 (2024), $125,000 (2025), $135,000 (2026), now 13.5% of the budget - and the reserve account is a dedicated money market with $225,554 cash (2026 Approved Budget p. 1; Monthly Financial Reports 05/31/2025 p. 2).
Owner-elected five-member board with mandatory owner membership, two-year terms and automatic removal of delinquent directors; the three commercial units hold only 3 of 97 votes and no rental or guest-service rights (By-Laws Art. VIII pp. 3; Master Deed Exhibit 2 p. 54).
Monthly dues were held flat in 2024 and again in 2026 ($756 and $850), and the 2026 budget is balanced with reserve funding inside the dues (2024 Operating Budget p. 1; 2026 Approved Budget p. 1).
No 30-minute response rule, local-contact requirement, service-elevator mandate or owner trash-hauling rule exists; the only operational burdens are parking tags and keeping guests in line (Rules and Regulations 2019, all pages).
Enforcement fines are rare in practice: Fines/Violations income was $600 for all of January-May 2025 against zero budget (Monthly Financial Reports 05/31/2025 p. 5).
The deed allows commercial laundry and vending equipment in the common elements and the budgets show laundry and vending income, so on-site laundry exists for turnovers (Master Deed Art. XI p. 13; 2024 Operating Budget p. 1; 2026 Approved Budget p. 1).

Watch-outs

Two back-to-back special assessments of about $3,800-$3,900 per unit: $3,915 in 2023 ($1,305 x 3) and $3,783 in 2024 ($1,261 x 3). Insurance line items ran roughly $275,000-$280,000 over the $195,000/$207,013 budgets, and the shortfalls also funded next-year premium down payments ($43,453; $45,000), a $25,000 Hurricane Ian roof deductible, insurer-mandated Federal Pacific breaker panel repairs ($19,903), building concrete repairs ($58,000) and outdoor spa repairs ($12,772) (Insurance Shortfall Assessment April 11, 2023 p. 1; Insurance and Special Project Shortfall Assessment Notice April 11, 2024 p. 1).
Insurance is now 28% of the budget and the budgeted line more than doubled from $129,600 (2022) to $280,000 (2026); through May 2025 it was already $46,578 over budget, and the Master Deed lets the Board charge premiums as a special assessment and build a self-insurance fund for deductibles by further assessment (2023 Approved Budget p. 1; 2026 Approved Budget p. 1; Monthly Financial Reports 05/31/2025 p. 5; Master Deed Art. X Secs. 1 and 3 pp. 9-10).
The 2026 insurance budget of $280,000 is far below the roughly $471,000 (2023-24) and $487,000 (2024-25) of insurance costs documented in the two assessment notices, and no 2025-26 premium appears in the set - if premiums have not fallen, a third shortfall assessment is the likely outcome (2026 Approved Budget p. 1; Insurance Shortfall Assessment April 11, 2023 p. 1; Insurance and Special Project Shortfall Assessment Notice April 11, 2024 p. 1).
Reserve fund equity fell from $509,997 at the start of 2025 to $296,035 at May 31, 2025 (of which $225,554 is cash, $64,420 is owed by the operating fund and $6,735 is an assessment receivable) after $277,182 of reserve spending (electrical Phase III $194,822, sprinkler, elevator roof/skylight, concrete, balcony doors) in a 1985 fourteen-story oceanfront tower; the special assessment activity visible in the 2025 ledger has no notice in this document set and no reserve study is mentioned (Monthly Financial Reports 05/31/2025 pp. 2, 4, 8).
The operating fund showed a $54,497 year-to-date loss at May 31, 2025 with $68,618 of owner receivables and a $33,250 allowance for uncollectible accounts in a 94-unit building - about 7% of annual assessment income outstanding (Monthly Financial Reports 05/31/2025 pp. 2, 5).
Monthly dues rose 22% in four years, from $695 (2022) to $756 (2023-24) to $850 (2025-26), about 5.2% per year on top of the special assessments (2023 Approved Budget p. 1; 2024 Operating Budget p. 1; 2026 Approved Budget p. 1).
Renters and guests cannot bring pets at all - only Meridian Plaza Owners may have pets on the property - which rules out pet-friendly listings (Pet Rules and Regulations Rule 1; 2023 Amendment Art. XI Par. 3).
Parking is one space per unit, unreserved, and every car needs a decal or visitor tag or it is towed after 24 hours; the documents do not say who issues visitor tags, how many a unit gets or what they cost, so the owner must solve guest parking logistics (Rules and Regulations 2019, PARKING p. 1 and Exhibit A (2)(b) p. 2).
The owner is the final responsible party for every guest violation, with fines up to $100 per day for general violations and $500 per occurrence for health and safety violations, plus a 30-day suspension of amenity use and lien rights for renter damage and removal costs (Rules and Regulations 2019, Exhibit A p. 2; Master Deed Art. III Sec. 3 p. 5 and Art. XI p. 13).
Smoking and vaping are banned on balconies and all common areas, and grills are banned everywhere, so guests must use designated smoking rooms/areas - a frequent source of guest fines (Rules and Regulations 2019, SMOKING and GRILLING p. 1).
Contractor work is allowed only 9:00 AM to 5:00 PM Monday through Friday with a permit, daily sign-in and insurance on file, and management will not let contractors into the unit, so turnovers, repairs and furniture deliveries need owner coordination (Rules and Regulations 2019, Contractors Rules p. 3).
The Master Deed literally says guests of an occupant may use common elements only with the express permission of the Board; it is not enforced that way in the Rules (which address guests and renters freely) but the language exists (Master Deed Art. III Sec. 3 p. 5).
Management changed from Empress Management to FirstService Residential in early 2025 ($54,893 of operating funds were still with the prior manager in April 2025), and the oldest rules sheet, the 2019 rules and the pet rules differ on pets and parking, so an investor should confirm which rules are currently enforced (Monthly Financial Reports 05/31/2025 p. 3; Rules documents).
Security was budgeted at $58,000-$72,756 in 2022-2024 but no security line exists in the 2025 or 2026 budgets; whether security was cut or folded into the $215,800 Building Maintenance line is unstated (2023 Approved Budget p. 1; 2024 Operating Budget p. 1; Monthly Financial Reports 05/31/2025 p. 5; 2026 Approved Budget p. 1).
If a casualty exceeds insurance, rebuilding costs fall equally on the directly affected unit owners, and premiums are payable separately to the Insurance Trustee if the Board so elects (Master Deed Art. X Secs. 3 and 7 pp. 10, 12).
The 2026 Assessment Income ($958,800) is exactly 94 x $850 x 12, so the three Commercial Units' 0.0106 shares do not appear as assessment income, and the 'Store Monthly Dues' of $2,545 is the same $30,540 as the Rental/Lease Income line - how the Commercial Units are assessed, and whether residential owners carry their share, is unstated (2026 Approved Budget p. 1; Master Deed Exhibit 2 p. 54).
The Declarant reserved in perpetuity the right to grant outsiders easements over the paved areas and a license to use the common elements 'including amenities' for a pro rata share of upkeep, a dormant but deed-level right that could put non-owners in the pools and parking (Master Deed Art. XVIII p. 21; Art. XIV pp. 17-18).
The Contractors Rules apply to 'ANY PERSON, COMPANY, OR AGENCY DOING WORK OR CONDUCTING ANY BUSINESS' on the property and rental agencies may not use luggage carts, so cleaning and linen vendors for turnovers may be treated as contractors (daily sign-in with photo ID, insurance on file, 9-5 weekdays only) - the documents do not say (Rules and Regulations 2019, LUGGAGE CARTS p. 1 and Contractors Rules p. 3).

Unit type	Per month	Per year
One-bedroom unit (all 94 are equal) - 2026 approved	$850	$10,200
'Store' - 2026 budget label 'Store Monthly Dues'; x12 equals the $30,540 Rental/Lease Income line, so this appears to be rent paid by a tenant of the association, not a Commercial Unit assessment	$2,545	$30,540
One-bedroom unit - 2025 (derived: $79,900 monthly regular assessment budget / 94 units = $850; 2025 operating budget $873,335 plus $125,000 reserve funding = $998,335 total; no 2025 budget sheet in set)	$850	$10,200
One-bedroom unit - 2024 budget	$756	$9,072
One-bedroom unit - 2023 budget	$756	$9,072
One-bedroom unit - 2022 budget	$695	$8,340

Meridian Plaza 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.

Meridian Plaza 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.