As of the date of this Master Deed is recorded, Developer intends to establish a Condominium Project consisting of 34 units upon the land described in Article II hereof. Developer reserves the right, however, to expand the number of units to be included within the Condominium Project by the inclusion of additional land and buildings, to a maximum of 50 additional residential units which shall be in substantial harmony, both in nature and in appearance, with existing residential units in the Condominium Project. Therefore, any other provisions of this Master Deed to the contrary notwithstanding, the number of units in the Condominium Project may, at the option of the Developer, or its successors or assigns, from time to time, within a period ending no later than six years from the date of recording this initial Master Deed, be expanded as aforesaid to any number determined by the Developer in its sole judgment; but in no event shall the number of units be more than 50 or less than 10. Such additional units, if any, shall be constructed upon all or some portion of the following described land:

All of the lots of Surf-N-Sand II Condominium, according to the recorded plat thereof, AuSable Township, losco County, Michigan.

Developer further reserves the right to amend and alter the site and utility plans and the floor plans and elevations of any building or unit described on Exhibit "B" hereto. All such amendments and alterations shall be made prior to any affected unit becoming subject to a binding purchase agreement.- The nature and appearance of any such altered site plan, building or unit shall be determined by Developer in its sole judgment. In no event, however, shall such altered building or unit deviate substantially from the general development plan of the Condominium Project.

Such expansion of the Condominium Project shall be given effect by an appropriate amendment or amendments to this Master Deed in the manner provided by law, which amendment or amendments shall be prepared by and at the discretion of Developer. In such amendment or amendments the percentages of value set forth in Article V hereof shall be proportionately readjusted in order to preserve a total value of 100 for the entire Condominium Project resulting from such amendment or amendments to this Master Deed. The precise determination of the readjustments in percentage of value shall be within the sole judgment of Developer, except that such readjustments shall reflect a continuing relationship among percentages of value based upon relative size of various units. Provided, however, that in no such amendment or amendments shall the percentage of value assigned to each unit in Article V hereof be reduced to less than 0.1. Such amendment or amendments to this Master Deed shall also contain such further definitions and redefinitions of general or limited common elements as may be necessary to adequately describe and service the buildings and units in the entire Condominium Project as so amended. In conjunction with such amendment or amendments, Developer shall have the right to change the nature of any common element previously included in the Condominium Project for any purpose reasonably necessary to achieve the purposes of this Article, including, by way of example and not as limitation, the connection of roadways and sidewalks in the Condominium Project to any roadways and sidewalks which may be located in or planned for any future development and to provide access to any unit which may be located in or planned for any future development from the roadways and sidewalks in the Condominium Project. All of the co-owners and mortgagees of units and other persons interested or to become interested in the Condominium Project from time to time shall be deemed to have irrevocably and unanimously consented to such amendment or amendments of this Master Deed to effectuate the foregoing and to any proportionate reallocation of percentages of value of units which Developer, or its successors or assigns, may determine necessary in conjunction with such amendment or amendments. All such interested persons irrevocably appoint Developer, or its successors or assigns, as agent and attorney for the purpose of execution of such amendment or amendments to this Master Deed and all other documents necessary to effectuate the foregoing. Such amendment or amendments may be effectuated without the necessity of rerecording an entire Master Deed or the Exhibits thereto and may incorporate by reference all or any pertinent portions of this Master Deed and the Exhibits thereto, PROVIDED, HOWEVER, that a Consolidating Master Deed, when recorded, shall supersede the previously recorded Master Deed and all amendments thereto, but shall relate back to the date of recording of this initial Master Deed.

Nothing herein contained shall in any way obligate Developer to expand the Condominium Project beyond that land described in Article II hereof and those units described in Article V hereof,- as established by this Master Deed. Developer may, in its sole judgment, establish all or any portion of said additional land as one or more separate condominium projects, as a rental project or as any other form of development. There are no restrictions on the election of Developer to expand the Condominium Project other than as explicitly set forth herein. There is no obligation on the part of Developer to add any or all of said additional land to the Condominium Project; nor is there any obligation to add portions thereof in any particular improvements thereon in any specified locations.

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