All relevant documents to support the Terrace Downs Owners' Society can be accessed under the documents page. Documents All relevant documents to support the Terrace Downs Owners' Society can be accessed here Legal Documents 1. Constitution 2. Cost Sharing Agreement(CSA)-Executed 3. Example-Encumberance-Sections&Chalets-Titles 4.1 Clause for sale and purchase agreements 4.2 Constitution-Schedule-A-Notice-of-Sale 4.3 Covenant Design Documents Design Elements Review and Assessment Form Permitted and Controlled Activities Building and Design Guidelines Design approval Process

John Brophy Body Corporate - Stage 1 This is a paragraph. It is connected to a CMS collection through a dataset. Click “Edit Text” to update content in the connected CMS collection. The CMS can be used to store website content, or to collect data from site visitors when they submit a form. The CMS collection is already set up with some fields and content. To customize it with your own content, import a CSV file or simply edit this placeholder text from the collection. You can also add more fields, which you can then connect to other page elements to display content on your published site. john@chaptr.co.nz 123-456-7890 Next Previous

Murray Davison Fable Terrace Downs Resort This is a paragraph. It is connected to a CMS collection through a dataset. Click “Edit Text” to update content in the connected CMS collection. The CMS can be used to store website content, or to collect data from site visitors when they submit a form. The CMS collection is already set up with some fields and content. To customize it with your own content, import a CSV file or simply edit this placeholder text from the collection. You can also add more fields, which you can then connect to other page elements to display content on your published site. murray@cpgroupnz.com 123-456-7890 Next Previous

Robert Koller Chalet Owner This is a paragraph. It is connected to a CMS collection through a dataset. Click “Edit Text” to update content in the connected CMS collection. The CMS can be used to store website content, or to collect data from site visitors when they submit a form. The CMS collection is already set up with some fields and content. To customize it with your own content, import a CSV file or simply edit this placeholder text from the collection. You can also add more fields, which you can then connect to other page elements to display content on your published site. quickenberry@xtra.co.nz 123-456-7890 Next Previous

Paul Grave Chalet Owner This is a paragraph. It is connected to a CMS collection through a dataset. Click “Edit Text” to update content in the connected CMS collection. The CMS can be used to store website content, or to collect data from site visitors when they submit a form. The CMS collection is already set up with some fields and content. To customize it with your own content, import a CSV file or simply edit this placeholder text from the collection. You can also add more fields, which you can then connect to other page elements to display content on your published site. paulgrave435@gmail.com 123-456-7890 Next Previous

Maurice Eng (Chairman) Body Corporate - Stage 3 This is a paragraph. It is connected to a CMS collection through a dataset. Click “Edit Text” to update content in the connected CMS collection. The CMS can be used to store website content, or to collect data from site visitors when they submit a form. The CMS collection is already set up with some fields and content. To customize it with your own content, import a CSV file or simply edit this placeholder text from the collection. You can also add more fields, which you can then connect to other page elements to display content on your published site. mauriceeng@xtra.co.nz 123-456-7890 Next Previous

Teresa Crawford Body Corporate - Stage 2 tacrawfordnz@gmail.com Next Previous

The Design Guidelines for owners' at the Terrace Downs Owners' Society. Design Guidelines Terrace Downs Owners' Society Design Guidelines How is the high standard of properties at Terrace Downs maintained? The Encumbrance (ref example called “Example Encumbrance Sections & Chalets Titles” in the Documents section of this website) sets standards for how properties should be constructed and maintained. As anticipated by the Encumbrance, the Resort Owner has created Building and Landscape Design Guidelines (“Design Guidelines”) to be followed by Section owners when building their new Chalet and Chalet and body corporate Villa owners when maintaining properties. The Design Guidelines for Terrace Downs High Country resort can be found using the link below. The Selwyn District Council operative plan also has rules and regulations in it regarding construction at Terrace Downs. These can be found at on the SDC websites sub portal Property & Building. These are complimentary to the design guidelines. Design Guidelines Selwyn District Plan Do I need Consent to build a house at Terrace Downs? Yes. You will need the normal resource and building consents that apply in New Zealand. The relevant Council is the Selwyn District Council www.selwyn.govt.nz In addition, you will need consent from the Resort Owner’s Architectural Design Committee referred to as the Terrace Downs Design Committee (“TDDC”). The process for obtaining consent is set out in Design Guidelines and summarized in the document called “Terrace Downs High Country Resort – Summary Design Approval Process” in the Documents Page. Click here Section 6.2 of the Guidelines specifically details the fees involved. i.e. when an owners is at a point that they wish to socialise a preliminary design with the Terrace Downs Design Committee (TDDC), they make contact with the TDDC via the Secretary of the Terrace Downs Owners Society (Click here for contact detail) and lodge their application (for approval in principal) of their concept or preliminary design. The TDDC will consider your approval and convey acceptance in principle of your design concept or advise you what you need to do to comply with respect to the design guideline element(s) that are not assessed as being compliant. To speed up and make the TDDC’s assessment and approval process as efficient as possible for all stakeholders, the TDDC’s retained architectural consultant has developed a Design Elements Review and Assessment Form. (Click here) Owners are required to request their retained design consultants to furnish their preliminary and later detailed design plans after having completed this submission form which shall then accompany each owner’s application. Do the Design guidelines apply to maintenance and renovation? Yes. How do I contact the Terrace Downs Architectural Design Committee? Thompson Wentworth is the secretary of the Owners’ Society and is the first point of contact for submitting designs to the Terrance Downs Design Committee (TDDC). Click here for contact detail.

There are also privately owned vacant sections, stand-alone houses (referred to as chalets) and unit title apartments referred to as villas.​ There are 68 Chalet properties (including vacant sections yet to be built on) and 52 Body Corporate Villas. Approximately half of the Villas are owned by the Resort Owner and are operated as hotel accommodation as part of the Fable Resort with the residual villas privately owned.

There are three distinct body corporates, each governed by its own committee and secretary. Thompson Wentworth, a specialist in property and body corporate asset management, acts as the appointed secretary for all three entities. Each Villa owner is responsible for paying their respective body corporate levies. All three body corporates have representation on the Owners’ Society Committee. The Body Corporate Villas There are three distinct body corporates, each governed by its own committee and secretary. Thompson Wentworth, a specialist in property and body corporate asset management, acts as the appointed secretary for all three entities. Each Villa owner is responsible for paying their respective body corporate levies. All three body corporates have representation on the Owners’ Society Committee. If you require specific guidance about a particular Villa, it is recommended that you seek independent legal advice. Stage 1 Stage 2 Stage 3 Why are there three separate body corporates? The Villas were constructed in three different stages. This phased construction is generally referred to as stage 1, stage 2 and stage 3. Each stage is shown on the diagram below. Amalgamating the three body corporates into one has been considered. However, this would be a very difficult task and the complexity and cost of doing this outweighs any expected benefits. Having the same body corporate secretary for all three body corporates (i.e. stages) creates an opportunity to align and consolidate how the body corporates operate. Do any of the Villas form part of the Fable Terrace downs Resort complex? There are 52 Body Corporate Villas at Terrace Downs. The Villas are each a separate unit title in the name of the individual owner. The Resort owner (in addition to owning the Resort itself) owns approximately 25 of the Villas and so is both the Resort Owner and is also a Residential Owner. These Villas are used by the Resort Owner for hotel style accommodation. What is the ownership structure of the Villas? The Villas are each a separate unit title which is a common legal structure for apartments and townhouses in New Zealand. Each owner of a unit title property is a member of a body corporate. How do prospective purchasers obtain information relating a Villas and its body corporate? When a Villa is being sold information on costs relating to the body corporate (including levies) and other important information is provided in a pre-contract disclosure statement and a pre-settlement disclosure statement. Potential purchases should obtain and seek advice on these documents prior to purchasing a Villa. The pre-contract disclosure statement and the pre-settlement disclosure statement are important documents and the primary source of information regarding villas and body corporates. What is the role of the body corporate? The body corporate manages what is referred to as the common areas and commonly managed assets. The common areas are shown on the body corporate’s title plan, for example paths, stairs and gardens. One of the key things that the body corporate does is arrange insurance for all of the Villas that are part of it. The body cooperate charges each villa owner an annual contribution levy to cover costs such as insurance and maintenance. Responsibility between the body corporates and the Villa owners for such items as aluminum sliding doors, common area lighting, entry doors etc is clearly defined. A schedule is available from the Body corporate secretary on request. Are Villa owners’ members of the Owner’s Society? Yes. The rights and obligations of Villa Owners have been formalized in the Cost Sharing Agreement and the Owners’ Society Constitution. The position under those two agreements is the same for Villa owners as it is for Chalet owners. The intention is that the Cost sharing Agreement and Owners’ Society Constitution clarify and expand on the various easements and encumbrances that exist on the Villa and Chalet titles. Each of the Body Corporate’s has one representative on the Owners’ Society Committee. Is there a maintenance plan? Each body corporate has an annual scheduled maintenance plan and a long-term maintenance plan. The long-term maintenance plan is a legal requirement. It identifies future maintenance requirements associated with the common areas and commonly managed assets over a period of at least 10 years. A portion of the body corporate’s annual levy is allocated to building a long-term maintenance fund which can be used to undertake future repair/replacement work when commonly managed assets come to the end of their economic life. Who maintains the grounds and exterior of the Villas? Each of the three Body Corporates maintains their exterior and common areas such as paths, driveways gardens and external lighting. How do I obtain more information on a Villa or a body corporate? Thompson Wentworth, a specialist in property and body corporate asset management, acts as the appointed secretary for all three body corporates. They can provide information and guidance to villa owners on request. Click contact below.

There are a number of ownership interests at Terrace Downs. PHC owns the Fable Terrace Downs Resort, the Golf Course, club house and much of the yet to be developed surrounding open space and the associated infrastructure services, for example roads, gas and water supply. Introduction Owning property at Terrace Downs There are a number of ownership interests at Terrace Downs. PHC owns the Fable Terrace Downs Resort, the Golf Course, club house and much of the yet to be developed surrounding open space and the associated infrastructure services, for example roads, gas and water supply. In addition, there are also privately owned vacant sections, stand-alone houses (referred to as chalets) and unit title apartments referred to as villas. There are 68 Chalet properties (including vacant sections yet to be built on) and 52 Body Corporate Villas. Approximately half of the Villas are owned by the Resort Owner and are operated as hotel accommodation as part of the Fable Resort with the residual villas privately owned. As the Resort owns a number of Villas, it is therefore both the Resort Owner and a Residential Property Owner. Who owns the Key Infrastructure ? Roads, water systems, sewage systems? The roads, water pipes and sewage system (“Services Infrastructure”) are on Resort property and owned by the Resort. The Resort Owner maintains the Service Infrastructure. In addition to providing Service Infrastructure the Resort Owner provides other ancillary services, for example rubbish collection, security services and gardening, referred to as - Property Services. There is a Cost Sharing Agreement that sets out in details how these Property Services are provided and how the Residential Property Owners contribute to the cost of providing those services. The Residential Properties have an easement registered against them enabling access to the Services Infrastructure. Generally, the easement grants a right of way to access the property, a right to convey water and a right to drain sewage. The Resort Owner maintains the Resort Infrastructure and the cost of this is shared by the Residential Property Owners and the Resort Owner. There is a Cost Sharing Agreement that regulates this maintenance arrangement and an Owners’ Society that jointly manages this for the benefit of everyone at Terrace Downs. Titles to the Residential Properties have an Encumbrance recorded on them that requires the Resort Owner to provide Property Services and the Residential Property owners to contribute to the cost of such services. The Encumbrance also regulates building and maintenance standards. Residential properties also have easements recorded on them providing a right of way and the right to covey water. Key Elements. What are the key elements of property ownership at Terrace Downs? The following terminology is used in this overview website to explain the rights, obligations and legal framework that has been created to ensure Terrace Downs is managed and maintained to a high standard and that there is a harmonious relationship between the Resort and various Property Owners at Terrace Downs. Fable Terrace Downs Resort and the Resort refers to the Fable Terrace Downs Resort and associated hotel accommodation, restaurant clubrooms and Golf Club. Chalets refers to the houses, Sections refers to the vacant lots and Villas refers to the apartments that are within Terrace Downs. The chalets, Sections and Villas are held in separate legal ownership structures to the Resort. Terrace Downs refers to the general area that encompasses the Fable Terrace Downs Resort, the Golf Course, Villas, Chalets, vacant sections and the associated Resort Infrastructure. Resort Infrastructure refers to the roads, stormwater systems, water supply and sewage distribution and treatment systems servicing Terrace Downs. Owners’ Society refers to the incorporated society of which the Residential Property Owners and Resort Owner are members. The Owners’ Society manages and levies costs under the Cost Sharing Agreement, ensures the Resort Owner complies with the Cost Sharing Agreement and ensures the Resort Infrastructure is maintained to a good standard Encumbrance refers to the memorandum of encumbrance registered on the title to most Residential Properties. This sets out rights and obligations in relation to building, maintenance and the provision of Resort Infrastructure. Residential Properties refers to the Villas, Vacant Sections and Chalets at Terrace Downs that are not part of the Resort and Residential Property Owners refers to the various owners of those Residential Properties. Design Guidelines refers to the building design guidelines that set out the standard required for the construction and maintenance of buildings at Terrace Downs. Levy refers to the levy paid by Residential Property Owners for the Property Services they receive. Property Services refers to the property services provided by the Resort Owner. In summary these services include, security, water connection, water system maintenance, sanity sewer maintenance, emergency water contingency, roading and footpath maintenance and repairs, gardening and grounds maintenance, including employing a property maintenance manager. Property Rights What right do I have to access my property? As is common in many residential properties in New Zealand, most of the Residential Properties at Terrace Downs have easements registered against them to provide a right of way and the right to convey water and sewage. In addition, in some cases the Encumbrance referred to below requires the Resort Owner to provide services to the boundary of the property and to ensure that a sealed road passes in close proximity to the property. Fable Terrace Downs Resort Property Owners' Levy Encumbrance + Cost Sharing Agreement Easement (Right of Way, Water, Etc.) Right to Build/ Alter/ Maintain Property Design Guidelines & Building Maintenance Standards Selwyn District Council Planning Rules Residential Properties Owners' Society Represents Residential Owners, collects a levy and manages property services Cost Sharing Agreement Management of services such as water, sewage, roading, gardening and grounds maintenance Memorandum of Encumberance The Memorandum of Encumbrance and Infrastructure Management at Terrace Downs Most of the residential properties have a memorandum of encumbrance (“Encumbrance”) registered on them. This Encumbrance is a key document creating the rights and obligations between the Resort Owner and the owners of Residential Properties. The Encumbrance sets standards for how properties should be constructed and maintained. As anticipated by the Encumbrance, the Resort Owner has created Building and Landscape Design Guidelines to be followed when building and maintaining properties. The Encumbrance also puts obligation on the Resort Owner to provide services to the property. These services include roads, water, rubbish collection etc. The Encumbrance requires property owners to pay a levy for these services. The obligations of the Resort Owner and the Residential Property Owners under the Encumbrance have been clarified and documented in a Cost Sharing Agreement.

The purpose of the Owners’ Society is set out in detail in its Constitution, but in summary its purpose is to manage and levy costs under the Cost Sharing Agreement, ensure the Resort Owner complies with the Cost Sharing Agreement and ensure the Resort Infrastructure is maintained to a good standard. For Members Terrace Downs Owners' Society Owners' Society What is the Owners' Society's role in the operation of Terrace Downs? The provision of Property Services, like roads, water, sewage and rubbish collection, are facilitated by the Terrace Downs Resort Owners’ Society Incorporated “Owners’ Society”. The Owners’ society is an incorporated Society registered under the Incorporated Societies Act 2022. The Owners’ Society is governed by and operates under its constitution The purpose of the Owners’ Society is set out in detail in its Constitution, but in summary its purpose is to manage and levy costs under the Cost Sharing Agreement, ensure the Resort Owner complies with the Cost Sharing Agreement and ensure the Resort Infrastructure is maintained to a good standard. Constitution Doc Who is the day-to-day Manager of the Owners’ Society? Thompson Wentworth is a professional property and body corporate asset management company that performs the role of the secretary and treasurer of the of the Owners’ Society. The role of the secretary and treasurer is set out in detail in the constitution of the Owners’ Society. How are residential Property Owners represented? The Owners’ Society has a committee comprising representees from each of the body corporates, chalets, and a vacant section. The committee meets regularly and holds an annual meeting to which Residential Property Owners are invited to attend. Can I become a member of the Owners’ Society? All Residential Property Owners are required to become members of the Owners’ Society and remain a member while a Property Owner. The secretary of the Owners’ Society is responsible for ensuring Residential Property Owners become a member, remain a member and pay their Levy. Owners' Society Maintenance & Infrastructure Who maintains the Resort Infrastructure? The Resort Owner maintains the Resort Infrastructure and the cost of this is shared by the Residential Property Owners and the Resort Owner. There is a Cost Sharing Agreement that regulates this maintenance arrangement and an Owners’ Society that jointly manages this for the benefit of everyone at Terrace Downs. Titles to the Residential Properties have an Encumbrance recorded on them that requires the Resort Owner to provide Property Services and the Residential Property owners to contribute to the cost of such services. The Encumbrance also regulates building and maintenance standards. Residential properties also have easements recorded on them providing a right of way and the right to covey water. How is the Service Infrastructure managed? The Encumbrance creates an obligation on PHC as owner of the Resort to provide Property Services, to provide Infrastructure to the boundary of Residential Properties, ensure a sealed road passes in proximity to the property and for Residential Property Owners to contribute to the cost of this. The Cost Sharing Agreement sets out in detail how infrastructure is maintained and how the cost of this is allocated. Is there a long-term maintenance plan? The Resort Owner is required under the cost sharing agreement to have a 10-year long term maintenance plan for the Resort. The Cost sharing agreement provides for the creation of a sinking fund to support the long-term maintenance of the Resort Infrastructure. Details of this can be found in the Cost sharing agreement. The sinking fund was created in 2023 and accordingly has not yet accrued to a level that would cover any significant property infrastructure upgrades. What is the Owners’ Societies role in the operation of Terrace Downs? The provision of Property Services, like roads, water, sewage and rubbish collection, are facilitated by the Terrace Downs Resort Owners’ Society Incorporated “Owners’ Society”. The Owners’ society is an incorporated Society registered under the Incorporated Societies Act 2022. The Owners’ Society is governed by and operates under its constitution The purpose of the Owners’ Society is set out in detail in its Constitution, but in summary its purpose is to manage and levy costs under the Cost Sharing Agreement, ensure the Resort Owner complies with the Cost Sharing Agreement and ensure the Resort Infrastructure is maintained to a good standard. 1. Owners' Society Property Ownership Expenses Incurred by Owners at Terrace Downs Property Ownership costs at Terrace Downs fall into the adjacent categories: Owners Society Cost Sharing Agreement Levy: The Resort Owner and the Owners’ Society have entered into a Cost Sharing Agreement. That Cost Sharing Agreement sets out the Resort Owners’ obligations to provide the Property Services set out in schedule 2 of that agreement and the Owners’ Societies obligation to pay a Service Fee to cover its contribution to the costs incurred by the Resort Owner providing those services. The services provided by the Resort Owner are set out in detail schedule 2 of the Cost sharing Agreement. In summary these services include, security, water connection, water system maintenance, sanitary sewer maintenance, emergency water contingency, roading and footpath maintenance and repairs, gardening and grounds maintenance. The Resort Owner employs a property maintenance manager as part of this arrangement. The cost sharing Levy is reviewed bi-annually (every two years). The current levy payable for the year (1 April 2025 – 31 March 2026) is as follows. The villa levy fee is $2,403 The chalet levy is $2,446 The vacant section levy is $1,489 2. Body Corporate Levy: For those owners who are members of one of the three body corporates at Terrace Downs, you will also be levied each year by those body corporates for your unit’s share of the approved annual body corporate fees for the body corporate your unit belongs to. Each body corporate villa’s individual levy is available via the relevant villas published annual financial statements and any disclosure statement prepared for each villa if that villa is proposed to be sold. You can contact the body corporate secretary for this information on BCManagement@twl.net.nz Note: A villa’s body corporate levies are in addition to a villa units Owners Society Cost Sharing Agreement Levy described in item 1 above. 3. Section 6 of the “Building and Landscape Design Guidelines for Terrace Downs High Country Resort” covers the process required of owners wanting to undertake a new build on their section or alterations to their chalet at Terrace Downs. Sections 6.1 to 6.4 specifically address the process around original section or chalet pre purchase due diligence with respect to owner’s new build or alteration obligations and the process surrounding concept and detail architectural plan approval and associated fees for such approval. See Design Guidelines section of website for further detail in following button below. Before you submit your final detailed design drawings / submission, a fee of $2500 is payable to the secretary of the TD Owners Society where it will be held as a deposit against time and cost incurred to process your design approval application. The fee covers all expenses of the TDDC. Additional fees might be required if the design process takes longer or becomes more complicated than anticipated. The final detailed design assessment process will not commence until the design application deposit is received by the secretary of the TD Owners Society.’ Design Approval and Application Assessment Deposit: Design Guidelines 4. Sale disclosure statement fees: When an owner sells a property be it a body corporate villa, a chalet, or a vacant section, the owner is required to request a disclosure statement from the Owners' Society/ Body Corporate Secretary. Those villa owners who are members of a body corporate will be familiar with this requirement, it being an obligation under the Unit Titles Act 2010 (UTA) on an owner and their body corporate committee, to ensure an incoming purchaser has been provided with appropriate pre-sales contract and a pre-settlement, disclosure statements outlining the prescribed information about the body corporate unit being sold, as determined by the UTA. The costs for these disclosure statements are as follows; Body Corporate Disclosure Statements: Pre-Contract Disclosure Statement $400+gst Pre-Settlement Disclosure Statement $300+gst Owners' Society Disclosure Statements (Sections & Chalet only) Other members of the Terrace Downs' Owners Society (i.e. section and chalet owners) are also recommended by the Owners' Society to provide their potential/ or actual incoming purchasers a simple disclosure statement outlining the property’s annual Owners' Society Levy and other property fee obligations. You can contact the Owners Society secretary on BCManagement@twl.net.nz and they will prepare the disclosure statements for you at a cost of $280+gst. Schedule A of the Constitution Notice of Sale provides a template for the vendor to advise the Owners’ Society in writing of the transfer of the title to his/her unit, and the name and contact details for the new owner. The end-to-end process at sale time for owner society members is detailed in the link supporting the section below outlining “What happens when a Residential Property Owner sells their property?” 5. Golf Membership Fees: Should you wish to become a member of the Golf Club there is an addition membership fee. Details can be found on the Fable Terrace Downs website. Owners' Society Are there any other costs payable to the Resort Owner? No. All Property Services are covered by the Cost Sharing Agreement. Should you wish to become a member of the Golf Club there is an addition membership fee. Details can be found on the Fable Terrace Downs website. Owners' Society What happens when a Residential Property Owner sells their property? When a member ceases to be an owner they are deemed to have resigned from the Owners’ Society. When a Residential Property Owner sells their property, they are required to include in their agreement for sale and purchase a requirement on the purchaser to become a member of the Owners’ Society and deliver a notice of sale to the secretary. To make this simple for Property Owners intending to sell their property at Terrance Downs, the Owners Society (with the assistance of its relevant legal support) has developed a standard clause for inclusion by a Property Owners’ agent or solicitor. This Further Terms of Sale inclusion can be accessed via the document called “Clause for sale and purchase agreements” contained in the following link. Click Here for Further Terms of Sale The objective of the Owners’ Society is to create a long term, binding obligation on all future purchasers of residential property to become members of the Owners’ Society. To help achieve this, prior to transferring Residential Property, the seller must register a covenant on their title for the benefit of the Society requiring all future owners of that property to become members of the Society while they are a Residential Property Owner. This provision gives all owners assurance that other owners are contributing their levy and that everyone is contributing fairly to the cost of the Property Services procured from the Resort Operator (PHC Terrace Downs Resort Limited) under the Cost Sharing Agreement between the Owners Society and the Resort Owner and Operator (PHC Terrace Downs Resort Limited).