Petition Attachment - Facts and Argument.pdf
White Birch Lakes Recreational Association Petitioner Vs. Township Of Lincoln Respondent · 26-001269-TT
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1 White Birch Lakes Recreational Association v Township of Lincoln Docket No 26-001269 In 2025, White Birch Lakes Recreational Association (“Association”) placed deed restrictions on all parcels that make up the Association’s common elements. The Declaration of Use Restrictions (“Declaration”) was recorded in the Clare County Register of Deeds prior to December 31, 2025, and is therefore part of the chain of title for each of the subject parcels. The Declaration described the permitted uses of the subject property and, with respect to authorized users, contains the following language: “Use of the Property shall be limited to members of the White Birch Lakes Recreational Association, together with their guests and invitees, all in accordance with and subject to the Association’s bylaws, rules, regulations, and the Existing Restrictions. No member of the general public shall have any right of access to or use of the Property.” The Declaration further specifies that the subject parcels shall be used solely as a private roadway and access corridor providing ingress and egress between Old State Road and the White Birch Lakes Recreational Association, together with uses incidental or necessary to facilitate transportation access and security control. Permitted uses include vehicular and pedestrian travel, access for public or quasi-public transportation serving Association members, and the operation of security measures such as gates, guardhouses, or controlled entry systems. Use of the Property shall be limited to members of the White Birch Lakes Recreational Association, their guests and invitees, public transportation providers serving the Association, emergency services, and such other persons as may be authorized by the Association in connection with transportation, security, or Association operations. No use of the subject parcels other than those permitted uses is allowed. The Declaration provides that it shall run with the land and be binding upon the Association and its successors and assigns, with an initial term of twenty (20) years, automatically renewing for successive ten (10) year periods. The Declaration may only be amended or terminated upon the approval of at least seventy-five percent (75%) of all Association members eligible to vote, and no amendment is eƯective unless recorded in the Clare County Register of Deeds.
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2 White Birch Lakes Recreational Association consists of seven (7) platted subdivisions and various common elements deeded to it by the original developers. The subject parcels constitute common areas within those platted subdivisions, held and maintained exclusively for the benefit of Association members. The restrictions recorded against the subject parcels are permanent deed restrictions that run with the land and are part of the chain of title. They are not internal Association policies or bylaws—they are recorded encumbrances binding on the Association and any future owner, enforceable by law. They can only be removed by a vote of at least 75% of all eligible Association members, and any such change must itself be recorded with the Clare County Register of Deeds to be eƯective. Because these restrictions so severely limit what the property can be used for and who can use it, they directly reduce the value of the subject parcels for assessment purposes. State Tax Commission Bulletin 1 of 1990 addresses the valuation of community property in recorded, platted subdivisions. It recommends that assessing oƯicers review the deed restrictions placed on common elements, and recommends that a zero assessed value be entered for certain types of common elements whose value is already reflected in the sales prices of the lots in the subdivision. The types of common elements identified in the Bulletin for zero assessment include: a park reserved solely for subdivision lot owners; a boat ramp or lake access reserved solely for subdivision lot owners; and a community building, swimming pool, or tennis court reserved solely for subdivision lot owners. The subject parcels fall within one or more of these categories. The Bulletin also specifies that this zero-assessment treatment applies only where the common element is restricted by a permanent, irrevocable plat dedication or deed restriction. The recorded Declaration satisfies that requirement. A copy of the recorded Declaration of Use Restrictions was hand-delivered to Lincoln Township in January 2026 by a member of the White Birch Lakes Recreational Association Board of Directors.