COVE LANDING PHASE II RESTRICTIVE COVENANTS

KNOW ALL MEN BY THESE PRESENTS:

WHEREAS BLACK, INK, INC., owner of the following described property in Pope
County, Arkansas, to-wit: A part of the NW ¼ of the SW ¼ and the SW ¼ of the
SW ¼ of Sec. 31, T- 8-N, R-19-W, Pope County, Arkansas, more particularly
described as follows:
Beginning at the NW Corner of the said NW ¼ of the SW ¼; thence N 88 09’ 24"
E. 1091.42 feet along the North line of said NW ¼ of the SW ¼; thence S 02 00’
E, 1753.81 feet; thence N 28 01’ 47" w, 138.66 feet; thence S 38 16’ 01" W,
63.54 feet; thence S 33 47’ 17" W, 299.99 feet; thence N 01 42’ 27" W,
1018.00 feet; thence N 85 36’ 50" W, 301.70 feet to the East right-of-way line of
Channel Circle; thence S 75 47’ 06" W, 61.46 feet to the West right-of-way of
said Channel Circle; thence S 87 36’ 35" W, 318.60 feet to the West line of said
NW ¼ of the SW ¼ ; thence N 00 26’ 55" W, 846.68 feet along said West line to
the point of beginning and containing 25.93 acres in the NW ¼ of the SW ¼ and
4.28 acres in the SW ¼ of the SW ¼ for an aggregate of 30.21 acres, more or
less. Less and except all easements and right -of-way of record.
The same being the real property now duly platted as COVE LANDING, PHASE II,
subdivision to Pope County, Arkansas, as such plat is recorded in Cabinet "C",
Slide 617 B, of the records in the office of the Circuit Clerk and Ex Officio
Recorder for Pope County, Arkansas, does hereby make the following
declarations as to limitations, restrictions, easements and uses to which the lots
and tracts constituting such subdivision may be put, and hereby specifies that
such declarations shall constitute covenants to run with the land as provided by
law, to be binding on all owners of record and all persons claiming under them,
and for the benefit of said owners and future owners in such said subdivision, this
Declaration of Restrictions, being designed for the purpose of insuring the use of
the property for attractive residential purposes only, to prevent nuisances, to
prevent the impairment of the attractiveness of the property, to maintain the
desired appearance, tone and ambiance of the community and thereby to
secure to each owner the full benefit and enjoyment of his property, with no
greater restriction on the free and undisturbed use of his site than is necessary to
insure the same advantages to other site owners: NOW THEREFORE, the grantor
makes this Statement of Restrictive Covenants and Bill of Assurance.

1) LAND USE. All lots shall be restricted to single family residences with a minimum
of 2000 square feet consisting of heated and cooled living space in the main
residential building (exclusive of porches, carports, and such outbuildings as
might reasonably be required in the use of the lot and the house as a residence
subject to the restrictions set forth in paragraph 5 below). Each improved lot
must include among its improvements as enclosed garage able to
accommodate at least two cars with entry doors positioned in such a way that
they may not be seen from the public road toward which the front of the home
faces. Any detached garage must be architecturally consistent with the
residence and must match in quality, workmanship, design and execution the
materials and characteristics of the principal residence. All residences must
have hard surfaced driveways sufficient in width to adequately accommodate
automobile traffic. Those less than seventy-five (75) feet in length must be
concrete, those seventy-five (75) or more in length may be either concrete or
macadam "blacktop" hard surfaced. Any residence receiving mail at the lot
location must house the mailbox in a receptacle approved by the United States
Postal Service encased in free standing brick and mortar housing matching or
complementing the principal residence and subject to approval under
paragraph 15 below. Reciprocals for receiving newspaper deliveries must be
built into the above described receptacles in the same manner as the mailbox.
No appendages shall be allowed hanging from the brick and mortar housing
described above except temporary, seasonal decorations.

2) SUBDIVISION OF LOTS. No lot may be subdivided nor used for access to lands
not in the subdivision.

3) UTILITIES AND EASEMENTS FOR UTILITIES. All utilities shall be underground and each lot shall be the subservient estate to such easements as are

reflected on the plat referred to above.

4) TEMPORARY STRUCTURES. No temporary structure, including mobile homes,
may be placed on the property except for that required for the construction of
permanent improvements on the property and then not to exceed six (6)
months in the aggregate.

5) OUTBUILDINGS. In addition to the principal residence and detached garage,
if applicable, the property may have up to two (2) additional outbuildings, the
design and construction of which shall be subject to the same requirements and
conditions as that set forth for garages in paragraph 1.

6) LOCATION OF IMPROVEMENTS AND BUILDING SETBACKS.

Except for those lots
identified in the second sentence of this paragraph, no building shall be
constructed on any lot nearer to the street than 50 feet, nearer to any side lot
line than 30 feet, and nearer to any rear lot line that 25 feet, except for such
deviations there from as shall be set forth on the plat referred to above, which
plat shall take precedence over these requirements. Lots 105 through 113
inclusive. 115, 117, 119, 121, 122 and 124 shall have side lot construction set
backs of 15 feet. Lots 94 through 108 inclusive. 110, 112 and 124 shall have front
lot construction setbacks of thirty (30) feet.

7) RUN OFF AND WATERSHED PROTECTION EASEMENT. Recognizing the
subdivision’s location within the Galla Creek Watershed and the commensurate
desire to inhibit unwanted chemicals and particulates from entering the said
watershed, the owner, by these presents, places an easement fro a buffer zone.
The precise location of which easement on each lot is set forth on final plat
referred to above and within the boundaries of which easements the following
covenants and restrictions shall prevail which shall run with the land:
A. The easements created by this paragraph are permanent.
B. No permanent improvement of any kind except fencing may be
placed within the confines of the easement.
C. No toxic chemicals, deleterious substances or substances or
activities which might present a danger to the public health shall be
conducted or stored on said easements.
D. Developer shall supply to each purchaser information providing
citizen guidelines for watershed protection in a form to be provided
by the Arkansas Department of Health.
E. Developer and any successor in interest will be responsible for
erecting and maintaining erosion control mechanism on each lot
and public way in the form of silt screens, straw bales or their
substantial equivalent, the effect of which is to retard the erosion of
soil and the discharge of particulates into the watershed.

8) ANTENNAE AND SATELLITE DISHES.

No radio or television antennae or tower
shall be placed on the property in excess of 30 feet above ground level where
located and no satellite dish shall be placed or maintained on the property that
may be seen from public road.

9) ANIMALS. No animals, livestock, poultry of any kind (except ducks and geese)
shall be kept on any lot except for household pets and then not as part of a
routine commercial venture. Any single landowner having fee simple title to
three (3) or more contiguous acres may maintain up to two (2) large
domesticated animals including, but not limited to, horses, but specifically
excluding swine. The landowner shall assume exclusive responsibility to keep all
animals retained by appropriate fencing, which shall be of such design and
materials as is approved by the committee set forth in paragraph 15 below;
animals outside fenced areas must be kept under personal control of owners,
including by way of example, but not by way of limitation, dogs must be kept on
leashes and under the owners’ control.

10) NUISANCES. No noxious or offensive trade or activity shall be carried on upon
any lot, nor shall any trash, ashes or other refuse be thrown, placed or dumped
upon any vacant lot, nor shall anything ever be done which may be or become
an annoyance or nuisance to the neighborhood. Trash, garbage or other waste
shall not be kept except temporarily in a sanitary container. Lots shall be kept
mown and underbrush and other unsightly growth shall not be permitted to
remain on the property. Any lot which remains at an unmown condition after a
reasonable opportunity after notice to the owner to remedy the same, may be
mown by the grantor or its successors in interest for which a reasonable charge
may be assessed and said charge, while unpaid, shall constitute a lien against
the lot so cleaned up until the same is paid in full. Grantor or its successors in
interest shall have the right to enforce this provision, including proceeding in
Chancery Court of Pope County, Arkansas, to declare, establish and foreclose a
lien on the land, and shall be entitled to recover the cost incurred for the
cleanup, interest on the same and all costs incurred in enforcing this lien,
including a reasonable attorney’s fee.

11) SIGNS. The construction or maintenance of billboards or advertising boards
or structures on any lot is specifically prohibited, except that billboards
advertising the sale or rental of such property are permitted provided they do
not exceed 30 square fee in size.

12) TEMPORARY STRUCTURES AND SUBSTANDARD HOUSING.

No trailer, basement,
tent, shack, garage, barn or other outbuilding erected on a building site
covered by these covenants shall at any time be used for human habitation,
temporarily or permanently, nor shall any structure of a temporary character be
used for human habitation.

13) PARKING RESTRICTIONS. No automobile, truck, trailer, mobile home, tent or
temporary structure of any nature whatsoever, shall ever be parked, located or
otherwise maintained on any lot, provided that it is not the intention of this
paragraph to exclude the temporary parking of passenger automobiles on any
portion of the garage driveway. Recreational vehicles may be parked regularly
on a lot, but only in a manner that they cannot be seen from the road servicing
the house and lot in question. This exception shall not be construed to authorize
a temporary structure in contravention of paragraph 11 above.

14) PRESERVATIONS OF SIGHT LINES. No fence, wall, hedge or shrub planting
which obstructs sight lines at elevation between one (1) and six (6) feet above
the roadways shall be placed or permitted to remain on any corner lot within
the triangular area formed by the street property line and a line connecting
them at points twenty-five (25) feet from the intersection of the street line, or in
the case of a rounded property corner from the intersection of the street
property lines extended. The same sight line limitation shall apply on any lot
within ten (10) feet from the intersection of a street property line with the edge
of a driveway or alley pavement. No tree shall be permitted to remain within
such distance of intersection unless the foliage is maintained at sufficient height
to prevent obstruction of such sight lines.

15) ARCHITECTURAL AND IMPROVEMENT PLANS CONTROL.

No building, fence,
wall or other structure shall be constructed, erected, or maintained, nor shall any
addition thereto or change or alteration therein be made until plans and
specifications, color scheme, plat plan, and grading plan therefore, and other
information satisfactory to Grantor, or its duly authorized representative, shall
have been submitted in writing to and approved in writing by the said Grantor,
or its duly authorized representative. In passing upon such plans, specifications,
and other requirements, the said Grantor, or its duly authorized representative,
may take into consideration the suitability of the proposed building, fence, wall
or other structure, and the materials of which it is proposed to erect the said
building, fence, wall or other structure, the harmony thereof with the
surroundings, and the effect of the building, fence, wall or other structure as
planned on the outlook from adjacent or neighboring property. The Grantor’s
approval or disapproval as required in these covenants shall be in writing. In the
event Grantor, or its designated representative, fails to approve or disapprove
within ten (10) days after plans have been submitted, or in any event, if no suit to
enjoin the construction has been commenced prior to the completion thereof,
approval will not be required and the related covenants shall be deemed to
have been complied with fully. Nothing contained in this covenant nor any
consent by Grantor shall in any way be deemed to prevent any owners of
property in this subdivision from enforcing any legal rights which such owners
may have as to any improvement in this subdivision. The authority reserved to
the grantees in this paragraph shall extend to granting and allowing reasonable
variances from the mandates of other requirements in these restrictions so long
as the exercise of Grantor’s discretion does not unreasonably diminish the
overall value of the subdivision as a residential setting. This authority shall extend
to allowing variances that portion of paragraph 1 mandating that garage door
not face the street served by them when the lot shape, building location,
topograph or other exigency renders such requirement impossible or
impractical.

16) AMENDMENTS. Any and all of the covenants, provisions or restrictions set forth
in this Declaration of Restrictions may be amended, modified, extended,
changed or cancelled, in whole or in part, by a written instrument signed and
acknowledged as follows:
A. As long as Black Ink, Inc., the developer, owns five percent (5%) of
the lots subject to this phase, then an amendment or modification is
effective when signed by it:
B. When the ownership of Black Ink, Inc. drops below five percent
(5%), amendments shall be effective when signed by the owner or
owners of more than fifty-one percent (51%) in area of the land in
this phase. The provisions of such instrument so executed shall be
binding from and after the date it is duly filed for record in Pope
County, Arkansas. Each covenant in this instrument, unless expressly
provided otherwise, shall remain in full force and effect.

17) A COMMON AREA. Grantor recognizes that this Phase II of Cove Landing
benefits from the common areas established and identified in the Restrictive
Covenants, as amended, of Phase I Cove Landing Subdivision. In light of that,
any and all owners of each lot in this Phase II of Cove Landing Subdivision are
bound to contribute to the cost of maintaining the common area in the same
manner as are lots in Phase I of Cove Landing Division.

18) HOMEOWNERS ASSOCIATION. If and when a homeowners association is
formed pursuant to the authority therefore in the restrictive covenants of Cove
Landing Subdivision Phase I, this phase and all lot owners therein shall be subject
to that association, its rules and regulations and entitled to all the rights and
privileges created by it.

19) PARTIAL INVALIDATION. Invalidation of any restriction set forth herein or any
part thereof by an order, judgment, or decree of any court, or otherwise, shall
not invalidate or affect any of the other restrictions or any part thereof as set
forth herein but shall remain in full force and effect.

20) RIGHT TO ENFORCE. The covenants, agreements and restrictions herein set
forth shall run with the title to the lots in this addition and bind the present
owners, their heirs, successors and assigns, future owners and their heirs,
successors and assigns; and all parties claiming by, through or under them shall
be taken to hold, agree and covenant with the owners of other lots in the
addition, their heirs, successors and assigns., and with owners, as to the
covenants and agreements herein set forth and contained. None shall be
personally binding on any person, persons, or corporation except with respect to
breaches committed during its, his or their holding of title to lots in the addition.
Any owner or owners of lots in this addition, or owners, shall have the right to sue
for and obtain an injunction, prohibitive or mandatory, to prevent the breach of
or to enforce this observance of any of the covenants, agreements, or
restrictions contained herein together with any other rights to which they might
otherwise be entitled under the laws of the State of Arkansas. The invalidation of
anyone of these covenants, restrictions or agreements herein contained by the
order of a court of competent jurisdiction shall in no way affect any of the other
provisions hereof which will remain in full force and effect.

IN WITNESS WHEREOF, the Owner has hereunto set their hands this 25th day of
November, 1999.
BLACK INK, INC.
BY:________________________
JAMES P. KNIGHT, President
ATTEST:
_________________________
JON R. SANFORD, Secretary