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Elite Realty Servs. Inc. v. City of Auburn

The developer's plan to remodel a house that it moved to a subdivision lot did not comply with a restrictive covenant that permitted only "site built" homes.

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Elite Realty Services, Inc. Elite owns a lot in Heatherwood subdivision in the City of Auburn and moved onto the lot a structure built on another site, intending to renovate and add to the structure. When it applied for a building permit, the City denied it. In a mandamus action Elite filed to require issuance of a permit, residents of Heatherwood intervened seeking an injunction against the placement of the structure in the subdivision, contending that moving an existing structure into the subdivision violated a protective covenant which permitted only “site built” homes in the subdivision. The trial court denied Elite’s petition for mandamus, but granted the intervenors an injunction.

The essential issue in this case is the meaning of the phrase “site built” as it is used in the protective covenants for Heatherwood subdivision. The covenant, drafted by the developer of the subdivision, who is also the president of Elite, reads as follows: “All homes shall be site built homes.” The declaration of protective covenants for Heatherwood does not define “site built.”

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