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SEÑORIO DE ALOHA NEWSLETTER -PRESIDENT -2nd AND 3rd QUARTER 2022

Dear Owners, IMPORTANT MAINTENANCE NOTICE – At the beginning of this year, we experienced strong rains, some with sand content. Before the next winter/spring rains, ensure that your balcony drains are clean to avoid flooding in your own apartment and mainly in your neighbors’ (as has happened in previous years). The main event of the 2nd quarter was the AGM 2022. No AGM has been held in almost 2 years, so many new owners will attend an AGM for the first time. Undoubtedly, for owners from other countries, the Owners’ Association meeting in Spain may have been a very different experience. Despite the accumulation of problems and differing opinions, many topics were addressed and debated heatedly, which resulted in positive decisions making many repairs and changes in the community possible. The AGM was the first opportunity for owners to meet the new Administrator Adenjo Gestion SL, as well as Victor Porras and Andreas Norman, who are responsible for the onsite management of repair works and daily operations within the community. We have significantly improved administrative resources so that the community quality is in line with owners’ expectations. Perhaps the most significant decisions made at the AGM were the owners’ approval to increase community expenses by 15% for the first time in almost a decade, and to approve an extraordinary levy of €500,000 to cover essential repairs to main infrastructure. These essential repairs simply cannot be financed within a reasonable timeframe using the ordinary budget. This newsletter begins with an update on how these key initiatives are being implemented. In difficult economic times, burdening owners with more expenses is never an easy decision. Although not entirely popular, the fact that there was a high percentage of participation in the first part of the levy suggests that owners really want to support it; major repair works; compliance with health and safety regulations; and regular preventive maintenance, all of which help save the community money in the medium and long term. More than 85% of owners paid their community fees on time in the third quarter, and those who did not were, in most cases, long-term debtors that you are familiar with through debtors’ reports. A question often asked by many owners is: “If I’m paying, what happens to those who don’t pay?” In many communities, a 10-15% non-payment rate might be considered acceptable. In Señorío, it is not acceptable for the simple reason that most of the debt has accumulated over many years, and at one point exceeded half a million euros. This year, we have instructed lawyers to open new court proceedings against 19 owners who have become indebted in the short and medium term. This is in addition to the cases already in progress against long-term debtors. In these latter cases, Adenjo waited over 6 months for the lawyer’s updated case information, only to discover that there were no updates for the past 2 years! We have now appointed lawyers to determine the current status in court.

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Finally, Spanish legislation has moved to help communities deal with owners who do not pay their community fees. A law has been passed allowing communities to deny certain services to debtors. We are waiting for legal clarification on how to best apply the law and intend to do so. In November, the second payment of the levy approved was collected, and with respect to the first payment of the same, 80% was collected. The ownership share is the basis for calculating the fee that corresponds to each owner to pay from the total of €500,000 approved. In no case will the amount of those who do not pay be covered at the expense of the good will of those who do. As approved at the Owners’ Association meeting, those who do not pay will be subject to a legally binding late payment penalty (the late payment penalty now applies to both ordinary community fees and the extraordinary levy). Having collected a significant amount of money from the levy, the program described and approved at the AGM is being implemented. Unfortunately, certain projects will cause inconvenience. For example, repairs to: balconies damaged by the garden irrigation system, entrance doors to garages, and, no less importantly, pools. Adenjo will try to inform owners as soon as possible about when, where, and how long the work will take place. A file on the community’s financial situation at the end of the third quarter (September) is attached. This has been prepared by our Accountant (CPA) and Vice-President Gerry Burke, based on the basic data provided by Adenjo. We enter the last quarter of the year with sufficient funds for essential repairs and the standard maintenance program is in place. Annual General Meeting 2023 The intention is to hold the next AGM during the 1st quarter of 2023, preferably in March. By then, we will have completed the preparation of the 2022 accounts and the finalization of the 2023 budget proposal. COFER Night Watchman / HELP Concierge Service The review of these services took a long time due to cost and efficiency problems as discussed at the AGM. There was much debate at the meeting, and owners approved the recommendation to end the night watchman service, which consisted of a man at the main entrance reception, who made periodic walks around the community. Many owners felt comfortable with this service, but the plain truth is that there were robberies; real-time CCTV was not effective; the security service was not the best. The lack of willingness of the watchmen to intervene in many aspects of antisocial behavior; a lack of willingness in numerous cases to contact the police when requested by owners… and an unfortunate incident of attempted robbery in a property. In summary, much expense for very little security. It is also evident that most antisocial behavior, whether it is noise from apartments; activities around pools; damage to community property, such as entrance portals, lifts, doors, etc. comes from short-term rental clients.

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It is very likely that the 2023 AGM will include a proposal for a summer night watchman to help control these incidents. In the meantime, and in line with the AGM approval, the COFER service was terminated in September. This now means that, as is quite common in other places, if there is a security issue that concerns you, owners must be prepared to call the police directly. Despite language barriers, the Spanish police in our area have a good record of response and help to both locals and foreigners alike to deal with incidents. Also at the next AGM, a proposal will be made to introduce a “Security Access Control System”. This will link access to external gates/ garage doors, entrance portals, and pools to a single electronic remote control system. Owners will have the option to control access from within their apartments and/or through their mobile phones. This will reduce unauthorized access to the community and make entry points more secure. It is worth noting that the closed-circuit television system is in continuous operation, and the police can view it retrospectively in case of an incident. Utecma, the CCTV maintenance company, regularly checks the recording system and cameras. In the case of the police requesting it, Utecma sends the recordings to the police. The concierge has fulfilled three main purposes; giving access through the main entrance (unfortunately to anyone more or less); receiving mail; and making occasional community walks. Most owners approved a proposal at the AGM to reorient the service and improve the quality-price ratio and impact on the community. From December 10, 2022, HELP will provide staff whose work tasks include; receiving mail/packages for a limited daily period; performing delayed maintenance work; and on-site support for owners (but not acting as a watchman). The maintenance component is the most significant part of the revised workload. Despite Luis’s efforts and the progress made in important repair works, a quick walk around the community reveals that we still have to perform many basic maintenance tasks, particularly painting work. The revised working hours for HELP are: Monday to Friday 08:00 to 14:00 and 16:00 to 22:00. Weekends/Holidays 16:00-22:00. To make it clear, this additional maintenance resource is for maintaining common areas and not for private matters. We are aware that security is always a major concern, perhaps even more so for non- resident owners. The home security system landscape has evolved rapidly, and we recommend that you seek options for your property that suit your needs. Also, ensure that you have a property insurance policy with comprehensive coverage. Do not rely on the community insurance for incidents within your property, as it will not cover you.

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IRRIGATION SYSTEMS Approval was given at the AGM to repair a limited number of apartment balconies more affected by the prolonged water leak from the garden irrigation system. Also approved was turning off the automatic irrigation system to prevent further damage. The initial repair of selected balconies provides valuable information on the scale of work that may be needed throughout the community. One thing that is already evident is that gardeners containing small trees and shrubs have significantly damaged the bases of the planters, causing water (not just from the irrigation system but also from rainwater) to seep into the metal frames of the balconies. This causes corrosion that is visibly evident in the brown stains on the main facades of each building. We hope that now owners will understand the problem with trees and shrubs and replace them with more suitable plants. With the first selected balconies, we had requests to completely remove the gardeners. This is not within the scope of the project, as gardeners are a architectural feature of the community. The results of the completed repairs will be reported at the next Owners’ Association meeting with a proposal on how this work should be extended to other damaged balconies.

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POOL REPAIRS As previously reported, Señorío’s pools do not comply with current legislation, in that a “inspector” could close the pools. Additionally, many years of zero maintenance created leaks and malfunctioning equipment. The Board approved a single budget to repair the three groups and attempt a minimum legal compliance. Owners who used the pools this summer may have had the opportunity to experience the effect of “salt water”. Salt water is not only a healthier alternative for eyes and skin compared to chlorine-based pools, but it also reduces the cost of other chemicals by approximately €10,000 per year, in addition to reducing pool and equipment wear. At the end of summer, repairs to the Triana/Giralda pool began. Unfortunately, once emptied and inspected, undetected problems were discovered that required significant earth movements to replace pipes and other pool infrastructure. Unfortunately, this caused delays and additional inconvenience for residents, but we were able to cover the costs of contingency planning. From a security perspective, owners will notice that safety barriers for children and gates with locks have been installed around the pool perimeters. This was an important legal requirement. For owners who want to use pool areas outside of the “pool season”, access will be through the main gates with coded locks to restrict access to children without companions. The use of pools without lifeguards is entirely the responsibility of owners. With the reopening of the Triana pool in early December, work on the central pool will begin. Working in this order means that we will transfer water from the central pool to the Triana pool and save approximately €4,000 in water costs.

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GARAGE REPAIRS Older owners will be aware of a court case that has been ongoing for approximately a decade against the Señorío Constructor, FCC. This relates to defective work affecting the insulation at ground level that protects the garage levels in Giralda, Alhambra, and Mezquita. Many of you will have witnessed how rainwater seeps into the garages and has affected the integrity of some parts of the roofs and walls. Over the years, we have had many false dawns regarding the compensation of a successful court outcome. While progress has been made this year in the courts, the completion date is still unclear. As you know, the levy agreed upon at the Owners’ Association meeting allocated funds for garage repairs, but following the advice of our lawyers, we are waiting for clarification on whether starting repairs will negatively affect our court case. Owners will be informed as the information becomes available. When built, the Mezquita garage was designed with a ventilation outlet at the end of the garage that exits onto the other side of the tennis court. The system was never completed, and the area was sealed to prevent rain. This restricted airflow through the garage and voided the warranty. During the summer, the necessary panels were installed to allow better airflow and prevent rain.

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GARAGE DOORS AND ENTRANCES After constant breakdowns, the oxidized doors of Mezquita and the doors of Alhambra/Giralda have been replaced. The motors and some of the door arms have been reconditioned. If a door does not open, the worst thing you can do is try to force it, do not do it, it will not work properly. To report a problem, contact HELP through the site’s security number or call Adenjo. FAIN, whose phone number (900806180) is posted on the doors, is the contractor for service and repairs, and can be contacted directly during emergencies outside working hours. The garage entrance doors are designed to be resistant and secure, but they need maintenance, otherwise replacing them is very expensive. Victor’s evaluation was that our entrances were in poor condition, although not evident to the daily user. The recent work completed improves the entrances for the next few years with minimal maintenance. Be cautious in the first weeks of use, especially in wet conditions while the surfaces gain traction as they are used.

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OLD DAMAGE

REPAIRED AND ASPHALTED

Apart from the topics discussed at the AGM, other of interest are the following:

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PIPE BURSTS This summer, we have experienced burst water pipes. In addition to inconveniencing affected owners, there are collateral damages, particularly in storage rooms, due to flooding. With literally hundreds of pipes in the community, it is impossible to predict a random burst. In the case of these pipes, we suspect that a combination of low-specification pipes and excessive water pressure may have contributed significantly. Water pressure from the meters has been adjusted… if you consider the water pressure in your taps to be excessive, inform Adenjo staff. At the first sign of water in common areas or particularly in storage rooms, inform Adenjo immediately; you can save them a lot of headaches and costs for another owner. We also experience occasional bursts of sewage or drainage pipes. These are unpredictable, but can occur due to incorrect modifications in the bathroom and kitchen of owners. If you plan to initiate any work on changing these types of pipes, you must request Adenjo to inform our engineer Victor to approve the work, and finally connect it to the community’s common pipe network. MODIFICATIONS/CHANGES TO FLOORS It is very likely that this topic will become one of the most contentious in the community. Owners want to modernize their property, but they need to work within the law and the community’s rules, also to protect the architectural integrity of the same. Over the years, previous administrations have not enforced the law and the community’s rules, and this is evident in a quick walk around the community. Owners have become accustomed to doing what they want and, in some cases, even believing that established precedents by other owners allow them to repeat modifications. This is simply not correct, and the decrease in uniformity along with the non-compliance with good cleaning rules gives the impression that Señorío looks like a gypsy slum.

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Adenjo/Victor are now starting to take measures in a series of problems, and here are some examples: • We request the reinstatement of awnings that are not installed correctly and could fall and injure people. If not, we will notify the Town Hall and the courts. In the event of an accident, the community should not be held responsible for the negligence of owners. • Gardeners and planters. Inclined planters are another safety hazard and must be removed or turned inward. • Planters that have grown too large and the debris (leaves, berries, etc.) goes to the apartment below, not only annoying the neighbor but blocking the balcony drains. Owners must assume responsibility. • Owners of ground-floor apartments who water their planters excessively, causing water to overflow and flood the common area corridors, which poses a safety risk and damages the flooring.

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These examples are just a few compared to what is to come. Substantial modifications have been made in a series of apartments with the aim, in many cases, of increasing the habitable surface area. These changes can affect the IBI (property tax) as well as the ‘habitable surface area coefficient’ used to calculate community fees. In almost all cases, permission from the Town Hall is required to make these changes, and both prior and subsequent inspections must be carried out by a qualified topographer (Expert). This is especially important when modifying pipes, as this can directly affect common area systems such as waste disposal networks. Owners must understand that sharing plans and permits with Adenjo before starting work can save time and costs. Recently, an owner wanted to make changes to one of their bathrooms. First, they contacted Adenjo to understand what to do (obtain permission from the Town Hall) and shared their construction plan with Victor. Later, Victor visited the apartment and approved the modifications. This simple cooperation between owner and administration eliminates potential conflicts or legal actions, in addition to ensuring the integrity of the community’s architecture. The current community rules on modifications (a copy was sent to you before the last AGM) are precise but vague, except to say that there is a limit to changes to the exterior of your property. At the next AGM, we will propose modifications to these rules to make them easier to understand.

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STORAGE ROOMS AND PARKING SPACES There is a continuous problem with furniture and personal items left in storage room corridors and under stairwells. It is known that often these belong to owners who rent out their properties and change things at their inquilinos’ whim. This not only causes inconvenience to other owners (many complaints have been received) but is also not allowed according to the community’s insurance policy. This also occurs in parking spaces where many owners think they can store things, and it is not allowed, as in the event of an incident, the community’s insurance will not cover it. Adenjo will send a circular to all owners requesting the formal removal of these personal items within a considerable period, before organizing their removal at the owner’s expense. We are sure that everyone wants to see our community tidy and, above all, safe from unnecessary risks.

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VENTILATION IN STORAGE ROOMS The combination of poor ventilation, water damage, and blocked drains has caused ventilation and mold problems in several storage room areas. According to the community insurance, it is not allowed to mix garage ventilation with storage room ventilation. In the event of a fire, the insurance will not pay. To solve the problem, a pressure relief system must be created to introduce external air into the storage room area. Currently, various options are being evaluated.

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CLEANLINESS Comments indicate that, in general, community cleanliness has improved. However, it is clear that the influx of visitors during the summer is a challenge. It is also clear that the complacency of the cleaners is low when they are not adequately supervised. We have not been satisfied with the supervisor for some time and will not renew the contract at the end of the year. (Those owners who noticed the cleaner’s mobile phone stuck to their ear… we are also dealing with this problem)

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ANTISOCIAL BEHAVIOR While it was great to see people returning to Señorío after the pandemic, the summer period witnessed many antisocial behaviors centered on: Noisy parties on balconies, and in some cases, with numerous guests who do not reside in the community. Other owners observed visitors; urinating in portals and gardens; entering pools at late hours; throwing cigarettes and drinks from balconies; and, of course, excessive music. The police were called on several occasions and by several owners directly, partly because our watchman did not consider calling the police himself. Graffiti inside and outside portals, and in lifts. Visitors parking recklessly in “private parking spaces”, causing a great inconvenience for owners of parking spaces. Just as badly as those drivers who do not bother to park their cars without obstructing their neighbors’ parking spaces. There are many dog owners, but only a few allow their dogs to defecate within the community. Despite all the warnings and the total lack of respect for our gardeners and cleaners who regularly face this, it is a severe offense under Spanish law, and we are now studying options for the community to sanction owners who do this.

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PROPERTY REPRESENTATIVES GROUP We are in a process of continuous improvement throughout the community, and each day brings new challenges. We have received many positive comments from both residents and visiting owners, so it seems we are making real progress. As more and more owners become interested in the community, could this be the moment for interested owners to get more involved to help shape the work to be done? Frankly, I am not interested in making the administration accountable to a small group of owners through quarterly or semi-annual reviews… The administration is responsible annually to all owners as required by law here in Spain. However, I am open to capturing a few owners to work with the “management team”, particularly on qualitative issues that directly affect owners, and where future actions align with the general opinions of owners. Examples of this include, but are not limited to; community rules on modifications; community green areas including apartment gardeners; minimizing the impact of rental properties; updating and modifying the Community Rules; evolving community recreational facilities; and optimizing community security, etc. This group of owners would review the types of modifications already existing in the community to develop recommendations for future modifications. They would be guided by what is legal, practical, and aesthetically acceptable. Consulting with the “management team”, the group would develop a proposal for the AGM. This is just an example, others could include a group to address antisocial behavior; pool protocols; improving the community meeting room; etc. etc. If you are interested in joining a team of owners with similar ideas to serve the community, then, initially, write to Adenjo to express your interest. It is likely that a Special General Meeting will be required to formalize this initiative.

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USE OF LUIS FOR PRIVATE MATTERS Several owners have asked for clarification on this point. While Luis is willing to help owners with repairs to their apartments, this is problematic from the administration’s perspective. Regardless of the number of community tasks or repairs that Luis has, he is called during working hours to attend to private matters. This has legal implications. We request owners not to do this, as it not only creates a conflict of interest for Luis but also affects the community’s scheduled work.

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STRAY CATS There is a number of stray cats within the community that is not advisable to keep. At the same time, there are owners with domestic cats who leave food.

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NAÔ POOL CLUB NAÔ opened in May and closed in September. All communities in the area were subjected to significantly higher noise pollution than the legal limits: 12 hours of mental torture is what many owners describe the events of NAÔ’s party as. In addition, there have been many problems with: antisocial behavior of clients; parking congestion of vehicles; and extended opening hours illegally. The police and the Town Hall responded silently to the owners’ complaints in the various affected communities. Committing to the club’s management was useless, and given the great promotion made, it is likely to worsen and pose a real threat to property values in the area. A meeting of presidents/administrators of the different communities has resulted in a common action plan. A Special General Meeting will be held before the Annual General Meeting in March to have our community approve the joint collaboration with neighboring communities.

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ENERGY INITIATIVES Energy costs are increasing in Spain, and we have launched a series of initiatives to contain the increases as much as possible. Our LED lighting project, where possible, means that internal/external lighting in common areas, garages, lifts, pools, etc. has significantly reduced electricity consumption. The Spanish electricity market is very complex, and since the current electricity contract expires in November, we are working with an “electricity consultant” to completely reconfigure the numerous electricity contracts that cover different areas of the community. This affects tariffs, electricity consumption categories, and the variable ‘power’ time. (Your apartment’s electricity bills explain the details of the different components in the cost structure). Our opinion is that we have been overpaying for electricity, and by reconfiguring how and when we consume electricity, along with the efforts of the consultants to get better tariffs with energy commercializers, we can compensate a large proportion of the cost increases across the country. If you are not aware, all electricity contracts that will be renewed after May 26, 2022 will have a “gas limit” applied due to the use of gas for electricity generation in Spain. In addition to reconfiguring our electricity costs, we are now evaluating the economics and practical aspects of installing solar energy systems. This is in addition to the Spanish legislation introduced this year that aims to: create financing options to encourage communities to modernize their buildings to make them more energy-efficient; and at the same time offer subsidies to communities that install renewable energy systems (although it is not clear when these subsidies will be paid). Our goal is to present a solar energy proposal at the next AGM.

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CHIMNEYS Some owners reported problems with smoke when using their chimneys. A review of the chimney system reveals that each apartment has its own chimney flue that then connects to the common chimney that exits the building roofs. In the event of a problem, owners are encouraged to clean their own chimney flue. It is not viable for the community to clean all chimneys. In the event of a large number of chimney problems from a shared chimney, the community will organize an inspection to determine the problem. COCKROACHES Love them or hate them, they can be a routine problem. Quarterly, the community has a pest control company to treat common areas of the buildings, but they can still appear, especially in damp areas. If you suspect you have a pest problem, inform Adenjo and they will call the pest control company.

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ADELFAS STREET This is the access street to Giralda, Alhambra, and Mezquita. Occasionally, we are contacted about who is responsible for services on this street, so let me clarify. The street is a public road, and the Community has no responsibilities except for the following: • The lighting situated on the perimeter wall of Señorío. This serves both public and community lighting. There is no public lighting on the opposite side of the street, and the Town Hall seems to have no plans to install it. • The small garden areas between the wall and the pavement outside Alhambra and Giralda. Our maintenance in these areas includes removing trash, bottles, etc., but it is an endless task due to the following reasons: The trash bins and surroundings are the responsibility of the Town Hall. They cause a great problem of trash when they overflow or when owners or the general public simply are irresponsible in disposing of trash. It is for this reason that, especially with wind, the entire street and gardens can look like a total disaster. If you see it very badly, inform the Town Hall or call Adenjo. Due to parking problems in the street caused by the NAÔ pool club, we have installed bollards outside Mezquita. This means that the entire length of the community on this street has bollards to restrict parking on the opposite side of the street.

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Merry Christmas and a Happy New Year 2023. John Riley President

The entire team: V.P Gerry, Victor, Andreas, Jose Manuel, David, as well as Adenjo staff wish you and your families a Merry Christmas and a Happy New Year.