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Background
Background
Original shareholders of Arden Beaches, Inc. founded December 17, 1975 were comprised of the property owners who committed funds to the organization in the form of pledges and donations. Certificates of shares were issued to those property owners after the successful purchase of the profit-driven organization known as Beach Shores, Inc./Sunrise Beach, Inc. and its affiliated properties. From this purchase, Arden Beaches, Inc. was founded January 1, 1976, with its bylaws being adopted on August 9, 1976.
The shares process was established based upon the original commitment to those residents who contributed or loaned funds for the purchase of the organization. As part of the contribution arrangement, subsequent shares certificates were issued through the bylaws effected on August 9, 1976. In exchange for the financial contribution to assist with the purchase of Beach Shores, Inc./Sunrise Beach, Inc., each $100 donation entitled the shareholder to two (block-casted) votes in the organization’s business. Shares have no monetary value or representation of ownership of the organization or its properties, only voting power.
What Does This Mean for Me?
Owning shares DOES NOT make you a co-owner of ABI or its properties but rather a stakeholder with participation and voting privileges.
Shares purchased by a property owner are assigned to the respective property (Tax ID) at the time of purchase.
Shares remain with the property regardless of ownership change, unless transferred by the shareholder before the transfer of ownership occurs.
Shares may be transferred to another property owner prior to the transfer of ownership thru the Shares Transfer Request process with the exception of one (1) share issued through the payment of the 2024 user fee. This share is non-transferrable and remains with the property regardless of ownership.
Shares have no monetary cash-in value. If you sell your property affiliated with the shares purchased, you are not compensated for the shares purchased.
Shares entitle the property owner the ability to be nominated to serve on the ABI Board of Directors, and vote on ABI business matters related to the annual election of corporate directors, annual operating and capital budget, mandatory user and optional amenity fee schedules, and bylaw amendments.
Shares do not entitle the owner to dictate or require maintenance of the beaches, but do give the shareholder the right to vote on such matters presented.
Shares owned by any single property may not exceed 5% of the total organizational shares issued at any given time.
All owners in good standing of one or more shares are eligible to cast votes.
One party per property will be recognized as being eligible to cast such vote or votes.
Vote(s) per property may not be split. They must be cast in a block (aye or nay).
Vote(s) cast by proxy may differ than that of the proxy holder and will require separate ballot completion during the voting process.
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