KEY ROYAL CONDOMINIUM ASSOCIATION

MINUTES ANNUAL MEETING MARCH 27, 2007

President, Susan King, called the meeting to order at 6:32 pm.

Representing the management company, Presidio Realty, Inc. were Steve Rodeiro,
Assistant to the CEO, C.A.M. and Sheila Ullmann, C.A.M., property manager. The new
Board Member, Joseph Kalinowski was introduced.

Steve Rodeiro introduced the new Board Members. Steve Rodeiro explained there were
3 positions available for the Board of Directors and since only 3 members applied, there
would be no election. Their official tenure starts at the adjournment of this meeting.

Patti Place made a motion to waive the reading of the previous minutes. Susan King
seconded the motion. Motion passed.

Susan King spoke about the importance of changing the air conditioner filters. There
was Key Royal mugs and can holders for everyone in attendance. Key Royal shirts and
base hats were available for sale. The shirts are 2 for $25 and the hats are $10 each.

A twenty minutes question and answer period was held.

#1412 Sharon Stites questioned the form that was to be filled out by all the residents.
Susan King responded that name, address and phone numbers would be needed in
case of emergency.

#1011 Chuck Cannon asked Sheila Ullmann about guest passes. He didn’t feel there
were enough spaces near building #10.

#531 Kristen Farrar thanked the board for the palm trees that were planted near the
front entrance at the circle to avoid accidents. Patti Place explained that some kids
almost go hit by vehicles going the wrong way. A new speed bump would be placed on
Key Royal Lane.

#1631 Al LaFemina had an estimate done which would include an island. He felt the
palms are a hazard, especially during hurricanes.

#1011 Patti Cannon asked if the owners received financial reports. Her husband said
that he had it.

#311 Charlie Miller mentioned the rooster that was in Bldg. #1. Susan King explained
what had happened. He also said there was a party at the pool with many children.
Susan told him that there was no permission given by the Board for this party. The
guard was not doing his job. Cameras are on order. Patti explained that they had
found out after the fact.

Al LaFemina asked about the arrears. John Goede explained the procedure which a
claim of lien after 45 days. There are 5 units in foreclosure.

#111 Al Spina complained about the noise in the unit above. Tile installed with no
permission and no quiet walk. Steve Rodeiro stated that the owner would be
contacted.

#1631 Al LaFemina would like shrubs by the recycling containers.

Sharon Stites asked about a schedule to paint the buildings. Susan King explained the
bids received were for $262,000 which would mean a $1000 assessment per unit.
Steve pointed out that funding of reserves has a line item for painting. At this time
there is no way we will paint. We have to wait until the reserves are built up in 3 to 5
years.

The meeting was adjourned at 7:14 pm by Susan King.