September 28, 2008 - as of 7:45pm EST

Message From the Pointe West Property Owners Associations:

Conditions Continue to Improve Across the Island

During the last week the City has made significant progress with its debris cleanup and the process to restore utilities. We have seen an unending commitment from local City employees and crews from across the nation to restore these basic necessities. In terms of public utilities their crews have restored water service up to 13 Mile Road in a process that the public works director describes as untangling wire. This means that Pointe West could have water within two weeks if restoration continues at the current pace.

Over the last week most of the debris from the exterior of the buildings at Pointe West have been removed. The property was visibly beginning to show signs of improvement but now we have an issue that has to be resolved before the condo associations incur additional costs. Some homeowners have been instructed by their insurance adjusters to remove the damaged carpet, wood floors or other items. These items are being thrown off balconies and put in corridors with a total disregard to other homeowner property. Keep in mind that homeowners share the commons areas such as corridors and the landscaping around buildings. The landscaping that made it through the storm is now being destroyed by the debris that is being thrown from balconies, and it does not just fall in one area. The condo association budgets do not have a cleanup line item. Insurance will not pay for this type of cleanup, so our options are to establish a condo cleanup assessment or fine the owner of the trash. Our policy will be to give current subject owners a week to cleanup their trash and new contracts are to include the following scope:

When contracting interior demolition all contractors are to include the complete remove of all debris from Pointe West. All City licensed contractors should have access to the current City trash policies. Contractors are not to use common area dumpsters as we also have homeowners that are in the cleanup stage and we want for them to have first use of the dumpsters that we have throughout the community. This protocol will control our out of budget costs and ensure that we are not repetitively performing the same operation.

The recent trash piles have been identified, if these have not been removed within a week the condo association will assess a fine that will include actual costs plus administration fees.

Great news is that Electricity has now been restored to Pointe West. CenterPoint pleasantly surprised us Saturday morning by completing our electrical circuits ahead of schedule. As a result onsite staff and PMG began the procedure to re-establish power to appropriate condos. PMG has adjusted all air conditioning units, this will significantly assists in our cleanup efforts. The common power to the buildings has not been turned on, it provides power to exterior parking lot fixtures, elevators and pumps all of which must be serviced due to impacts from the hurricane. Please use caution as CenterPoint is still working throughout the community to restore the system to its original condition.

We have had several meetings with our insurance carrier adjusters to familiarize them with Pointe West of which the most informative and productive occurred on Friday. We continue to coordinate with these adjusters to set dates for when they will perform detail community evaluations. In addition to these meetings we are in discussions with public adjusters to protect the interest of the condo associations. We understand that homeowners need determinations in regards to extent of insurance coverage, currently we are awaiting clarification on a particular item. As soon as that clarification is obtained, which is expected to be mid-next week we will provide an insurance coverage update.

We thank you for your patience and hands on involvement as we progress through the coordination of this process. Our goal is that the time and research that is being spent in this early stage will achieve the most desirable outcome for Pointe West. As any new information is available we will continue to communicate with all homeowners.



Joe Castillo
President
Pointe West Property Owners Associations
Pointe West Condo Associations

September 23, 2008 - as of 7:30pm EST

Message from the Pointe West POA and Condo Associations

We have just planned for and endured the most significant hurricane event in the last 25 years to make landfall in this area. Galveston Island has seen similar events in the past and has always managed to emerge a stronger unified community. We as the developer and board of directors are positioning Pointe West to carry on that same tradition. It has always been the goal of these boards to use local employees and companies to support the services that are provided at Pointe West. As a result of the size and location of Hurricane Ike, our employees and services companies were either temporary displaced or are still unable to return to their homes. As a result of that critical situation, Tim Welsh of Terramesa Resorts stepped in to coordinate the necessary submittals and appointments that are required to begin the insurance claim process. He has obtained inspection dates for insurance adjusters and secured an onsite security company. We thank him for his willingness to take this on and the time that he has already and will continue to spend on this process.

The following list of items is covered in detail in the following paragraphs:
- Terramesa and Property Management Group (PMG) will provide support to owners
- Utility services should be restored within the week according to the City of Galveston
- Entrance into units to evaluate condition will begin Wednesday 24th
- Additional 24-hour security has been implemented in addition to City and State officers
- Requesting owners to contact Suzanne Davis to arrange for means to access unit – mailing of key
- PMG will formally extend a notice to each homeowner to let them know whether any mitigation measure are to be taken in the individual condo
- The Beach Club will be the central hub of operations, PMG and the Hospitality Group will support owners if they need for someone to provide access to an insurance adjuster
- Property-wide cleanup, securing of roof tops and building exteriors to secure the exterior shell of the buildings from future water intrusion in the event of rain

Now that the Boards of Directors of the POA and condo associations and our management company, PMG are again able to focus on Pointe West, we will begin the transition of these items back to the Board of Directors. We will start this process by providing support to owners that are able to visit Pointe West now that the City has re-opened the island under the most recent visitation program, which is from 6:00 am to 6:00 pm. Note that the only entrance to the island is still via I-45, if stuck in traffic one option is to take the 146 exit and follow the feeder road to Hitchcock and u-turn back towards Galveston. As most of the island does not have electricity, water or sewer services, PMG will be stationed at the Beach Club with water and light refreshments. The City of Galveston indicates that utility services should be restored within a week. Please plan accordingly as there are currently no fuel or food stores on the island and the Beach Club cannot serve food until it is re-inspected by the County Health Department.

Trident Security has been contracted to provide additional security for Pointe West. This is in supplement to State Troopers, Sheriffs Department and the City of Galveston Police Department. With the property secure and working within the limits of the City of Galveston’s access to the island policy and available utilities we are continuing our efforts to mitigate any additional damages to the resort.

In furtherance of this goal, the Baywater and Villas at Pointe West Associations have unanimously voted to exercise the right of Entry under the Condo Declarations Article 8.1. This article provides the association with the right to enter the condominium in emergency situations such as Hurricane Ike to evaluate the condition of an individual condominium. Please note that the Association currently has access to condos within the Hospitality rental program. If a condo is not within the rental program we ask that you contact Suzanne Davis, (s.davis@pmghouston.com, 713-329-7160 Office, 281 788-3673 Cell) to provide us with a means to access your condo. It is imperative that this access is provided, in the case that someone has not contacted Suzanne and she has been unable to contact them the Condo Association will have a locksmith temporarily open the locks. This will protect the remaining owners within the same building.

Our purpose is to observe the condition of each individual condominium. This information will be used to define a prioritized mitigation list based on building and unit conditions. PMG will attempt to extend a notice to each homeowner to let them know a whether any mitigation measures are to be taken in the individual condo, and what those measures are. We are also expecting the Condo’s insurance adjuster to be on site as of Friday to begin the assessment of each building. After meetings and negotiations with the Condo insurance adjuster, a report will be issued that we will use to develop a schedule in which all affected homeowners will be provided with an anticipated construction timeline. More details will follow as to the coordination with homeowners while reconstruction is underway.

Terramesa previously posted the insurance providers contact information prior to their first property visit to assess/tour the property. We will provide the contact information for the insurance provider after their visit on September 26th.

It is important to note that cottages are handled differently as these properties are entirely the responsibility of the owner(s). We will work with owners who cannot return if they sign an indemnification letter and give us authorization to enter. They will also need to mail the key to us. Please work with PMG at the number listed above.

We are still establishing protocols for numerous items including construction so we will continue to provide updates on the daily occurrences of Pointe West and Galveston Island. Terramesa has provided pictures of the common area cleanup and the roof protection that has already been installed on several buildings. If there are any questions please call either Suzanne Davis, 713-329-7160 or call 888-237-0012 for brief recorded updates and to leave a question.

In any crisis like this, much is occurring behind the scenes. Terramesa leadership, employees, along with PMG and Association team members have been working since before the hurricane and throughout the process to respond with excellence. Many have been working late into the nights through both of the past two weekends. We also would like to thank the many condo owners who have also been very helpful. We are thankful that all lives on our property were saved. We look forward to stabilizing and growing the resort together!

One final note: this post was added to the blog earlier today in its “draft” version. While it was only on the site for 2 minutes, we apologize for any confusion. This final version includes more specific information regarding insurance adjusters.

Sincerely,


Joe Castillo
President
Pointe West Property Owners Association
Pointe West Baywater and Villas Condo Association


Current Conditions in Galveston:
• Minimal medical facilities are available
• Limited water, sewer, electricity, or natural gas service
• A boil water notice remains in effect until further notice
• Mandated water conservation program in effect island-wide
• Limited retail services available including fuel, food, water, auto, pharmacies, etc.
• Curfew strictly enforced: 6:00 p.m. to 6:00 a.m. for the west end - Violators subject to $2,000 fine.
• Limited cell phone coverage

You Will Need to Bring: Bottled Water:
• Flashlights & Batteries • First Aid Kit • Hand Tools • Hand Sanitizer • Heavy Duty Garbage Bags • Camera • Notepad & Pens • Bug Repellant • Personal Hygiene Items • Gloves • Face Masks • Boots • Sunscreen • Vehicle Fuel Additives • Tire Repair – Tools, Fix-A-Flat, Spare Tire, Jack Safety Requirements

September 21, 2008 - as of 8:15pm EST

The following statement was posted on the blog this morning (9/21) and is being reviewed by Terramesa.

"HOA insurance covers structure to the studs in the unit. Homeowners policy should cover drywall through finishes."

Looking at Article 4, Section 4.1 and 4.2 of the Declaration of Condominium for Bay Water Condominium (Please see Page 5), the definition of horizontal and vertical boundaries clearly provides that the the Association/Developer is responsible for the drywall/sheetrock and everything behind it since it is defined as a "Common Element."

Article 4, Section 4 clearly states as follows:""4.2 Perimetrical (Vertical) Boundaries. The perimetrical or vertical boundaries of each Unit shall be the plane formed by the inner unfinished surface of the outermost walls of the Unit extended to their intersection with each other and the upper and lower horizontal boundaries, with the plaster, SHEETROCK or wallboard or other material comprising the walls of the Unit constituting a portion of the COMMON ELEMENTS. Exterior doors, windows and exterior glass surfaces serving the Unit, including the frames for such items, shall be included within the boundaries of the Unit. All portions of heating and air conditioning systems serving a single Unit (including the compressor and any pipes, wires or lines serving such system located within or outside the Unit boundaries and all duct work for heating and air conditioning systems) and all appliances and plumbing fixtures within a Unit shall be a part of the Unit. [Emphasis added throughout.]"

4.1 Horizontal (Upper and Lower) Boundaries. The upper horizontal boundary of each Unit shall be the plane formed by the lower unfinished surface of the sheetrock or drywall of such ceiling, so that the DRYWALL, resilient channel or other material comprising the ceiling shall constitute a portion of the COMMON ELEMENTS. The lower horizontal boundary of each Unit shall be the plane formed by the upper surface of the subfloor of such Unit (the subfloor being defined as the upper surface of the gypsum cement underlayment flooring), with the floor covering constituting part of the Unit and the subfloor constituting part of the Common Elements." [Emphasis added.]"

4.3 Additional Information to Interpret Unit Boundaries. All appliances and plumbing fixtures within a Unit shall be a part of the Unit; provided, however, that to the extent that any chutes, flues, ducts, conduits, wires, bearing walls, bearing columns or any other apparatus lies partially inside of the designated boundaries of a Unit, any portions thereof serving only that Unit shall be deemed a part of that Unit; all portions thereof serving more than one (1) Unit or any portion of the Common Elements shall be deemed a part of the Common Elements."

September 21, 2008 - as of 1:15pm EST

Re-Entry Advisory for all residents beginning Wednesday, September 24, 2008

Galveston Mayor Lyda Ann Thomas has announced a re-entry advisory for all Galveston residents and business owners. Beginning Wednesday, September 24, 2008, 6:00 a.m. all residents will be able to re-enter Galveston Island.

You must show photo identification that verifies your Galveston address or place of business at all manned checkpoints. The City of Galveston will distribute advisories as returning residents and business owners enter the island.

Areas Located Behind the Seawall East of 103rd Street/Cove View Lane:
All residents and business owners may re-enter the City of Galveston, assess the damage to their property, and determine if they wish to remain in the city. Very limited water, sewer, natural gas, and electric services have been restored to areas behind the Seawall.

Areas Not Located Behind the Seawall West of 103rd Street/Cove View Lane:
All west end residents/businesses may re-enter the City of Galveston, assess the damage to their property, gather important belongings, and then leave the city to return to safe and more secure locations no later than 6:00 p.m. Water, sewer, natural gas, and electric services have not been restored to areas West of Seawall therefore sanitary living conditions are not available at this time.

Current Conditions in Galveston
• No medical facilities are available
• Limited water, sewer, electricity, or natural gas service
• A boil water notice remains in effect until further notice
• Mandated water conservation program in effect island-wide
• Limited retail services available including fuel, food, water, auto, pharmacies, etc.
• Curfew strictly enforced: 6:00 p.m. to 6:00 a.m. Violators subject to $2,000 fine.
• Limited cell phone coverage

The south side of the Seawall, all beaches, and the water of the Gulf of Mexico remain closed until further notice.

Supplies You Will Need to Bring:
Bottled Water • Flashlights & Batteries • First Aid Kit • Hand Tools • Hand Sanitizer • Heavy Duty Garbage Bags • Camera • Notepad & Pens • Bug Repellant • Personal Hygiene Items • Gloves • Face Masks • Boots • Sunscreen • Vehicle Fuel Additives • Tire Repair – Tools, Fix-A-Flat, Spare Tire, Jack Safety Requirements

Personal Safety:
• Do Not Put Yourself in a Hazardous Situation • Do Not Enter Unsafe Buildings • Exercise Common Sense and Caution When Entering Structures

September 21, 2008 - as of 12:30pm EST

1. Flood Insurance Adjuster made his initial visit to the property on Saturday, 9/20 to assess damage to the condo buildings. Terramesa will receive an initial report this week.

2. Wind Insurance Adjuster on the site Friday, 9/26 to assess damage on condo buildings.

3. Advantage Environmental Solutions currently on the project doing temporary roof repairs to minimize further water intrusion at roof locations. Priority is given to buildings with the worst damage, which in worst case is about 15-20% of roof area. Plywood decks are intact with exception of one location where a couple sheets are missing. Terramesa has also directed them to do temporary repair on one building that lost top floor balcony roof overhang.

4. Owners again are encouraged to talk with insurance adjusters immediately and mobilize an environmental remediation company to their unit to remove wet building materials. One company already on the island is Advantage Environmental Solutions, who is performing work for Terramesa and have been contacted by several Owners already. Your insurance company must approve of their services. Contact # is 214-654-9850 (Note: Terramesa has no interest in this company.) Note: HOA insurance covers structure to the studs in the unit. Homeowners policy should cover drywall through finishes.

5. Terramesa has not endorsed any company to do individual inspections of units, prior to insurance adjusters entering or authorizing environmental remediation companies to perform work. It is important your insurance company dictates the access to the individual units so claims are not compromised.

6. Access to Units by Insurance Adjusters or Environmental Remediation Companies- If a unit is not entered into the rental management program administered by Terramesa Hospitality, there is a good chance we do not have the keys to the individual units. Owners need to provide keys to the Adjusters and Remediation Companies.

7. Trident Response Services, LLC commences their services on Monday, September 22, 2008. They have a security clearance list that includes all Owners at Pointe West and any insurance adjuster for individual units.

8. Utility Services to Galveston- No services have been restored to date. There is a staged access plan in place with curfew.

9. Terramesa Hospitality and Principal Management Group will have limited presence on the site starting Monday, September 22, 2008.

September 19, 2008 - as of 11:40pm EST

Steve Pierce of (Adams Adjusters) will be the adjuster for the flood insurance underwrote by Colonial Insurance. This is for all the villa building structures. A Terramesa representative will meet him onsite, Saturday and Sunday September 28th and 29th to assess the damages.

September 19, 2008 - as of 6:30am EST

Yesterday's Events:

1. Insurance company has agreed to pay for security services with Trident Response Group, LLC. This is a company that performed services in downtown New Orleans after Hurricane Katrina. There is a commitment in place to provide thirty days of security service at this time from 6:00 PM to 6:00 AM.

www.trg-ltd.com

2. Advantage Environmental is under agreement to provide temporary repairs to the roofs of the condominium buildings. We expect this work to commence in next 48-72 hours.

3. We have heard from wind insurance adjuster who is expected to be onsite some time in the next seven days. The flood insurance adjuster is to contact us no later than September 22, 2008 to schedule their inspection.

September 19, 2008 - as of 12:00pm EST

Homeowners:

It is extremely important for you to physically inspect your unit at the earliest possible convenience and to mobilize an insurance adjuster to your unit. Additionally, you should be asking your insurance company even before the visit by your adjuster if you can bring in a company to remove the contents of the unit that may have incurred water damage. Contrary to what some people are saying in email traffic, mold infestation starts in a 24-48 hour period of time. Insurance companies want to minimize their risk, so they should be very open to this action.

One of the companies that is mobilized on the island in a significant way is a company called Advantage Environmental and they are absolutely set up to perform this work in individual units. They are set up to perform water extraction and mold remediation. There are other companies set up to do similiar work, but these people are mobilized and they have performed work on Pointe West when in the construction phase. Please get your insurance company to approve services as they are not cheap! (Terramesa has no interest in this company.)

Advantage Environmental 1-866-654-9850

Thank you

September 17, 2008 - as of 2:20pm EST

Look & Leave Re-entry Suspended Until Further Notice

The City of Galveston has suspended the look and leave re-entry until further notice. Please check the website daily for updates and information.

September 17, 2008 - as of 2:15pm EST

Residents:

We are talking with insurance adjusters that have underwritten our flood, wind, and package insurances for the condominium structures, club facilities, and common areas. The earliest these adjusters will make it onto the project will be the week of September 22, 2008. Many of the adjusters reside in this region so you can imagine the shear volume of calls they are getting. Terramesa is in contact daily with our main carrier Countrywide Insurance to insure they are exerting pressure on the individual carriers to get adjusters to our projects in the next 7-10 days. Once assessments are made, we expect the insurance companies to give us immediate authorization to proceed with permanent repairs. We have a general contractor on standby to commence the work on the building exteriors.

At this time, we are only permitted to do site clean-up and perform temporary repairs to prevent further damage to the buildings. Any further work will compromise the insurance claim. We understand everyone has a high level of anxiety to identify the damage to their units and proceed with repairs. The repairs to the main structure must first be completed.

September 16, 2008 - as of 4:00pm EST

There was communication with Countrywide Insurance today in regards to our Wind, Flood, and Package Policies that pertain to the condominium structures and common areas. They filed claims with all the individual insurance companies on September 15, 2008 that have underwrote these policies. Insurance adjusters will be in contact with me in the next twenty-four hours to schedule times to visit the project and make assessment reports. The expectation is that we will see the adjusters on the project in the next five days. They will move rather quickly on this and we have suggested contractor resources to them. The only repairs that can be completed at this time are temporary to prevent further damage. Costs along with receipts should be well documented.

We are expecting MHBT Insurance Company to be in contact with us within the next twenty-four hours to schedule adjusters for the Club facilities. Homeowners can contact their insurance companies and coordinate adjuster visits through Principal Management Group. The proper sequence of work will be to make the repairs to the exterior of the buildings before permanent work commences in the units.

September 16, 2008 - as of 1:45pm EST

Look and Leave Re-Entry Announcement

Galveston Mayor Lyda Ann Thomas has announced a look and leave re-entry advisory between the hours of 6:00 a.m. to 6:00 p.m. for Galveston residents and business owners until further notice. You must show photo identification at highway check points. This phase will allow residents/businesses including insurance adjusters to re-enter the City of Galveston, to assess the damage to their homes/businesses, to gather important belongings, and then leave the city to return to safe and more secure locations no later than 6:00 p.m. this will be implemented on a daily basis to correspond to the livability in the city. THIS PHASE IS SUBJECT TO THE CITY CURFEW. Current Conditions in Galveston · No medical facilities are available · No water, sewer, electricity, or gas service · No retail services available including fuel, food, water, etc. · Curfew strictly enforced: 6:00 p.m. to 6:00 a.m. Violators subject to $2,000 fine. · Limited cell phone coverage · No auto or tire repair facilities are available Supplies You Will Need to Bring · Bottled Water · Flashlights & Batteries · First Aid Kit · Hand Tools · Hand Sanitizer · Garbage Bags · Camera · Notepad & Pens · Bug Repellant · Personal Hygiene Items · Gloves · Boots · Sunscreen · Tire Repair – Tools, Fix-A-Flat, Spare Tire, Jack Safety Requirements Traffic Safety: · Watch for Debris · Drive Cautiously · Be Considerate of Other Vehicles & Pedestrians · Treat All Intersections as a Four-Way Stop Personal Safety: · Do Not Put Yourself in a Hazardous Situation · Do Not Enter Unsafe Buildings · Exercise Common Sense and Caution When Entering Structures We appreciate the patience of Galvestonians. We are in this together and we will rebuild together.

September 16, 2008 - as of 10:00am EST

A Terramesa Representative has been onsite assessing the situation and has provided video footage.

The clips are available for you to view under "Live Video 9/15/2008."

-The first clip is the parking area under one of the mutli-level units on the bayside.
-The second clip is from the Bay viewing the Ocean Club Condos and Termini Road.
-The third clip is of a building on the bayside and the damages caused by the high winds.

We will continue to provide you with additional updates as we receive them.

September 15, 2008 - as of 1:35pm EST

A Terramesa representative is currently onsite assessing the current state of the property.

Initial reports are as follows:

1. Exterior of buildings looks good
2. Landscaping is intact
3. Fair amount of sand deposited on the State Highway from the Bayside
4. Small fishing pier was lost
5. Shingle damage on the multi-level units
6. Dunes are gone


Additional information and pictures will be provided at a later time.

September 15, 2008 - as of 7:45am EST

The island of Galveston is still closed to all traffic with the exception of rescue vehicles and personnel. Our Terramesa Team is standing by to enter the island and assess any potential damage to the structures.


The following link was provide by KHOU news helicopter providing aerial footage of Pointe West.


http://www.khou.com/video/news-index.html?nvid=282686&shu=1

September 14, 2008 - as of 9:30pm EST

TerraMesa Resorts is currently awaiting permission to access the island to assess any damage that may have been done by Hurricane Ike.