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The subject property is subject to various land use restrictions as set forth in the applicable <br />provisions of the Vail Town Code. Applicable provisions include a prohibition against the building <br />of structures in any flood hazard area. § 12- 21 -10, Vail Town Code. The Code also provides that <br />property owned by the Town cannot be used contrary to the terms of the Code's land use provisions <br />and, in particular, cannot be used contrary to the restrictions of the zoning district in which the <br />property is located. § 12- 3 -9(C), Vail Town Code. <br />The subject property is also bound by restrictive covenants. The restrictive covenants were <br />first placed on the entire Vail Village, First Filing subdivision, including the subject property, in <br />1962, recorded at Book 174, Page 179 with the Eagle County Clerk and Recorder. Record, Tab 2, <br />No. 13, pp. 21 -24. Amendments to the covenants with respect to a smaller portion of Vail Village, <br />First Filing, including the subject property, were created and recorded in 1971. Record, Tab 2, No. <br />13, pp. 15 -17. The 1962 covenants run in favor of the owners of the restricted property at the time <br />of the creation of the covenants, Vail Village Inn, Ltd. and Vail Associates, Ltd., and their grantees, <br />successors and assigns. Record, Tab 2, No. 13, p. 21. The 1971 covenants run in favor of the owner <br />of the restricted property at the time of the creation of the covenants, Vail Associates, Inc., and its <br />grantees, successors and assigns. Record, Tab 2, No. 13, pp. 15 -16. <br />The 1971 covenants state that "the subject land shall be used, held, and maintained in good <br />order and condition by the town of Vail ... for use at all times as a vacant and undisturbed open area <br />in its natural condition and no structures, buildings or improvements of any kind or character, <br />whether temporarrpermanent, may be erected or maintained thereon." (emphasis added). <br />Record, Tab 2, No. 13, p. 16, para. 1.2. Furthermore, the 1971 protective covenants state "nor shall <br />there be permitted within or upon the Subject Land any informal or organized public or private <br />M <br />