Should I sell a negative cash flow rental?

[Degmo Bedada]

Hi All, 

I have a 1 bedroom 1 bath condo that I bought late December 2004 for $205k in San Diego. I took out a zero down 80/20 loan. The 80% was a 5-1 ARM and the 20% a HELOC.

I lived in the property for 5.5 years and upgraded to larger home.  I have been renting it since middle of 2009 and have been paying $150 - $200 out of pocket to cover all expenses.  At one point during the crash, the property value dropped all the way down to $70k.   I can now sell it for $180k.  

I owe about $140k and because rates have been low, my rate on the primary mortgage has been lower than 3% for years.  The question is, should I cut my losses and sell now?  I have come across some cash and is able to pay off the whole thing but I am not sure if that is a wise decision.  The property rents in the $1000 -$1100 range.  While it is close to a college, I don't see the area changing drastically to become more desirable.  

Any thoughts you guys have is greatly appreciated.