What to do with these walls?

[Brian Zaug]

Fellow investors,

I have duplex which has an apartment on the top floor that is in pretty bad shape.  It is rented but the rent is well below market rent  because of the overall condition.  They pay $900 monthly and the updated apartment downstairs pays $1150.  I am slowly renovating this apartment but it's hard because they live there with an 8 year old. 

The tenants told me that they will be away for 3 days at the end of March.  I want to use these 3 days to renovate the kitchen.  I need to replace the cabinets, put down some LVT flooring, skim coat and paint the ceiling, but I'm unsure what to do with the walls.  They are plaster, which is in pretty poor shape with wall paper over it. 

I was planning on using 4 x 8 mdf beadboard paneling and gluing/nailing it right over the wallpaper and plaster.  I think this will be the fastest and most cost effective way clean up the walls.  Originally, I was going to go over it with 1/4 inch drywall but with taping, sanding, priming, painting, I don't have that much time.  The last problem I foresee with 4 x 8 beadboard paneling is that the ceilings in this apartment are 9 feet tall.  If I install the paneling from the floor, it'll be a foot short on top.  If I cut off a foot of paneling and add it to the top, I'll have this unsightly seem a foot from the top going around the entire kitchen which I don't want. 

I'm certainly open to any other idea.  Would I need to pull off all the baseboard and door/window trim If I decide to panel the wall?  It's 3/16th's inches think....I don't mind taking the baseboard off but the window trim is in really good shape and I'd like to try and save it...

Thanks for any help.   Really appreciate it..