Inheritated property, best investing strategy

[Hannah Calkins]

I have a cousin, who is a contractor, and we have been talking about wanting to work together and get into real estate investing. I have spent the past year listening to podcasts and reading books trying to educate myself a little bit. Once I felt prepared I planned to approach a wealthy family friend to be my investor. Coincidentally, This family friend recently inherited a property.

The property is a decent size, has a fantastic location, it's zoned to be used as residential property or a business, and actually is set up as a residential property with a storefront. I have not visited the property yet but I have been told it needs some pretty hefty repairs. 

The appraisal for the property came back at $800,000 and there is a $70,000 mortgage on the property. The family friend isn't exactly sure what they want to do with the property yet, so I approached her letting her know that I really wanted to get into real estate investing I just needed an investor. She said if I came up with a solid plan she's all ears. 

I am excited but there are MANY things I need to get in order. Like organizing this partnership making sure all 3 parties are protected, figuring out the best strategy for this property and how to continue to grow, etc. Not to mention I am worried there are things I am missing or not thinking about. 

What would you recommend my first step be? Organizing the partnership and presenting that to her then moving to the property, or start looking at the property, figure out the most profitable strategy, then move into organizing the partnership? 

Any tips would be helpful!