Does this investment make sense in today's market?

[Scott King]

I'd appreciate any advice from any BiggerPockets / investor veterans before taking the plunge on this investment.

Description:

Oahu, Hawaii fixer-upper, 1 block from beach
3 rentable units on 1/4 acre lot
Price: $1.225M
Rehab cost: $200k
After Repair Value: $1.59M
Future rents: $10,000/mo

The property is in the city where we live, so self-managing/GC'ing the rehab and rental (if we decide to hold) is possible. For a buy/hold strategy, bigger pockets rental property calculator shows a CoC ROI of 8% with a 75% LTV at purchase ($306k downpayment, $200k rehab cost, monthly cash flow of $3520/month). For a flip strategy, bigger pockets flip calculator shows a $86k profit (5.91% immediate return).

Any insight/advice would be greatly appreciated.  

Thanks, Scott