Investor Aversion to Condemned Properties?

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Hi everyone! I have a question to investors or those who have dealt with this before. For more context, I am a wholesaler.

I have a seller who owns a very run-down property that has been condemned by the city. They are willing to sell the property to me at the amount of money owed on the home - 16.6k. The ARVs in this area are about 130k. It'll take a lot of work to fix this place up - all new everything. Let's assume the numbers work for my initial question.

The laws here state that the owner can sell the property to me as long as she discloses the condemnation and the end buyer has a notarized document stating they are aware. The property can become un-condemned after a city inspector approves.

In your experience, do investors run for the hills when they hear a property is condemned? Or do they see it as an opportunity for a great deal. I fear the extra steps required (notarized document, city inspector) may turn them off.

What are your thoughts?