Hey Janiece,
There are couple of ways you could make this work. One way is to see if a Hard Money lender would fund 75%-90% of the purchase and 100% of the rehab. This would require some work on your end to get an appraisal, Scope of Work from a General Contractor who has experience doing renovations of this caliber, ensure your GC knows and applies for the necessary permits, confirm with county/city that rezoning has been complete. You can fund the GAP if you have the funds and if not, you can try to get a private investor to fund it. Once complete get it rented and order a new appraisal and refi the HML out and put it into long term debt.
You can also do all the same things listed above and source a private money lender that would fund the project. You could partner with other investors to get the project complete, or you can negotiate the price down and attempt to wholesale the deal to another investor.
Good luck, if it can really rent for 2k per room, thats 40k+ a month which crazy cash flow on 1M loan.