Just from what you described, I am guessing it will take as much as two months of gutting and repairing it at a cost of potentially 50k or more.I will hunk this particular property is for an experienced professional who is use to this type of extensive rehabilitation and has their own construction crew to keep labor costs down to a manageable level.

Apartment Rehabilitation: Extensive remodeling of an older apartment building.

.), and it gives you a 20% credit on Qualifying Rehabilitation Expenses (QREs).

It's part of the rehabilitation of the 6plex that should increase it's attractiveness and value for resale one day in the future.

In addition to a standard commercial/construction loan, you may look into finding a building that qualifies for rehabilitation (historic) tax credits, both federal and state, to help finance your project.  

The old Sears building is being rehabbed and will house a high school, residential living, business offices and shops and is slated to open in 2017.So since the Crosstown concourse is the biggest rehab job in the area will the homes north of it also be rehabilitate-able?

Agreed, my cash-on-cash return is not perfect because I only know my friend bought the 1st house for $45,000 and I don't know his true rehabilitation costs.  

I am aware of all the BS that an HOA can cause.2) Buying distressed SFH, rehabilitating them and then refinancing them.I've decided to join bigger pockets in order to begin networking as I believe it is the most important aspect of RE.

I'm currently managing a construction company in the area.My long term goal is to rehabilitate homes for resale, as well as for rental income.I will have to start small but with planning and hard work I plan to have quick yet controlled growth.I look forward to BPF for an additional resource for information as well as opportunities. 

Would let him know that any ethical-moral obligation I felt to let him retrieve his stuff from his mother's place went out the window when he opened up a meth lab in there and that he may retrieve his effects, under supervision, after he has reimbursed you for lost rent and the cost of rehabilitating the unit.