They can definitely tell you what you need to know legally and licensing wise in NJ/NY as there are some restrictions in certain states and I think NJ is one of them. 

I suspect the builder has crappy credit and can't get approved on their own.Also, as a former banker myself, local banks aren't generally interested in financing new construction on this size of project or a builder that doesn't have extensive experience in these type of builds, in my opinion. 

The bottom floor is approved for commercial business and has the main vault, some marble flooring, and a back room office and restroom.

This doesn’t mean you’re rushing into legal action—it’s just about setting clear expectations and boundaries.

Could any of you please advise us (not legal I understand) if setting up an LLC or these homes in a trust, etc would be beneficial?

We push for approval from the client even on small issues so that we do not have to deal with larger ones down the road.

MA is a very tenant-friendly state so I try not avoid the legal route, even if it costs a bit.

Naturally, she wants to be in a more comfortable environment to welcome our son into the world.However, there’s a legal hurdle.

This is the investment thesis in my area, it is becoming a bit saturated, but if you can rent just below the new build/corporates, and maybe accept tenants that are a bit outside of the corporate approved model, you can keep your place rented. 

Rents in the area need to be strong or a lender won't even approve you!