I talked to the local police department precinct involved in the area and the officer thought the right owner could raise the bar for the neighborhood and that the crime they investigate are the usual domestic disturbances or the occasional car break-in and that the neighborhood is pretty good. 

This is the sort of thing you really must investigate before purchasing rather than relying on any seller representation.  

That being said, I would see if you can get a handle on where exactly the spike in use came from and investigate all those leads. 

Further investigation, user error.

Upon further investigation, I discovered that these were currently 100% occupied, C-class properties near the downtown Chattanooga area in C class neighborhoods.

Took a trip there a few months ago to investigate the area...mainly around Racine and Kenosha. 

From my preliminary research I have determined Jersey City and Yonkers to be the best cities for cash flow within 30 minutes of Manhattan.

I'm definitely going to investigate some of these other suggestions. 

@Mike CumbieYes this is basically what I'm learning in this third day of preliminary negotiations with this one particular bank. 

The police are investigating the fire for possible arson.