I would NOT want to be the guy that owned “The Whorehouse” even if I was able to escape prosecution.

Put the cash in your pocket and escape that market.

Are any of their things violating any fire escapes? 

@Dave Foster@Jay Hinrichs@Michael Plaks@Eric Fernwood@bruce woodruff@jdmartin@russel Brazil@dan h@Theresa Harris@James HamlingMy apologies to the other 3-5 who’s names escape me because I don’t have a question in mind that needs answering. 

You can't use a 4' wide hallway as a bedroom, even if it meets all the other requirements.Two means of egress: Occupants need to methods of escaping, typically a doorway and a window.Minimum ceiling height: You need at least 7' of head space.

Just check local guidelines as to what makes it a legal bedroom (typically a heat source, window you can escape out of, and a closet).  

In my area, not only is there zoning regulations, but building regulations where 3 families are built to different building standards, such as cement walls for boiler rooms, sprinklers, fire escapes to name a few.

If the two are afraid for their well-being most places have laws in place to protect them by letting them out of leases-given it is usually women escaping domestic violence.

Competent sponsor, capital call large enough to completely escape existing toxic loan with cash-in refinance to a lower-balance loan with a long maturity—good outcome possible, even probable, if there is no other “hot money” in the deal such as preferred equity or priority share classes.There are surely other nuances I’ve missed here, but this is a start. 

We moved out and sold because we were hoping to escape the city.