Already, In the process of adding forced appreciation by adding an additional dwelling unit & also adding value in other ways.

The other units rents would be the only way to qualify at the $700-$800k range and then force appreciation with modernizing one of these aging properties. 

The other units rents would be the only way to qualify at the $700-$800k range and then force appreciation with modernizing one of these aging properties.

It was always a longer-term hold (also 60s built) and I feel like we are near or at the bottom of the current cycle, and if I'm not forced to sell then why would I do it during a time that I think is closer to the bottom?

I’m active duty Air Force as well with four properties.

Had they forced repercussions for this then, you wouldn't deal with it now.

Forcing appreciation on this one. 15/30 balloon to capture better interest rate at 30 amortization.

A 2 level condo is a different story altogether.But, its better to buy something than nothing, as the debt paydown is at least a forced savings account.  

So, is all this work worth it, being it probably doesn’t force much appreciation?

The west coast markets have traditionally been appreciation markets, and if you are not forced to sell and can hold long term, risk diminishes.