My goal is to convert this from an antiquated one-story office building to a multi-level commercial or mixed use building (depending on what the area allows and what a developer thinks could extract top value). 

Privacy comes at a premium, and you should look to your market rent to see how much more you can extract on a single family home against a multifamily and whether that premium beats the cost savings of a multifamily (e.g. capital expenditures).For example, I have a single family, and in reviewing market rent, I noted that multifamily units and apartments often included utilities in their rent price whereas single family units didn't.

I don’t know any specifics regarding the case but I do know that he said that it was going to be difficult to extract the client from the situation without severe legal and financial consequences.

When picking any solution, also check to see what you can extract if you choose to move on.

If the house has carpet you will need a truck mounted hot water extraction performed by a professional, stay away from Stanley Steemer and any $9.99/ room company, and they will help you greatly.

Many of our RE has been refinanced so that we have pulled out all of our investment and extracted cash.  

Realtors are experienced at extracting information and while anyone could learn it, they already have the experience and tools to do it.

After 4 years, I'm able to extract some equity out of it (my downpayment), and looking to invest in a LOWLOW income area.

I know a number of people who have done well here in Richmond, which has also gentrified rapidly in many areas.The biggest lesson I've extracted out of this is that it's ultimately unpredictable.

An option that I have used recently is to refinance a property previously under a VA loan into a conventional loan, thus extracting the equity and freeing up the VA entitlement at the same time.