All I do pretty much is retail.

It's either for high end flippers or well off home/condo owners buying retail.

I've done over 6000 BPOs (HUD houses which are then checked out against an appraisal, and if more than 10% off I had to justify and support my numbers), and have helped other investors, and retail homebuyers and sellers.

Retail from $4-8k in good condition. 

If you are familiar with Memphis and some of the suburb areas, Germantown is one of the top areas and is mostly a retail market. 

The property is in a distressed situation and would definitely need a remodel to sell for retail value (we might have to move some walls around to make the property more desirable). the property is around 60 years old with 995 sq. and around 400 sq unpermited on top of that and there is a mortgage of around 255k on it.

Maybe it isn't much of a distinction I guess... because either way I'm paying retail for an out of state rental that someone else puts a tenant in.Which is turnkey?

There are plenty of suburbs in Cleveland with great commercial and retail establishments, awesome restaurants and amazing school districts people love to rent in.

Why not rent it out for one year, then when the lease expires, get the property in mint condition and sell it to a retail buyer? 

And regarding the property itself, if that was truly that great of a deal, wouldn't the seller also know it, or the seller get a realtor to tell them that, or a retail buyer see the listing and know that.