The costs of the buildings there are pretty low, it is infested with a lot of drug users so your PM has to be on their game.

If the government decides that whatever money he puts into the deal was gained through illegal activities (e.g. drug dealing, extortion, etc), they can seize those funds - and I guess any assets he acquired through their use.2.

The only 2 violations you can say no without cause is drug trafficking and manufacturing.

He explained that the reason because of his drug addict son.

Let's not talk about who dumped guns and drugs into our environment in the first place for those guys with criminal backgrounds you mentioned earlier...You seem like a smart guy....figure it out...You don't have the slightest clue how easy it was for me to be one of those guys....Instead, I've worked with guys who have "criminal backgrounds"  since society is  "less likely"  to give second chances to a "certain group of people." 

Times article mentioning him being arrested (again) in Las Vegas last summer on suspicion of drug trafficking.

@Michael DeakinDepending on how much you paid out for the property in total a cost seg may make sense.The agricultural structures have a much more favorable depreciation schedule and tax treatment than a traditional commercial building. 

@Ashish Acharya is correct here regarding federal treatment. 

I had to cops at the house twice to collect drugs I find hidden in walls and rafters and disposed of a ton of needles.

Well a partner and I are looking to turn one of his properties into a transitional home to help the alcohol and drug abuse its a 4 bedroom and 1 1/2 bath I have no idea!