This leaves here with almost $500k in capital gains to pay tax on.I'm trying to find creative ways in which she can minimize this tax burden. 

We generally advise our clients to go ahead and pay the recapture rates if death is the alternative.The good news about recapture - the deductions are a deferred tax liability to you, and an interest free loan from the government.

Given that I would pay 3/4 of the property's assessed value I think this could be a great opportunity.

My client would have been willing to pay up to the whole listed price because the property will be worth ~$525k ARV. 

If I'm paying $150 to turn a rental, you would probably have to be sub $100 for me to give you a shot.

@Chris Magistrado if she knows what she's doing and consistently keeps a sharp eye on what's going on it's possible.Should have local "inspector" that can verify what's done and how well, before paying contractors.

Not sure if I have to pay for the more advanced features for it to work better but want to get other thoughts before I start syncing data and have to turn back.Thanks!

IE securing them paying tax's insurance etc etc. 

I got a 1099-INT from him to file my tax, which I paid a big portion out of 8% (effectively around 6% after paying the gov). 

If you can get all the bedbug containing furniture out of the place and it will sit for awhile (or let it sit while the other repairs are done) you may be able to avoid some cost, but if you want to get a paying tenant in sooner rather than later you will want to bite the bullet and get it well done.