A restaurant or café with outdoor dining could thrive in this environment (there are not so many around the area), benefiting from the steady local traffic while also enhancing the appeal of the residential units.

Renting it out would let you keep the asset, earn some extra cash, and possibly benefit from tax deductions like depreciation.

You should consider investing in RE outside your retirement account as well since there are different tax benefits available.  

It is difficult to property vet these operators without learning on the experience of others - that is one of the biggest benefits of finding a Community!

It discourages new landlords from entering the market and limits the ability of existing landlords to adjust rents to match rising maintenance and operational costs.

This will give you extra cash flow in the first year and/or the early years to maximize your tax benefits and make your dream come true.

That's a great place to adjust to the area and meet other investors.

Quote from @Nate Marshall: Quote from @JD Martin: Quote from @Chris Seveney: @Jay HinrichsI 100% agree - but I would bet you a nickel that what many sponsors are doing right now has 0 benefit to the funds that are in trouble or right the ship - they are just trying to stay afloat and raise money so they can live their “lifestyle” for the next few years.To the contrary I think many know it’s a lost cause but do not want to admit it / make it public as it will crush their money raising efforts on their new funds.Maybe I am wrong but my gut tells me differently This is exactly what I suspect as well.

I ended the offer to rent to the tenant on December 1st and didn't receive any communication from LMHA until December 15th when they tried to schedule the inspection...that's 45 days to process a voucher.We had another home pass inspection on November 5th and we hadn't "stopped and waited" for LMHA because it had never been a major issue before so we let the tenant move in...LMHA announced on November 15th that the tenant voucher needed to be re-evaluated by LMHA and that the rent rate needed to be adjusted (The story was the "Administrator A" reviewed and approved it but since they had resigned, now we had to wait for "Administrator B" to do it.

After reviewing the latest ordinances, reports, and city guidelines, here’s a summary of my findings as of 11/18/2024:Key FindingsPermit Types and Fees:Type 1 (Owner-Occupied): $300 for 3 years.Type 2 (Non-Owner-Occupied): $450 for 3 years.Density caps apply to Type 2 permits (12.5% of block face).Enforcement:3 violations in 3 years lead to permit revocation.Fines up to $500/day for violations.Hotel Occupancy Tax (HOT):City: 9%, County: 1.75%, State: 6%.Platforms like Airbnb and VRBO will remit directly to the city starting Feb 2025.Platform Obligations:STRs must have valid permits; unpermitted properties will be removed by platforms like Airbnb.Special Exceptions for Density Limits:Require approval by the Board of Adjustment (BOA).Zip Code BreakdownI focused on these 11 zip codes:Under San Antonio Rules:78205, 78204, 78215, 78210, 78212, 78245, 78258Independent Municipalities (Separate Rules):Alamo Heights (78209)Leon Valley (78238)Helotes (78023)Next Steps:Research density caps and zoning in specific zip codes.Dive into independent municipality rules for Alamo Heights, Leon Valley, and Helotes.Evaluate market maturity and income potential using tools like AirDNA.If anyone has experience operating STRs in San Antonio or these specific zip codes, I’d love to hear your insights, especially about density limits, enforcement trends, or community sentiment.Thanks in advance!