Obviously, I could spend a couple of grand and replace the carpet and pad which would get rid of the problem unless it is in the sub flooring, but I don't want to spend the money unnecessarily.  

And with all due respect, I think you're being unnecessarily cautious by  worrying about stepping on the broker's toes.

This prevents you from having to fill out multiple applications and have your credit pulled unnecessarily. 

So you would be throwing away $11,500 unnecessarily before you even get started on the rehab! 

It seems kind of draconian (and unnecessarily costly via turnover on my end) to terminate her lease over this, so I am trying to anticipate what would be the next logical step if she doesn't comply after my formal letter to her.  

Again, these are some suggestions to alleviate some of the stress you are inserting upon yourself unnecessarily.

And for some weird and unnecessarily expensive reason, you deeded it, probably without title insurance, into an LLC.

Playing hardball and hiring a lawyer will end up costing you more than $500 because you can't rent it to someone else until you complete the eviction process.Don't let your pride spend your money unnecessarily.

If the unnecessarily complicated paperwork is filed incorrectly here in California, it's an automatic do-over.

Even so, why would he want $250k or $500k taxed unnecessarily?