I understand that this would be leaving us in a more vulnerable position as grow near the end of her lease and I was not even sure if this is even legal because these funds are contracted and held in escrow.

May they all go down in flames.

If your friend can't do what he was supposed to do to this point, and he's behind by $5K, and then goes into debt another 2.5K to you, and that's just to get him to the next draw - and he's still got $36K in draws to go.......I just see this imploding.So, as someone else mentioned, if you're willing to give your friend the $5K to help him try to make this work, with no expectation of getting it back, that would be a really nice thing to do.On the other hand, if it goes down in flames and now he's lost the $5K & the $2.5K extra promised to a friend, it seems to me he'll feel terrible about that and that might not be doing him any favors either.I tend to only do deals with friends where I'm guaranteed to get what I need out of the deal, and in those instances, I'm very generous. 

My biggest concern is if I put the 3 day notice up and he leaves and the place is empty and then the other tenant who was on the lease and left bc she started using meth comes back and says she didn’t move out that could leave me in a vulnerable position.

So i'm vulnerable, I'll just have to put that behind me and move forward, again this is about my money.

If you are financially vulnerable, Survive.  

I'd send a thank-you cake to my tenant for doing so - they had the forethought to protect the building after seeing their worldly possessions go up in flames.

Sorry to rain on your parade, but approaching someone during such a vulnerable time while they're grieving is like being a vulture. 

It's not just the porosity and sealing issues, well-chosen granite is not nearly as vulnerable to that as some of the trendier lighter more open grained granites that people felt compelled to use by their designers. 

That this is an inconvenience rather than a life threatening situation, it’s a big inconvenience at a really bad time and a vulnerable point for them.