I did not make anything as all the proceeds went to years of preferred returns.It was not fun losing all of these properties but there was a lot to learn from it. 

You may check out the nearby members and network https://www.biggerpockets.com/meet, it will help you a lot to find partners that can help you out in investing.

There is a lot to consider: closing costs... potential agent commissions... fewer buyers if "Peter" decides to close shop and not execute the option (meaning carrying costs for you). 

Has anybody (in the area, preferably) ever dealt with potentially rezoning a single unit lot to a two unit lot?

It is definitely possible, but you are have a lot to learn as a new wholesaler.  

There's a lot to learn and thankfully, this site exists.

BP has a lot to offer including free online courses and videos.

I'm not a realtor (yet) but I could definitely answer a lot of questions for you because I just did all the research before we moved and have really been doing a lot to start planning my first flip.

It does feel like a lot to give away up front but you are more protected.

Welcome to BiggerpocketsThis is a great place to connect and work together with others.there is a lot to learn and sharing experiences/lessons helps others tooSee you in the forums