A better question is "Should I have a rental property in an LLC?"

If you can buy a fixer in a great area, that's even better.

You can do MUCH better, believe me. 

I looked into this at more than one occasion, because Milwaukee has such an old housing stock, everything is 60-120 years old.Most of the new apartments we see are 4 and 5 star developments with very high rents, this allows to offset the high cost of construction a little better.

Have a meeting coming up and hopefully they will have better news. 

Used PSI last year, they did a bad job, the snow wasn't even bad last year and with several attempts asking them to do better within the terms of the contract, they still sucked. 

My best has done better than $10k/month of appreciation (well timed purchase purchased below retail so this has done better than most San Diego RE investors). 

I generally try not to sell my properties unless I have to sell in order to have enough proceeds to purchase a bigger and better property (and usually more units).

My initial thought is that the developers may have gotten a much better deal than they would have otherwise given the clear limitations on the land's use.

You may be better off refinancing with a cash-out mortgage and then financing the new property.