If you do budget that much, the you will easily hit your profit target.There are currently no restrictions in Lewis county and STRs work there, but there is always discussion on them by the city.

But I could easily make this a 3 bed, 2 bath within the existing sq ft. 

This has got to be one of the dimmest, easily solvable predicaments I've read on here 

You can spend $150-200k and easily hit 1%.

This also allows for property owners to more easily write-off assets that get damaged/destroyed as the value of these assets is determined as part of the study.

Eminent domain does not work that easily or simply. 

Quote from @Caliana Johnstone: Realized leasing to a new tenant can take 5-10 hours easily.

(A lot of states, they can easily pull emergency assistance, and the court case get automatically dismissed) If they are pro at this, you have no way to win without a super experienced PM and legal team.

.: Honestly, if the insurance remains in place I have no idea how they would easily be able to do this nationally. 

The Cleveland market would allow you to hit those numbers easily.