But before the seller could make a decision I decided to accept their previous counter for 80k, but once in escrow I had a friend of mine that's in the restoration industry do a moisture inspection and write an estimate for $10,000 to remediate.

And I have no compunction about doing it (though fortunately I haven't had to so far).The dog peed on your floor, and left hair and dander that will require additional cleanup, if you want your place restored to its original condition.  

That's not how it works.We have to examine if this is a betterment, adaption, or restoration to determine capitalization vs expensing (repairs or maintenance). 

We were restoring the homes that flooded in our area.

I've nearly completed the interior restoration and all units are rented out (wife and I live in the 2/1 SF).

My father and I have been restoring and flipping cars for over a decade, we both have a full time job and this was just a hobby on the side.

(She told me that no landlord ever deducts money from the security deposit to clean up, after the tenant moves out) Someone has to pay to get this efficiency into move-in condition and restore it to the way it was, when she moved in.

@Ryan DeasyUsually in Connecticut any changes you are proposing need to be approved and reviewed by the historical board / committee in addition to the regular city inspectors.In Bridgeport they are a few 80 year olds who meet every other month on Tuesday to review proposals to restore their sacred properties. 

I also have an interest in furniture and hardwood restoration.

This was the clause in the lease regarding termination:In case of any termination of this Lease or termination of the Resident’s right to occupy under this lease, byreason of default of Resident or non-payment by Resident, Resident will indemnify Landlord from and againstany loss and damage sustained by reason of any termination caused by the default of, or the breach by, Resident.Landlord’s damages shall include, but shall not be limited to, any loss of rents, accrued but unpaid prior totermination; all costs and expenses reasonably incurred by the Landlord to restore the Premises to the samecondition as they were at the beginning of the Lease, including cleaning and painting (reasonable wear and tearexcepted); any costs reasonably incurred to advertise and relocate a new Resident, including broker's fees;moving, storage charges, or any other expenses, fees, or costs allowed by law, incurred by Landlord in movingResident’s belongings pursuant to any legal proceedings and as allowed by the court.