What improvements have been done on the building in the past 2-5-10 years, and are there any plans for improvements that will eventually increase the HOA?

We purchased 8 acres in Georgetown, TX and are building 4 more Memory Care Mansions to eventually cashflow 250k per month (total of 5 building).

The issue was eventually fixed but many landlords lost thousands of dollars.

I have personally done 4 flips, one was a hold/rental that I eventually flipped and old, one was a house hack, and two I did out of market with HML(my first two were out of pocket) 1 I sold and 1 I held. 

Samson Tefera, did you eventually get rid of the odor?

The lower your price game never works, and in the end, the STR homeowner loses money and eventually closes up their STR.

Investing is expending money to eventually achieve a profit.

It is in an up and coming location and we could do 1) BRRRR (esp. the commercial unit) and 2) Flip to new construction eventually (if we have the team, the capital and the time.

I'm assuming for the water damage, something spilled and they didn't mop it up or they had the dogs water bowl on the floor and water go onto the floor and wasn't cleaned up-if either of those are the case, then I'd explain that to them.If the floor is damaged and eventually needs to be replaced, I would not replace it if they are going to stay there. 

Might make a good hold until you die, or eventually turn it in to your retirement home type property.