They are trying to milk you homie .

This allows you to "recycle" 70% to 80% of the same money over and over and over again to acquire either more real estate, or whatever other income producing assets appeal to you (the lender will require you to leave 20% to 30% equity in the property, depending on this that and the other).You don't see this talked about a lot, compared to other strategies, since such a small % of people are in the position to be cash buyers. 

If you can buy the BRRRR property at a discount add value with the renovation and refinance at 75-80% LTVARV you may have little to no cash left in the property which of course provides a stellar cash on cash return and you can recycle your $ to do many of these.

Try to milk cash as much as you can.

This cash is basically recycled every time you make a good deal which as @Herndon Davis says the numbers you have wouldn’t be good enough.If you want to start with low capital look into house hacking and doing an FHA WITH 3.5% down. 

I am working on trying to get this in writing. e.g. some sort of waiver that states they will let me cut during this time even though it is after their standard October 15th deadline and that I can use something like a recycled asphalt upon completion as a road fix until spring as the hot plant will more than likely be closed by this point in time.So my question...- Anyone have any idea of any recourse for a situation like this? 

BRRRR is such a great strategy for recycling capitol.

You can milk them over and over:)

The later would help me to recycle my cash for the next deal otherwise I would be stuck with cash with the first deal with a Turnkey solution.   

you really want to milk your tenants.