Think of all the things that can go wrong and you want a way to remediate it in the JV agreement. we did this once and the partner never started the work after a year so we deemed the note in default and were going to take back the property but they ended up selling another property to pay us off.

Jersey Mike's does not want a Subway in the space next to them because they are both competing for the same client during any given lunch rush so every retailer wants to find the highest quality shopping center they can and protect their space by using an Exclusive Use Clause which, in this case, would give Jersey Mike's the exclusive right to sell sandwiches in the shopping center and gives them legal remedies should the Landlord lease to another tenant that sells sandwhiches. 

He hired a mold remediation company and looks like there is significant amount of mold and the cost estimate to remediate is coming to 12k. 

These were all have to be corrected and remediated by the buyer with all permits. 

In the meantime the neighbor got my phone number from his landlord and texted me about the spray paint on his car to which I responded that my contractor is responsible and will remedy the situation.

I would try to remedy with the tenant and say something like, "oops, looks like you overpaid for a couple of extra weeks...I'll be returning this to you as our lease ends 7/15 so a full months rent isn't necessary to carry us to that point."

I've seen lead remediation costs under $1k and I've also seen them above $40k.

@Benjamin SulkaThis one was mostly cosmetic: paint, carpet/floors, light fixtures, trim, landscape clean up, rodent remediation, bathroom vanities in the 1/2 baths, and some of the windows.Rehabbed one unit at the time aside from the windows.

If the property can be sold, pursue a short sale for its current value whatever that may be after considering the cost to remedy these issues. 

@Yashar Fred most of the items a housing authority identifies as deficient should be remediated anyway.