Depending on the construction, you have to do major upgrades on electric, plan for plumbing for apartments which may not be permitted in the area for the sewer or septic.

See if they're ready to upgrade or down grade?

It’s a mix of strategy, management, and a little bit of chaos, especially when dealing with unruly tenants or trying to balance your budget while upgrading properties.

Keep rents lower than the going rate and give them an incentive to stay like no pet fees or upgrades to the homes.

Code enforcement is now telling me I only have a 3 unit property, so I have to kick my tenant out of the newly upgraded unit.  

When contract is about to reach 5 years, i plan to make some upgrades on the property and ask for re-finance, hopefully pull out some equity and get a fixed rate mortgage.Let me recommend a backup with emergency fund (equivalent to 24 months operating costs).

After a few candid conversations, they realized they could negotiate slightly higher rents by offering small improvments..things like better loading dock access or upgrading the security features..turning a so-so cash flow into something much healthier.When you break down your family friend’s situation, it might help to consider these angles:Selling and redeploying capitla could open up opportunities in markets where cash flow is a bit juicier.

I am assuming you mean they are really like yurts which is nothing more than a upgraded tent.

We focus on CapEX before beauty. as a realtor we understand selling or renting homes you have to make the home function, Roofing, windows, electrical and plumbing. after we address these we focused on beautify making sure the upgrades match the area and is forward thinking with color scheme, flooring, and flow.

WHY have licenses thats my exact thought with unlicensed wholesalers :) I do understand, and really appreciate that you throughly understand how it is in CA.if I got pooped doing illegal panel upgrades on Waverly in PA, I'd end up in jail and lose my houses.An illegal gets popped and gets freaking amnesty.