Why not combine elements of 1 & 2? 

Contractor needs to basically not only "chipped away insufficient footing", they need to remove non-structural elements and build the whole thing up, and provide shoring and support structure so it doesn't collapsed. 

The NAA Barriers to Construction Index cites numerous regulations, including those dictating land usage and environmental considerations, as key factors harming apartment construction.

The critical element here is the refinance.

Other than inspecting the physical and financial aspects of the property you should not buy that property without a survey, zoning report (and legal review of it), phase 1 environmental, and utility inspections.

All these type deals, such as fractional ownership, time share, vacation clubs, condotel, etc have a common element…..whatever investment profit existed has already been extracted by the sponsor.  

Is the land actually buildable - You will need to do a perc test (possibly some environmental testing).

Keeping the home clean and in top shape are game-changers elements in your hosting experience that will add tremendous value to your guest stay, adding an extra layer of comfort and safety to their holiday.

Like so many other elements of our lives that have changed during the pandemic, it’ll be interesting to see if we go back to the status quo or have indeed entered a “new normal” with respect to housing.

I have seen several clients turn 10,000 SF into office spaces with a coworking element.