This is not a fully built out case for someone just getting into it, but you and everyone else these days have to be a little creative to get a deal done unless they are willing to put significant money into the deal for work etc.

I'd gotten an on-market property under contract, but I found out it had massive foundation issues so I decided to assign it.

Property Condition: when was it built?  

It is basically a brand new house from the foundation up.

Buy a franchise type business, place it in the space, and sell a turnkey operation with built in lease.2.

It was built up, vibrant, and cool.That was my "aha" moment.Then I spent months driving different neighborhoods to identify strong pockets and ones I believed were poised for growth.

-Sauna-Hot Tub-Patio/courtyard (large cement tiles on crushed bluestone with lighting, natural gas line to bbq)-Secondary patio off primary suite-Losing sq feet in the primary bedroom to enlarge the bathroom-High grade cabinets-Appliances with cabinet fronts-High end appliances (Viking/Miele instead of GE Cafe)-Outdoor shower (teak box walls with a dry well beneath the footprint)-Wiring for Cat6 to every room-Wiring for surround speakers (or including the speakers that are built into the walls)-Sonos whole-home audio system-Hardwired cameras (with on-site storage) to the exterior of the house-Smart features: thermostats are a given, but how about light fixtures, switches, aromatherapy, fans ... anything else?

The houses are 2010+, the market value is somewhere 230K-250K, the appraised value includes 40K+ land, and new houses are built close by for the same 230-250K range....why would the replacement cost be 340K? 

Why haven't you built a business?

From what I hear, Joe is an all-around great guy and they have built a strong track record.