There is a reason why the cap rates are so fat on those places. 

Brand new car and increased car payment every three years, stay house poor with your fat mortgage, shop at Whole Foods and Nordstrom's and rack up vampire credit card debt, and wonder what magic Chick-Fil-A does with fried chicken breast to earn so much of your money.

They are telling you upfront they are going to be one of the worse tenants you will ever experience.Tell them a big fat "NOOOO",... and pray they get mad and don't sign your lease.

Luckily the checking account was fat at that moment and I scraped by.Thanks to BP now I figure all of these things when I acquire. 

Most note investors and those that buy notes and know the note business want to buy 100% of the interest in the note for the following reason.1. total control2. if it does go belly up.. it takes ALL of the beneficiaries of the Note to sign to foreclose. and this in my experience in CA fractionalized notes is a huge issue.. when you have a hold out.. you can be stuck in limbo.The state of California regulates mortgage lending via RE brokers licenses or NMLS.. there are specific disclosures for fractionalized TD's in the state disclosure docs.. which explain this..

I would like something more explicit that discourages things like psychic palm readings, private piano or belly dancing lessons, massage sessions, hair and nail services, baby sitting except for friends and family etc...(2) Late fees and other charges.

Quote from @Derek Bell: I have a dilemma.

Also there were also plenty of sponsors who bought thousands of units and still went belly up in the great recession. 

And there usually already in there new home, so it's vacant, and with that one big fat expense just sitting there eating at them month after listing month it sit's. 

I love helping other investors do their first deal and make a FAT pay check.