I think I will not let him make this upgrade as a 5 year payoff would require over $100/month additional rent.  

@Henry Clark @Jay Hinrichs This post was never meant to be about me as a Coach...notice my original post.

When you are creating notes from the start with the intent to sale, you can also consider a 1st/2nd structure that can help you achieve similar results as a partial but start getting cash flow sooner. 

You enter it as a monthly expense. 

I am currently purchasing a home that will work great as a Rent By the Room. 8 bed and 6 baths in the DFW area.

Quote from @Andre Lemberg: I've been using  Smarter Contact for over two years as a real estate wholesaler.

You want a platform that has built in TCPA protections as well as a multiple communication channels besides voice such as SMS and email.

I googled it and found this:If you rent it to tenants, you would treat it as a rental and report it on a Form Schedule E.

If fully updated, market rents could be 5K a month plus utilities etc.The office space is currently being used as a medical office and it's a block from the hospital so there is always a good pool of rental candidates. 

Each grouping had a common room (perhaps it was shared by multiple groupings ... this was a detail I missed) with a nurses/aid workers office.Central to the two sides of the complex were common facilities such as a dining hall, gym {perhaps a pool ... another detail I missed}, theatre &  games room.With one of the fastest growing groups in our society being single people, we are examining a related idea of a  complex / building providing a modest-sized 1-bdroom "apartment" with more semi-private and common amenities.When I read the title to your thread, I thought it was a project proposing to mix students and seniors into a single complex ... and came in thinking, this ought to be interesting :-)