We just bought a home with an "in law suite" apartment.

You want to get a wide variety of responses to drill down on the ones that seem the most verified, not that most suit what you want to hear.

Or, can you 1031 it sooner into a better suited rental? 

I would then proceed with the STR and let the HOA initiate a law suit. 

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We begin to work with the future tenant and made specific updates and changes to suit this tenant.

They seem mostly suited for off-site wall segments production and I have to wonder about the economic viability in real-world projects. 

I estimate the house could rent for $2.8K–$3K, while the warehouse might rent for (one unit) $2K–$4K, depending on how much work it needs to suit different tenants.

Our sneaky duplex is a cozy, private guest suite tucked right inside our home.

Even the address provided on that letter spans multiple suites (19179 Blanco Road, Suite 105-404).