If you could a way to tokenize good deals I might be on board but I don't want anything to do with the distressed income deals you will likely be able to source unless I had ownership rights and could fix the problems causing the distress.That’s a real concern, however properties with failing numbers or poor management wouldn’t work for this model because the income rights being sold would hold little to no value for investors.

However, I attempted a fix and flip and failed terribly.

Know this: the #1 reason why landlords fail - failure to manage to the lease (source:  American Apartment Owners' Assn). 

Consider, if the machines did start failing in the next couple years, how would a loan payment affect your cash flow?

It is very important to post all the details you can so others do not send money into a failing enterprise.

lower tenant class is harder on units and fail to pay rent at higher rates in general than higher class tenants. 

A sample clause can be: “If the contractor fails to achieve substantial completion of the project by the agreed-upon completion date of March 30, 2025, the contractor shall pay the owner liquidated damages in the amount of $300 per calendar day until substantial completion is achieved.

The person has failed to pay rent after a valid notice to quit and notice of increase of said rent, provided the increase in rent is not unconscionable and complies with any and all other laws or municipal ordinances governing rent increases.")

I'm hoping someone could explain to me what this means on the HUD Property Condition Report - pour water/antifreeze in drains - fail.

You fail to the systems in place, keep strong standards and the failure rate is light.