The sale of the property itself is a violation of the terms of the mortgage or deed of trust enabling the lender to accelerate the note.  

Curious does your town have unrelated persons ordinance and noise violation fines?

They are subject to liability if someone sues, and their license is subject to discipline or loss of license if you violate rules/laws and get caught.

Have your attorney send your contractor a letter explaining your dissatisfaction, any legal, ethical, or moral violations his operating methods result in, and making him an offer BELOW your “target” amountbest of luck I have an attorney that I considered speaking with on this matter, but I’m not sure that he specializes in things like this.

If they do, it's a lease violation.

The description talks about the buyer assuming the Point of Sale, so I would assume there's a decent amount of violations on there at this price, but if not, it looks like a pretty good deal. 

I’d be very grateful for any advice or recommendations on how best to approach these modifications.Also if I were to refinance in the future to pull out cash from the property, is this something that banks could refuse to lend on if I have code violations of lets say a wall that was moved or removed?

I underestimated tenant behavior, facing issues like property damage, lease violations, and evictions.Once I realized the importance of focusing on the right tenant segment rather than properties, everything changed.

I feel like just about every month, I see RE investors with 1-2 year's experience starting a new fund and advertising on Facebook for LP's, as well as the daily "JV deals" that straight-up violate securities laws.

Make sure it explicitly explains the process for termination if you are unhappy with their services, especially if they violate the terms of your agreement.3.