We then want to operate our own business out of the space, so could essentially complete a lease agreement with ourselves+investors who would now be the landlord.A few additional notes:*We do have capital and could contribute a portion of the investment into the real estate, if this would be necessary*We personally own a development.construction company, so would be completing the capital improvements ourselvesWhile there are a handful of ways to structure this, how would you personally tackle it, and tends to be the best way to approach this type of deal?

Congratulations on a successful flip and the ability to find funding and tackle on issues when they appear.Like you said, the lessons are valuable.

I do the legwork because of experience, capability and a higher than average risk quotient and am able to tackle deals most people can't. 

Do they tackle W2 income first, or passive income like dividends?

Any thoughts on a strategy to tackle this project in a reasonable and fair way?

A/c can be a very expensive thing here especially in older houses.These apartments wont rent for much probably around $300/month so I'm worried about paying for utilities and getting stuck with big electric bills.Looking for ideas/suggestions if others have tackled this problem.

No idea if you are all that handy or able to tackle big projects.Not having a cash buffer can be a real problem.

My business partner and I created Northstar Property Solutions , LLC earlier in 2012 and are tackling the real estate business full speed.

Still have a ways to go but what would be the best way to tackle this?

Now, I am currently stuck on ways to purchase my next property financially, therefore I am reaching out to my bigger pockets family to help assist of ways I can tackle this.