We walked a house one time that had alternating piles of dog, cat and human feces all over the floors.

If managing the STR is no longer sustainable @Robbie Shiver, here are a few alternative options to explore:Mid-Term Rentals: Consider marketing to travel nurses or corporate relocations for stays of 1-6 months.

As an alternative, would a cash-out refinance, a home equity loan, or a HELOC make sense for you?

I would not invest in real estate with a retirement account.Its too much of a headache and likely not that much better as an investment alternative within a retirement account1) Real Estate provides tax benefits for individuals who own them.

Things have to go really bad from here, as I see it, for the office to underperform alternatives in the next few years, from a cash flow perspective. 

Therefore, I have a hard time committing to a house hack which contributes greatly to my problem of raising capital for a conventional mortgage with a 20%+ down payment instead of alternatives such as an FHA. 

Alternative options include offering a significant down payment, a lease-option agreement, a joint venture, or a deferred closing to align with John's timeline.

Because your alternative is zero income.

. ;-)  While I wait for delayed communication from them, I am looking for alternate management in the Canton area. 

If this isn't an attractive alternative to your business partner then you might consider changing the ownership structure or operating agreement as one of your options.