His lease with them states they can make improvements and remove them after their tenancy only IF they restore the property to the condition in which it was received, which is not currently happening.  

If air was there on move in restoring it to working would not fall under habitability but under language related to keeping the unit in the same condition as it was when rented.

I was thinking if you call some of the fire restoration guys in the area they might tell you which ins co. are better at paying out well with claims.   

We have a renter who is interested in grabbing the space for car restoration.I was told I need liability if they are doing restoration of any kind.

(NOTE: I own and operate a small general contracting and restoration company which is very demanding on my time).

If you want to take 10% of your money to live on and reinvest the rest, or you want to take 90% of your money and invest the rest, it is up to you.

I am strongly consideration going the route of purchasing distressed and/or vacant properties (commercial, factory, warehouse, multi-family, etc.) for development in an effort to restore neighborhoods. 

This will increase your current mid 3% rates into higher 4% rates so we'd have to do the math on it to see if by restoring your VA entitlement it will be worth the extra "premium," paid in rate and closing costs to refinance are worth it.

Well...I started investing in fire damages after being in the fire restoration industry and that was over 10 years ago

If you keep massaging the ideas the right path will show itself.