@Joshua Dorkin is there any way to recover this information? 

Save this post, because if you think you can find and manage Class C tenants from OOS, there's a VERY high chance you will end up being penny-wise, but dollar-foolish.Hopefully, you'll be able to recover from your mistakes & losses and won't have to sell at a loss.

With my home now valued at $1.35 million, this could translate to $1 million.With the $1 million, I:Cancel the construction loan ($600,000)Get back initial land investment ($200,000)Reimburse the interest paid on the loan ($60,000)Plus,  I'll have an extra $140,000 .In essence, I not only recover my entire investment but I also put some money in my pocket.But the story doesn't end there.

Development is a speculative investment, and limited partners typically will want a much higher upside potential, so you might be better off starting a fund where you agree to share the profits with the investors even after they recover their initial investment. 

I need to recover these losses. 

This is new to me and I know NJ isn't the best state to be a landlord, so trying to figure out what my rights are.Secondary question - is it worth going through the small claims process to recover $7,000 from this person?

"Texas is one of the few states that allows parties to recover attorneys’ fees even if the contract itself does not contain an attorneys’ fees provision."

Will a refinance now recover $1,800 per year you pay in PMI?

I agree what others have said sweat equity it and do what you can hiring out only what you have to in order to take the shortest straightest line to cash flow coming in. by the time you sell this thing you will have 2-3 more payments out the door as well. its clear to me, they both hurt but the option to hold will recover...some day.so you either set yourself back for a couple years losing and paying on a property you dont own or a little every month on one you do that will eventually have upside, unfortunately if i was in your position i would look in the mirror and say made your bed- lie in it. 

Maybe your perception was different, but I remember the sense we had at Wacker Neuson going through rounds of layoffs, dealers defaulting, order cancelations and no sense when the construction equipment industry would recover, or if there would even be a full recovery - ever.. nobody had ever seen anything like it. 2008 was bad, I think Lehman Brothers collapsed in October, by 2009 we had to assume the equipment industry would never be the same.