im in Orange County CA and there is a huge market here for room by room rentals here. i've been doing this for quite some time (over a decade now), and it certainly has its pro's and cons. my advice if you go about this is make sure you do proper vetting before moving someone in... not only for financials/ credit-worthiness, but also for temperament and expectations in a co-living space. we ask a lot of questions like "how do you handle conflict?"

Big potential downside- both a selling and buying agent are involved here and I believe they're expecting their 3% each. 

Quote from @Evan Polaski: @Chris Seveney, I hadn't looked at any details on this offering into now.Things to consider from their own marketing:Operating partner has done all of 10 flips.Their entry price point is a price that I would expect any truly experienced flipper to be able to take down very easily on their ownTheir historic IRR, while high by MF standards, is average, at best, from my experience with flips, and it is unknown if this is net to LP returns.I have flipped homes myself, so am not their target investor.  

This project I expect to have fully complete renovation wise in 2 months and am coordinating alongside my full-time PM support. :)

Quote from @Paul Azad: SUPPLY "About 2.6 million Baby Boomers die each year, but that number is expected to increase to nearly 4 million by 2037."

What returns can investors expect?

The rental market is expected to stay flat or soft through 2025, then is estimated to start appreciating again once the new supply of multifamily housing reaches traditional occupancy levels.

Would give you a good idea as to what to expect.

Inspect what you expect.

If they do, you may have a chance under the scenario you're proposing - if they share your concern for it's condition (although that seems unlikely since they've been living with it the way it is for some time, it seems).If you own it, it's pretty lowbrow to expect a neighbor to invest in your property.