Personally, I would keep the property but I don't know your situation and if you could better use the money elsewhere.

Perhaps check with a local attorney before proceeding.I realise I left some stuff out in the beginning, but the whole situation in general is just pretty wild.

last thing I would consider for this type of situation would be how are the neighbors?

Its situated along the Colorado River if I recall. 

When speaking with them, demonstrate genuine interest in their situation and goals.

Rent-controlled places can still be good investments, but it’s all about playing the long game.What’s the situation with the rents?

Quote from @Tiffany Henning: I am in the same situation but ultimately will most likely go with Seth Williams because it is not necessarily a money-making funnel for him but more his heart to help. 

There are several books out there that are centered around your situation (rental property investing) ... 

Option 2 is high risk, as financing may be tough on your situation.

So the question becomes based on their individual and personal tax situation what is the estimated tax burden they'd save?