Maybe your unit offers more privacy/fenced in back yard which is perfect for a family with young kids who can play outside without worry.

More privacy overall and less people breathing down their necks about pretty much everything.

I didn't realize that the forums would show my full name..You can actually do that yourself by hovering over your profile picture in the upper right corner, go to Privacy, and then select the following Privacy Settings:

For privacy reasons I'm not going to disclose who that was.  

Upgrades that help keep long-term tenants, in my experience: decent counters & cabinets, a fenced-in yard (privacy with landscaping a bonus), off-street parking, flat outdoor entertainment space (deck, patio, etc), low utility bills, central heat & air, dishwasher, no carpeting (hardwood or laminate floors), main floor washer/dryer hookup, good storage (clean dry basement/attic, storage shed, etc) .

Below is the items that need fixed.The roof has some shingles that need replaced.The privacy fence is missing for a about 12'.It needs interior paint all around and around the exterior window panes.The kitchen has to be completly redone.

I want to know if this is possible to do and is a  breach of privacy if the house is noted on the lease that landlord lives there as well. 

I had envisioned putting a closet in the smallest bedroom, and walling off the living room door to the second bedroom and to create more privacy, but I was also given the idea of turning it into a library type study room.

In the state of Illinois your property should be owned by a Land Trust to achieve privacy and when the time comes to avoid probate. 

They would not tell me why they denied our contractor due to 'privacy reasons' and would not tell me the eligibility requirements either of a contractor so I couldn't even do a preliminary filtering.