And for the record there is a HUGE difference in the amount of odor in a unit from 3rd hand smoke which is what carries in in your person when you smoke like clothes smell and breathe smell vs the smell you get when there’s actually smoking in the unit.

One thing I do want to mention is that this property solidly fits into the 1% and 2% rule, I’m wondering what kind of return someone is getting in California for the same money.

Honestly, I don't think there's a one size fits all or a right or wrong way to invest in real estate.

Yea problem is the cost to retro-fit these buildings into something usefully is usually more than starting new.

Some of the best tenants I have had did not fit all the rules of thumb.Best of luck.

Plus for Bay area folks the fact that you can scoot over and meet them in person is a plus.Good company  and if anyone can make it work in todays market its them .. in my opinion and again I am an investor so take that with a grain of salt..Go meet with them.. do your due diligence and if you think its a fit jump aboard.

The worst tenant I ever rented to fit this concern exactly. 

If the investment isn’t a fit for you, don’t do it.

So most agents are only putting about half of that $12k in their pocket, and out of that $6k they have to cover all of their operating expenses: licensing fees, MLS/ Realtor Association fees, continuing education classes to stay compliant with licensing requirements, monthly "desk" fees/ technology fees to their brokerage, health insurance for themselves and their family, errors and omissions insurance (required), marketing, car, car insurance, gas, clothes, computer/ software, cell phone, closing gifts, signs, photography, staging if they offer that, etc.

At the end of the day, it wasn't the right fit.