That doesn't seem like a good rental, so a rebuild and sell strategy seems more appropriate. 

How much do you guys think a full demo and rebuild would cost?

So active I had to evacuate the place and rebuild it again!

Bravo for pushing past that initial anxiety and taking the necessary steps to (re)build towards your dreams.Let me know if you’re thinking about investing locally in San Diego.

Now I need to scale quickly but dont have the years to rebuild if things go wrong.

“Raze, rebuild, repeat: why Japan knocks down its houses after 30 yearsUnlike in other countries, Japanese homes become valueless over time – but as the population shrinks, can its cities finally learn to slow down and refurb?”

You are not going to want to rebuild unless this area is highly desirable and has limited opportunity to purchase in.

Two examples, if you make money please send me a commission :)1) There are many old factories/industrial properties in rural America these days that you can pick up for way below the cost of rebuilding them.

BTW the rents on this place in a year could possibly rebuild both units.Here are the bad: 1) STR in San Diego are constantly under intense scrutiny. 

I had brought up the point that most places are going for 5-10% off asking, as well as I’m saving her the 6% she would be paying in agent fees since the awesome guys at Deacon-Hoover are handling my paperwork, but was only able to bring her down to $195,000 which she seems pretty firm at.My dilemma is I really like the place, I have a ton of tools and constantly flipping/rebuilding motorcycles, cars and jet skis so having a garage in the city is very crucial to me.