You let them deal with the headache of paying to convert the space to accommodate their business needs.  

There is certainly a difference between age groups though as far as which generations typically go for which type of accommodations...yes.But like I said, I think you bring up good points and it's all the more that someone looking into hotels should investigate in regards to the area they are thinking of investing in.

Now, if the deal came to you through her you might accommodate her in all fairness, I'm not saying screw her out of her pay, but she has no interest in the RE other than it being a source of funds to pay her.

The point is there's more than enough room in the market to accommodate all of the developers/investors who which to do business.

The fear there in that is that I will eventually have to downgrade my accommodations as rents rise into the $3k+ range, whereas if I buy I don't have to worry about rising rents.

The no. of beds my property can accommodate is no more than 8 beds.

@Max McGuirkA single property management company would be able to accommodate.

Second question I have is weather the utilities run to the property are large enough to accommodate your intended use. 

We still have little to no inventory to accommodate this huge demand that we are seeing. , I would love to discuss more it and have different points of view. 

(They weren't.)My city is very accommodating, and just required me to bring the unpermitted addition up to code, which was fairly easy because it was built correctly, minus permits.Check with the city as to what their procedure is for unpermitted additions.