But city governments, schools, public libraries and first responders could face major budget shortfalls."

Freddie Mac & Fannie Mae multifamily loans essentially offer low rate, high leverage, non-recourse permanent financing options that are backed by the full faith and credit of the United States government.

There are insurers, re-insurers, as well as government policy etc etc that go into rates. 

For example, if a state enacts a law that prohibits individuals from having boats on their property, the state would then enforce that restriction.If the restrictive covenant governs an entire condominium building or a subdivision, they are enforceable by one or all of the property owners in that community.

However, I like the idea of the guaranteed rental income from the government.

Over time, you're essentially shorting the American dollar, and with how both sides of the aisle run deficits, the printing machine isn't being turned off anytime soon.

. 😜2) Courtesy of your state government: A Practical Guide for Tenants & Landlords - Michigan Legislature

The money exchange between banks, that countries government and ours all will take a cut as well.

I contacted the government (province as they are in charge of this) to ask and was told that I didn't need to pay for the modifications. 

If it is a public road then complain to state, county, and local, governments, as the neighbor may be creating a purpresture.