I would bet that the cost of the land is contributing to the $4M cost - although that does still seem high.. but I'm not super familiar with Truckee market. 

If not, I’d bet there was no partnership return.Assuming a 50/50 split, you should take half of all income, expenses and profit and report that on your return.

I would bet your money is gone and the agreement to invest was fake.

I bet they are getting a barrage of leads right now with many motivated sellers looking to sell their homes to anyone.

Denver definitely is a commuting city, but the surrounding areas also have their own business hubs so lots of them are a good bet.

Then I would say that the main challenge for you will be finding trustworthy, experienced operators who are going to give you repeat business and who have a track record of successful project executions. 

Many thanks in advance,Victor Talking with my friends contractors in the area... some of this contractor offered very low price for their projects betting to build many units and market changed and they simply started to file bankruptcy... when comparing cost it's common you will find higher costs ... been in this market last few years, houses will start to move again in the next months in a normal cycle (not pandemic cycle) , if you're goal is getting long term rental in place for delay gratification...

Does anyone know of a trustworthy handyman that is priced reasonably and does a good job?

By embracing realistic pricing strategies, brokers can better serve their clients and contribute to a more stable and trustworthy real estate market. 

DSCR mixed use would probably be your best bet and give you the best pricing!