So your capital gain when you sell this property will be calculate against your tax basis and not against your mortgage as many investors expect.

I completely agree that luxury rentals need to offer more than just aesthetic appeal; they need to resonate with tenant expectations and justify the premium rents.

If you're not putting anything in, then I'd expect that your friend would want to get all of their capital back before you start splitting up the distributions.

I reached out to the individual marketing the deal to schedule a property viewing, but they’re asking for proof of funds (which I expected) and a signed purchase agreement or LOI.Is this normal?

As a business, a judge will expect YOU to know all the laws and legal procedures.Make a minor mistake and the judge is unlikely to give you a break and may rule in the tenant's favor.The judge will see the tenant as a consumer and may give them a lot of leeway in court, even give them borderline legal advice.You are in over your head, not having the knowledge to properly handle this.

I would imagine that the hotel marks up their rates to use airbnb a little to offset their service fees, so the net is pretty close to what you would expect.

The result was that a few maps had the lots reversed - in actuality A1 was the tennis court lot and A2 was the house, although intuitively one would expect the opposite.  

When under contract at 300k with the expectation that codes would be the determining factor on what can be done on with the property, as it relates to new construction.

I expect my cash on cash return to be over 90%.

When under contract at 300k with the expectation that codes would be the determining factor on what can be done on with the property, as it relates to new construction.