It depends if you need or want the money out or want an asset that will bring in income, especially since you own it cash.

Some good advice above- it really depends on their "need" for the cash.They could always turn it in to an investment property and eventually do a 1031, leaving a legacy for their kids some day. 

The tax treatment in such cases may vary depending on specific circumstances.

You'll create cash flow every month and then at the end you'll get another bump of $40,000 or more depending on your loan amortization schedule.With the 70k down payment buy a house from wholesaler with a hard money loan that is well below market value.

Quote from @Chris Seveney: @Charlene Kingsnorth have you had an sec attorney also review what you are doing as if you're are having multiple people as part of a loan participating in it depending on the state this could get you in hot water - so be careful  good point Chris some state allow fractionalized deed of Trust mortgages other do not or require PPM like documents prior to offering them..

It depends on the deal and the risk profile.

Now this depends on how much you want to raise, if its $1M yeah that can be done, if you go above $5M you are gonna need to spend money and I would assume someone starting out 10% of that amount to get there.

It depends on your lease terms.

For example college rentals generate some of the highest ROI of properties I come across in New Jersey but it depends on the school and location of property.

Short answer: Yes, laundromats can be profitable, but profitability depends on a few factors.