They would like to keep the timeshare as they are reaching a point where they want to take more frequent vacations and it would help cover the cost of those trips.

Hi @Tyler TomasAn appraiser can do a Subject To appraisal where they give you the AIV (As Is Value) and the ARV (After Repair Value).

To answer your question about raising rents it depends if it is subject to LA Rent Control or not. 

If you use rento-meter pull a pro report and look at the map of where the comps are and be cognisant of which neighborhood your subject property is in.

I would consider taking over a turnkey property there but wouldn't advise investing in a conversion unless you're going super luxury or simply want to enjoy the area yourself frequently.

Fully furnished has value but it is subjective.

Hello @Kenji Tominaga,Agreed with @Chris Seveney regarding having the owner offer cash for keys.Since there aren't many options on the market that can compare to the deal you have in place, I'd recommend waiting it out (if possible).Chances are, the value of the subject property will continue to increase while you wait for the tenant issue to be resolved.

@Nick Cortolillo Keep in mind that most DSTs are about 50-55% LTV or less.The answer to your question is somewhat subjective depending on personal preferences...The most important thing to keep in mind is that you'll need to match your debt and equity in order to execute a tax-free exchange. 

I, too, have worked with a very successful physician/investor, who formed an S-corp to hold all of his investments in the chance he was subject to a malpractice suit.  

With this person having a close relationship with WWC, seeing him at the office frequently, and knowing WWC lawyer that uses these Bare Trust Agreements.