Hopefully he found that out before attempting it a few years ago.There is a way to accomplish what you're wanting to do but it's a little more complicated than buying the property and then subdividing it and 1031ing into the part of the property you are keeping.The problem is that you cannot take title to your replacement property before you close the sale of the old property. 

The operating agreement (which must be a custom agreement - no getting around that) for the master LLC states that the management entity of the master will also be the management entity of each series, unless otherwise noted in the individual series agreement (which must also be customized at least once).The members of each series consist of one or more of the following:The investor(s) funding this particular series, andThe person(s) providing rehab/remodel labor to this series, andThe person(s) providing administrative functions (management - already covered)In addition, there are so many other provisions to be worked out that it isn't even funny, nor can someone attempt this on their own.  

I am wondering if this property can even be considered, and how I could go about attempting to have the 1st  floor rezoned as residential.

I have made several attempts at locating private money for these deals but have been unsuccessful.

This bankruptcy was due to a business failure from 2007 but an attorney was hounding me over payments and was attempting to garnish my wages, so I finally filed.

I messed up my tub 3 times till I got it right each time I did not fail I found a way not to do it the next attempt.

I believe there is merit to paying off all our credit cards and getting a nicer vehicle and honestly I don't see anything wrong with her body but she has put up with all of my **** for the last 10 years so at this point if it makes her happy thats fine.

Nor the smell of the incinerated thousands of bodies (RIP) that lingered for weeks upon weeks around pretty much all the 5 boros & NJ.

But I will attempt to and also provide my own attempt  as I have considered a similar scenario.So here is what I understood from the first part.

If you attempt to sell that home to an occupant you'll be afoul of Dodd Frank that selling of mobile homes to occupants was now a licensed activity.