How you market and manage the property, including your own time and effort versus hiring property mangers, will have an impact on your vacation rental's financial performance.

Personally I can't stand the term PITCH.It just invokes in my mind a sleazy tactic to try to sell someone on something and talk them into doing it.I like the term "present you an opportunity" better.I think choice of words can have a bigger impact than people give them credit for. 

So yes, even though its still $4500 bucks, the fact that it represents such a low % of the overall value is going to make it a lot harder to determine the impact.

@Doreen ChaissonState dealer status does not impact whether UBTI applies.  

If your city has impact fees for new construction, you need to include those.You want to make $40-$50 per SF in profit. 

It'll have literally zero impact on you securing tenants.As fare as converting the two upper floors into residential, I would say this might be the better option given its a sleepy town, and most sleepy towns have a difficult time filling commercial vacancies. 

that may be a little more than what could be included for a good ROI on this project, I guess it'll depend on the remaining numbers as usual, though visually it would have a huge impact and the target market for this project would really be attracted to it. 

I think you have a very solid plan that will make a huge impact on your life.

The exit strategy will have a direct impact on the offer you make. 

I'm sure there are estate planning scenarios he has to account for and there are financial impacts for it as well - besides increased property taxes, what other financial implications are there?