Just curious... what’s your ultimate goal for that office space..are you looking to boost resale value, or is it more about having a functional retreat above the garage?

You can't even get an officer to a traffic accident anymore and how many domestic violence situations happen with little to no attention.  

Send a Lease Violation Notice immediately - by mail with proof of delivery required (cheap date through post office) and or affix the notice in a envelope with his name on it on the door of the unit. 

We live, office, and Property Manage in Queen Creek and love it!

Of course a visit to the county records office and -correct reading of the legal description would reveal that the tennis court lot was the one being sold.  

Then, just three weeks before closing, my largest commercial tenant—who brought in as much monthly revenue as all 25 mobile home tenants combined—announced they were moving to a location closer to their main office.

I'd talk to your zoning office and see. 3 bed 3.5 bath in 1500 sq ft is pushing it. we build super compact and have a layout thats 3 bed 2.5 bath 1 car attached garage in Columbus Ohio.

Financing might be a challenge.I would recommend consulting with a attorney, loan officer, and CPA to discuss your specific situation and determine the best course of action. 

You should find out what percentage of the rent is being paid by S8 and by the tenant.Tenants have to sign the rent increase and some won't because they don't want their payment portion increasing.It's also highly unlikely a S8 office will approve the huge increase from $797 to $1300.- BTW: the $1300 includes all utilities being paid by the landlord.

And, yes, there are years of data points to validate that just within my office, tens of thousands of dollars of wasted appraisal and inspection fees for deals (mostly not mine, thankfully) that had 0.00% of going anywhere but the "Loan Application Declined" bin.