Second, that their money was invested in highly speculative start up business deals that the sponsors had no background or expertise in.  

I can only speculate but I suspect she either met someone she's moving in with, or decided she wants to move to a cheaper place, nicer place, or is buying a home.

This is one of the biggest reasons I don't invest in the stock market - when you buy a stock or SPY, you are speculating.  

So, just speculating here, if they bought a slew of notes with the expectation of flipping them within a few months for say a 10% profit, but they have a hypothecated loan against these for say 12%+, and are still holding them 12 months later are quickly underwater. 

The STR, if purely an appreciation play,  is speculation to me. 

Love or hate DR he exposes the reality of being a real estate speculator he was a house flipper who bought foreclosures. 

You did not specify the age of the property so it is purely speculation at this point. 

It is difficult to speculate all that you might run into.

As for speculation that this building would be leased by BiggerPockets - no that is not my intent, and I would feel it is a conflict of interest. 

@Alex ThomsenI agree with Jason that it’s an excessive deposit and with his speculation as to why.