By the water is always more desirable but wanted to avoid losing my profits to potentially higher premiums. 

Darryl Lackey - if you want to invest in notes you will need to learn the game which if you ask people takes a year + to really get solidified in getting your systems in place.

You can also try using salt water on the vegetation, but this would kill everything it comes into contact with and I'm not sure that is the outcome you're looking for.

I know I'd need permits to add an additional driveway over the drainage ditch between the road and I've already contacted contractors and the county for water and septic information so my main concern is the separation of the land I want to keep using from the tenants. 

Learn to build relationships and systems and you can have the passive benefits and still keep the bulk of the money.

The land already has Electric, Water, Gas and a septic tank installed.The city has already blessed off on placing either a Commercial Building or a limit of 2 mobile homes on the property.In 2016 the Tax Estimate was valued at $24,000 due to improvements the renter has made to the property.I have a current renter who has been using the property for over 3 years wanting to buy the property and willing to sign a contract for $22,500 @ 10% for 12 years.

The last time the house sold was back in 2010 for ~144k. 3 family house in question has its issues(older home, older heating systems probably)  but I would like to own it as it would: 1. eliminate my driveway/snowplowing issues 2. add to rental portfolio 3 increase monthly income 4.

From what I'm finding, it appears most of the time the tenants cover all utilities (does this include water and garbage?)

As a new member to BiggerPockets I wanted to introduce myself and feel free to reach out to me if you are like me navigating these waters for the first time or are experienced and looking to understand a new market!

But she has the income to cover the rent, has a great co-signer and you have set up a buffer system with the double deposit.