But you can find ways to minimize the amount of contact you have to have with them when they start to become too big a headache."

As a former attorney, you know there are restrictions that apply to marketing for attorneys engaged in other businesses, however, there is a decent amount organic growth that would occur. 

The property manager has told me they're working to fix all the issues.

The market doesn’t support the amount of money needed to do the renovations.

For extra formality, put it on a nice document with your letterhead.Re: Non-Binding Letter of Intent to Purchase Real Property Located at [Property Address]Dear [Recipient's Name]:This non-binding Letter of Intent ("LOI") is submitted by [Your Name] (the "Buyer") to [Recipient's Name] (the "Seller") with the intention of setting forth certain preliminary terms and conditions for the proposed acquisition of the real property located at [Property Address], inclusive of all improvements, appurtenances, and fixtures thereon (the "Property").Purchase PriceThe Buyer hereby proposes to purchase the Property for a total consideration of $[Amount] (the "Purchase Price"), which shall be subject to adjustment based on the results of the due diligence investigations and final negotiations.Earnest Money DepositContingent upon the execution of a definitive Purchase and Sale Agreement (the "PSA"), the Buyer shall deposit earnest money in the amount of $[Amount] (the "Earnest Money") into an escrow account designated by the mutual agreement of the parties.

Whats not to do with 12 million is the real question, I'd say start with 1 fix and flip and see if that's to your liking.I would get into a house in the 700k with Hardmoney preferably an ARV 950-1m Also I would look into out of state section 8 properties that you can utilize the BRRR strategy.

If he did, it would be interesting to know what that amount was.

There is a piece of legislation on the November ballot for San Francisco (not sure if it'll be for the whole state) that says that even if a tenant leaves voluntarily, you will be required to market the rental for the same amount that you were previously renting for and will not be able to ask for market rents. 

Depending on the amount that is offset it could be beneficial even if the property has a low cash flow. 

I have seen plenty of huds on properties I funded for fix and flippers were commissions were that high or higher and lets not talk about wholesalers who might charge 100% if they can get awaay with it.. difference is they dont disclose the brokers disclose to their sellers..