In addition to the above, if there is a realtor fee paid by the tenant, that is skin in the game at the time of lease signing. 

These of course look great on the surface, but seem to have some things that can make them not so desirable such as very high HOA’s and requirements to use their PM’s and Cleaners.

I take it you did not spec the job out in writing and may have just said, re-tile my bathroom and etc... leaving a lot open to interpretation by the workman.I take it you did not inspect the work on a regular basis as it was being completed.Tile over tile is sometimes done--but in this instance, the installer is obviously not well enough skilled to pull it off.And the black grouting looks like the worst grouting job I've ever seen.You can rent a jackhammer from many Home Depots, and bring that wall down to scratch plaster, or whatever is behind it.A cup of coffee and a Saturday morning would probably get it done, then it's just a sweep up job.There are companies that specialize in redoing bathrooms, they will have pics of their work and if you pick an established one with a good track record, the workers they send over might do a good job.With the water lines going out and back into the building, and the electrical switch (non-code complaint outlet as no little doors over the holes, and wiring appears to be outside a metal (non-UL looking) (possibly homemade) surface box and plastered over).

It was my intention to leverage this capital as skin in the deal when a worthwhile opportunity arose and still do, but do you think it could be worth it to invest as an LP on another group’s deal FIRST (I have one in mind) to be able to have a hands on approach of the aspects of investor relations, structure, analytics, presentation, and how to handle that effectively, etc.?

I am super eager and excited to get started but have a pretty surface level amount of knowledge when it comes to flips. 

Not to mention, testing the waters to see what other potential tenants may surface could mean you lose out on the great candidate you have now.

There are a few ways to skin the cat.  1 is a prepayment of rent (not 1031 eligible). 

So despite the fact this seems dishonest at the surface, I don't believe it's breaking any rules.

On the surface, it seems as if they'd be difficult-to-close, time-consuming and possibly expensive transactions.  

The slab had a level surface which resulted in a quick and easy installation.