The loans are fixed rate programs, and the additional renovation financing is included into the one loan.

In that case there's definitely more than just numbers that come into play.

My wife and I are under contract on a home we would like to turn into an MTR at some point close to downtown Mesa and the Mesa Arts Center, ~ 10 minutes from Banner Health.

Once you take down deals successfully utilizing your friends and family network as investors you will have  a track record and can use that success to propel yourself into new capital relationships, some even by referral if you do good by your initial investors. 

After securing the deal, the buyer made my wife and I go through three-feet deep of snow to "winterize" the house so there wouldn't be any plumbing issues.It was a 2 hour drive there, and a 2 hour drive back.So much time and effort put into it for only $4k...

It violated HOA rules for you to rent to a sex offender so the lease should not have been entered into in the first place.  

What is the process like for refinancing a hard money loan into a conventional loan? 

This can and should be a consideration if you’re looking into a STR.

They will also build a bridge across Sunset Hills Road, improving the walkability of the Town Center to the metro, and invest “several million dollars” into improving the main Fountain Square in the Town Center.

I factored the cost of that capital into my calculations from the start (working the numbers backwards from the ARV to the purchase price)(this also encouraged me to buy the properties at a lower cost).