There is no infra structure by the city. 

Problem is rents are up and their location is great so they stay anyway.3) Since the market has been so hot for so long many landlords I have run across have almost non-existent records and can get away with this4) Comps are harder because the structures and uses are so different not just block by block but within the same block and its not like most of that stuff is listed anywhere5) Because of the cost making a mistake in NYC on your first property or second property can be fatal (financially).All this is not to say the valuation principals are different they are not, more that I feel its just tougher to operate here. 

Practically speaking, that means that any safety issues (unsound structural items, unsafe wiring, etc.) and "broken" systems of the house (plumbing, heating, insulation, etc.) will need to be fixed.

We want to structure it right from the beginning so that we are able to find someone serious and can have them put out signs consistently each weekend.Any advice would be greatly appreciated.

See if he will split the difference, or if not, structure it so its $212k, he builds plus the 18% then have it be so the first X amount of dollars above land and his costs come back to you then split it 50/50 afterwards.

Some say no way waste of money, some say yes, always, never own real estate w/o it)My opinion is yes, it is always best to own real estate in an corporate structure and to get insurance to cover yourself from liability.  

Small structural issues that came up during inspection which had scared off previous buyers, allowing us to negotiate hard on the price.How did you finance this deal?

Ideally I would have this as "my" business so as to show my own income for financing purposes but without an income to show to get started, I'm wondering what the best way to structure finance is so I can begin showing the rental income as my income going forward.

Yes, structured as a syndication. 

If you think it's a solid opportunity, move forward with a full property inspection, and again, de-brief with your agent and firm up all associated repair costs before the inspection contingency expires...exit the deal if you need to, or stay the course.This is a joint effort lead entirely by your agent...very structured.