Killeen and Harker Heights might as well be one big city as you really can't tell that you entered the next town unless you read the sign that says "welcome to...." 

@Andrew Y.It depends on your loan whether you are creating a portfolio loan for both  properties or two individual loans.Check other banks for better rates.  5 years is typical in my area and amortization is either 20 or 25 years.Check with the bank if you can roll it back into a new 5 year loan.  

A GC, or individual subs?

What makes a self-directed IRA custodian different is that they are not purely connected to the public exchanges and limited to investing in stocks, bonds and funds, but rather have the staff training and paperwork to document the IRA's investment in the more individualized transactions that occur when investing in real estate, notes and other non-traditional assets.

There were some other good points brought up here as why he may not want or be able to enter into a fiduciary relationship however his answer would make me scratch my head and based off what you know now ask him more about those things people here have brought up. 

My guess is that it is vacant ask if you have his permission to enter as long as you leave it secure when you are done. 

I lease the rooms individually to veterans.

Welcome @Derwin Smith-Bishop I think entering the game in MF is a great direction...there is a ton of content here and an opinion about everything, so don't lose sight of your focus.

If you pay $175 per foot and the economy enters a brutal recession, which, with Trump and the GOP, let's face it, it will, you might be "buying high" and forced to "sell low" My two cents.

Cap rate is a function of market risk and rarely will change on individual properties.