@Keenan Rusk Having a long term outlook is smart but any strategy heavily dependent on hard money, raising ARVs or requiring some sort of refinance right now should definitely be scrutinized. 

@Josh Skyer, careful about raising her co-pay or rent upfront--that might skew out the Sec 8 formula. 

I know my cautions might seem to raise the alarm and I don't know all the details, but these are issues I've seen with properties before and every nightmare scenario you read about on here usually could've been avoided with some due diligence.You could try to get the seller to agree to a warranty that survives the transfer of ownership, but they probably won't be too keen on doing that.Another question: Is this property listed or off-market?

Small multifamily 2-4 units are a totally different animal than commercial multifamily 5+ units.2-4 unit multifamily are valued the same as single family homes whereas 5+ units are valued on NOI and cap rate.Small multifamily your value is based on comps but a 5+ unit you can significantly raise value by increasing income.

The more money a firm raises over a short period of time, the faster it needs to get it to "work".

Valuable strengths and skillsets are financial analysis and modeling and raising capital.

Should I as a landlord get a 25% bump in rent because the tenant got a 25% raise?

Unless you can raise the rent I don't see the value in this deal.

Perhaps, raising his percentage or cut higher at least throughout the construction phase or even long term. 

That is of course, unless they have record of an attempt to contact you with the information, in which case they could raise a dispute and successfully stick it to you.