Having $3MM of dry powder during a potential downturn is EXACTLY where I'd want to be, not invested in a property that is simply treading water, especially in a more expensive market.I am of course assuming a downturn, but there is no denying that even very active money (i.e. more time available to spend on adding value) is having a difficult time finding quality deals today. 

I've already given drug screens to 5 people going there for work. 

I would be sure to screen my tenants as usual, but i would then be able to sleep at night. 

There are a lot of vacant houses and the quality of tenants is often low or nonexistent on this particular block.

Also ensure you screen your tenants well... there are many programs on the market that will help screen, but I find social media is a great place to start.  

Have you considered assessing your portfolio to determine which ones are the highest maintenance headache (or time-consuming tenant, neighborhood tenant quality) or which ones have appreciated notably over your original purchase (sometimes they are both and the same) and might want to consider selling while the market is in a relatively good place?

The time and effort involved with screening and background checks seems difficult to handle so far away.   

The desire is to repair this unit to a higher level and desirability than the neighbors so that I can select the highest quality longer-term tenant.

Lenders are typically more conservative here than in 90% of SE markets because of the combination of a low-income tenant base with minimal, quality jobs and the high military concentration in the sub-market. 

I would screen everyone including the new tenant don't take the tenant unless YOU think it is a good one.