Assuming all the qualitative factors that went into your purchase are still there for this property, the vacancies strike me as a positive head start on stabilization.

Because of extensive financials you need to properly underwrite a deal, I have found that developing relationships with the top brokers in your market(s) is a better investment of time/resources than talking with wholesalers..

Are the lots in the platted neighborhood owned by a developer or by individuals?

I suppose I should've mentioned my "why" factor.

Looking to purchase my first investment property in Baltimore City and would like to develop some contacts.

@Alexander Felice I agree there are more factors to consider.

Also on whether to retain the tenant or get a new one, it's almost always in your best interest to retain a tenant once you factor in loss of income b/c of vacancy period and then construction period for new tenant), legal fees, broker fees, etc. 

From what I know, the common process of financing in the real estate development is like this:https://cdn.corporatefinanceinstitute.com/assets/p...But what if a junior developer who has less job experience in this field than any others and is trying to develop a huge scale of townhouses?

I plan on doing the following: 1.PM will pay 50% of standard rent but will identify duties he has to do for 50%. 2.Develop Property Manager Agreement for emergency and routine repairs and come to terms on compensation.

Honestly it depends on several factors.