However, I also know that a higher basic nightly fee could be harmful from a competitive perspective.Any thoughts on the best way to do this?

It didn't occur to me that my lender would have restrictions. 

These will be treated as separate qualifying and non-qualifying interests.The Preamble to the regulations make it clear that the election to step-up the basis to fair market value is only allowed for the portion of the investment made up to the amount of prior gain AND where a proper deferral election has been made.Since QO Zone Designations are only good until 2028, how does this impact the elimination of gain which occurs upon holding the investment for 10 years.There is no statutory language, as a condition to making the basis step-up election, that he QO Zone continue to have such designation at the time of sale.

I am not an attorney or an accountant, but I believe forming an LLC is pretty much a 'do no harm' venture, and as far as getting taxed as an S-Corp, definitely talk with SEVERAL accountants to get their opinions.

He started to tell me about "hidden" concessions that can sometimes be missed.We are all familiar with front-loaded concessions to get a tenant to sign the dotted line to come live at our property.However, we don't always think about the back-end concessions that could occur and do occur.This is where a tenant is told that instead of being provided 1 month free up front, that they will get 2 months free at the end of their lease...or whatever the concession may be.Sellers will sometimes use this tactic to get their property leased up prior to sale to up the NOI and you don't find out about this until you close on the deal...months down the road.Then when those concessions come due....you are stuck with much lower cash flows than originally expected.The best way to protect against these types of hidden concessions is to perform your proper due diligence including a very thorough lease audit. 

Nope, the sale occurred in June....that is what sets the date, and the amount and type of gain.It’s different than the sale of property though owner financing because the seller met the requirements for long term cap gains At The Time Of The Sale.  

The first closing occurs with funds the buyer brings to closing.

You should not worry about hyperinflation, chance of it occur in the US is near zero. 

Locking something in contract is never a bad idea assuming you think you DO want to buy it and think it is a good deal, you just need to be pretty sure you are going to be able to close or have outs and are not going to harm the seller (i.e. have a conscience about it.) 

When you are local, in a sense you have leverage and a 'fall back' for situations that inevitably occur where you have 'boots on the ground' that don't come through.