Something like that would be a dream come true in certain locations of Austin, and it probably exists there (and has probably already been bought by an investor). 

In terms of pure RE like with any huge city space is at a premium so except a tiny living space but from my travels to Europe that is also true there (if not more so).

Maybe they will start to figure out their true worth in the situation. 

But it might still be true: "The hard part is finding buyers" (full stop).

And that's true in just about every other state as well.

Again, not saying you're wrong, but if this is true, I would think it should be easy to find the statutes or the case law. 

Then there was the expense of the repairs and a huge depreciation of value (who wants to own in a beautiful area if every other year it needs significant rebuilding?).

All of this is true.  

I'd be willing to get my RE license and even a Property Manager Permit (which is needed for NV) but is it true that I'd absolutely need to have a broker's license to even get this venture started?

I know it's counterintuitive but it's true.