Even though I have a good lease based off the Texas laws, some of the points that you guys have made will be incorporated into all of my leases and emphasized to the tenant during our in brief.

Like putting in a wheelchair ramp or grab bars in a shower.This is a good article that explains the difference:http://www.disabilityrightsca.org/pubs/548301.pdfPlease note the references to federal laws, even though it's an article that incorporates California law with the federal laws.And if you don't want to believe me, I really don't care.

You can set up more appropriate gathering spaces through landscape/design/providing lawn chairs/etc.But, really, it is very difficult to monitor and enforce guest policy, so learn to deal with it.  

When evaluating a property for purchase you incorporate the vacancy as an expense against the annual projected gross rent roll to offset erroneous income calculated by multiplying the monthly rents by 12.Hope this better answers your question.

Any lease / legal advise to incorporate?

I might incorporate that so that tenants will understand and it’s a matter of policy.

I partnered / collaborated / engaged / teamed /socialized / discussed / vetted /group thought, etc. in corporate world for 35 years. 

Bad debt are items that typically depreciate heavily in actual value you could later resale for but sometimes it doesn't matter.I have a massage chair that cost as much as a car.

Q2) Since this is our principal business, and we are an incorporated business, do I report 12,000 in income & 11,000 in expenses?

I will be posting the property soon through a website that specializes in corporate rentals.