Any investors in the Houston area with experience in building an addition for a home to increase square footage and add value?

What subject to invokes is entrepreneurial risk; the thing all real estate investors live with in an attempt to grow our assets, and gain a financial “free” lifestyle.  

Without a great next move option like I had before (eliminating debt), paying cap gains to get to a cash position is very expensive.

While I'm not a legal professional, here are some general considerations that might help guide your decision:If there are any legal problems pertaining to the property, an LLC might offer an additional degree of protection for your personal assets.

Additionally they might want owner finance with some down for the business, building, or BOTH. 

You certainly could but I'd be worried about using the property for personal benefit or gain before selling it to your own company as it could be problematic.

If the in-place rents generate don't generate enough cashflow to cover your debt service, you'll want to plan to bring additional equity to the deal to cover the shortfalls.

In addition, what will happen to the tax write off since both properties are paid off? 

This can help cover your mortgage and potentially generate additional income.Partnering: Look for potential partners who may be interested in real estate investment.

What's your thought on addition?