Frankly what you have described is a cherry deal for an operator and a crap deal for a buyer with those kind of lease terms.There are many other properties to choose from.

And a few other cities.

I was new, and probably would have accepted just about any terms.Now that I have a decent size portfolio, and a little more experience, I want to see what others are getting, or ways of not getting, PrePayment Penalties. 

I spoke with the seller's agent today and he wants a NDA and/or Non-Compete agreement before he tells me the address so I can look at it.

The University area is very good to invest in with decent returns and a safe bet

), there still will be opportunities created by home owners with small equity and a destroyed houses that will want to walk away.

Take him the 2500 in cash and a release form and lay it out.

I found an article dated 10 years ago with their names and a detail of the crime committed. 

Our tenants also each have a "laundry alcove" with  washer and dryer hookups and a scissor gate.

I find that providing a good product, with quick service when a maintenance request comes in and a sense of respect really goes far with these type of people. 20-30% cap rates with low stress are possible in these areas.