I have conservatively valued and suggested a sale price of $160K-$165K based on increased values the past 3 years coupled with the challenging location and current condition.One of the neighboring businesses is interested and threw out the possibility of seller financing.

This interior change forced us to consider the short term rental market and how it could actually be a desirable feature for this market where a group may be interested in renting both sides like adjoining hotel rooms.Our total cash into the renovations was extensive ($95,000). 

There's a 3/1 ranch for $25k located 23 miles outside of my city.

So the too big house method puts you in a good location, increases your choices of where to buy, and potentially has higher rental income and appreciation.

Where I currently need help is locating a lender with experience with this type of loan.

Please note that I am located out-of-state from this property and the kitchen hasn't been updated since the '70s (small galley kitchen FYI)Thank you in advance for your advice.

My biggest issue is location.

Not sure where you are located but your probably looking at least a couple hundred bucks to have this custom made for you.

We are located in Miami and would like to establish long term business relationship with a local CPA.

If it is not a location where you would want to walk through, it is probably not a good idea to buy there.