Check with the city or county planning and zoning department to get an idea if your concept will work, if you can build what you would like to build and what is required for all approvals including site plan, building permits, proffers, water/sewer tap fees, bonding requirements, inspections, setbacks, lot coverages, parking requirements, height restrictions, C/O process and time frame for all approvals.You also need to check with the utility companies and get an idea of availability and cost estimates from them for water, sewer, power, gas, cable, installation and connection requirements, tap fees, hookup charges, transformer location and relocation, power line and power pole relocation issues.

Often, the party pushing for this will need to get friendly by offering to foot the bill (or supplement) for common area upgrades. 

From what I read box 3 links to Schedule C (Business income) instead of Schedule F (Supplemental income), if I group them together is it going to throw up a red flag for the IRS?

If you do that and have a decent debt service coverage ratio going in, you'll withstand market fluctuations and build up equity quick also.

Some common metrics investors look at are cash flow, cash on cash returns, cap rates, annualized returns, internal rate of returns (IRR), equity multiples, debt service coverage ratios, the 1% (2%) rule, and the 50% rule. 

I haven't heard of this except before the market crashed in 08.Shawna,Sorry I missed this one and didn't reply in a timely manner.A DSCR loan (debt service coverage ratio) is a very popular alternative to conventional financing. 

If you have “Replacement Cost”(RC) coverage on the Building, the company will not pay the full amount until you rebuild.  

@Mike Shemp Check with your insurance agent and let them know you have a fire pit just to make sure your coverage will handle that.  

You care about the cash on cash return, they’ll care about the debt service coverage ratio (DSCR).

It’s different than umbrella just on your vehicle though... you list every asset that brings the risk, car, boat, property, etc and they price their risk accordingly - but it’s all risk coverage generally speaking.