@Ron Kelley Find out what the policy is for tenant security deposits.

Diego, if you can, I would go see a Legal Aid attorney and see if they can help you recover your Security Deposit based on tenant/landlord law in your State.

I do have his full security deposit of $630 that was transferred to me from the previous owner.This is my first rodeo and I'm not sure how to proceed.

Be sure you get credit for the security deposit at/before you close.You're right on the lease.

This property is a stone throw from 10's of millions of dollars in new development.

Make sure the cash flow is secure with high quality tenants.Eliminate all personal debts.Secure your personal income streams (work / education / skill development) for yourself and your family.Leave yourself a cash emergency fund that can cover a year's worth of all personal and real estate expenses.These first few properties should be completely paid off.

Most administrators will dump RE converting to securities for better asset management

They want the anchor to give them the security to affect an area.

I've incurred some expenses with inspections, rental business license, some repair work done, and installed a security system. 

I just wanted to throw this out there as well.