Thanks Chris,Someone had previously converted it into an enclosed porch, so the majority of the effort was demoing out the rickety walls and eliminating some of the previous landscaping.

Possible the commercial space could be converted into a 4th apartment.I will certainly check out all options of financing with my different lenders, including an FHA loan if applicable.As for the cash flow, I apologize for the incorrect use of terminology. 

The thing that I'm concerned about in regards to converting a garage into another bedroom is costs.

These same things exist in my area, and you'll have something like:house for 100k renting for $1khouse converted to triplex for $100k renting for $1500Now on the surface you'd say the triplex is a home run. 

Yes, you can convert a single family (1 unit) to a multi-family (max 4 units), according to FHA guidelines.

This is my first investment property and I plan to BRRRR it and convert the garage into an ADU / jr, ADU.

I do think that mid to large size B and C class office will struggle as we start to see office users move to shopping centers (Amazon is converting a former Sears at a mall here in my market) The C Users move to B and B to A and A to new build or shopping center conversions.

If thats not an option, maybe focus on properties where you can add some value (i.e. convert a 2 bed into a 3 bed house which could increase how much you can rent it for), find a good wholesaler who finds off-market deals, or look elsewhere.

Its already been converted to gas He Can get at least 1500 per unit.

The value is converting the current tenants who are all on a month-to-month lease into annual leases and filling current vacancies.