Quote from @Mark Sullivan: Quote from @Tim Delaney: One missing piece of info here is how much cash you have available to invest at the moment.My initial thought was sell LLC B and hopefully you have a few hundred thousand available on top of that to buy the new building.

We develop, build, and manage Class B multifamily projects in rural southeast US—12-200 properties in places like rural Georgia or Alabama.

I know a lender that can help with both states that does investment lending for very cheap, it would be worth a connection as you look to build out your team no matter what you decide.

The liability coverage is way better, the building coverage is often better, and commercial policies typically cover loss of business income as well, which a homeowners policy isn't going to help you with.California + wildfire area + STR is super tough. 

At the end of the day; you need more money to do something like this.MAX LTV on new builds is 80% LTC, Meaning if the build is $550,000 and Land is XAdd ($550,000 + x ) * .8 = LOAN AMOUNTYou would need to come in with MINIMUM 20% of the cost in addition to closing costs and reserves, $80,000 is not going to cut it for this project.

Painting was going to be about 8k, and the building still would've looked like junk afterwards because aluminum siding dents so easily. 

In addition to STR'ing the main house, he is building 2 more units (ADUs) on the back side of the property.

I thought you were building to sell.

Here is a link to all 3 forms you will need: https://www.biggerpockets.com/files/user/ventekrealty/wholesaler-documentsIDEALLY, BUILD A CASH BUYER’S LISTIt’s always best to build a cash buyer’s list BEFORE you start putting properties under contract.

(Insert some sincere rapport-building compliments or questions here - about their yard or dog or whatever.)