As an apples-to-apples comp with it's existing use, you could say I paid too much at the time, but I saw the untapped potential and massive buildable equity.

They had to cut approximately 25 feet of concrete to tie the new lines into the existing sewer and it was less than $5,000.

And obviously you would need to ensure that the land is graded appropriately for either and a foundation exists for the pre-fab units.Good luck!

@Patrick Thomas Dickinson, some lenders will also take into account the existing income from the tenants.

It is incredible how many Tech start ups get started in a year and/or the growth on existing tech companies that few people have ever heard of.  

Did you build your own or buy existing ones?

Mitigating those typically comes with experience.I have investors invest with me passively as a syndicate but these are dark buildings already existing and easier to turn around than ground up developments.Right now it's hard to build one off spec projects.

Does anything work in our favor by the fact that these issues existed prior to purchase or that the specific issues raised were unknown to us?

dive deeper, crunch the real numbers to see what the true financials are.I.E - I'm in the Portland, OR market and the 1% is non-existent here!

Working on a short term rental permit in Yucca Valley, CA and noticed that permits exist for hot tubs.