In this case its board members were the original land holders and their kin, who ran it as if this land was still part of their family ranch and now we were their cattle.

., you have already received quality answers (@Dan Deppen and @Andy Mirza are experienced note investors, for sure), but I wanted to add a few points:- The main reasons notes are typically sold at discount have to do with risk (a promise to pay isn't really a true guarantee), time value of money (money today is worth more than the same amount in the future), and opportunity cost (what else could the note holder do with the money, as Andy alluded to). - You can read through my BP blog posts here.- If you scour this forum you will find answers to many of your questions. 

This is important to all Buy & Holder investors (aka landlords).

You should also be listed as an additional insured / certificate holder.

But the qualified intermediary sets up a holding entity called the Exchange Accommodating Title holder (eat) and holds title to the lot until the construction is complete and then your father sells up north and buys to finish his 1031.  

. :)  people tend to fall back into the same bad habits.and I think the boys and girls in that space will tell you that re performers have about a 50% chance of the note holder ending up owning the asset.. which can be  a disaster or it can be a good thing. 

The QI should have been able to create an EAT (exchange accommodating title holder) and with a bit of hurry made it work even though there is a lot of components to put in place - definitely an all hands on deck kind of thing.  

Also, if you are going to be a holder, this may explain some of the focus on 'BRRR'.  

While certainly possible, the number of people trying to "flip" or broker notes seems to be increasing as the number of notes available from "unaware" note holders seems to be declining.  

The tax lien holder collects any interest and penalties.