I have run into this numerous times in Burbank.  

Be sure to make LLC and legal docs with a lawyer before doing business with family, everything must be in writing just like with a stranger to help ensure family harmony...Maybe you should rehab and flip the house and buy something more urban to rent that is more likely to cash flow? 

A quick read of the meeting documents suggests owners can have two short term rentals outside of an urban center (essentially downtown and the U District) and no limits on units in urban centers.

Here is a previous discussion on the topic, that touches upon two strategies, while there are certainly numerous others. https://www.biggerpockets.com/forums/48/topics/443...All the best!

While I can't necessarily argue the numbers (given I presume they are facts), my experience as a property manager tells me that I can still rent units at top of the market rents in under 1 month, and often on 2 year leases (in urban areas).

My name is David Krenz, I moved to Los Angeles three years ago from Nashville, TN and worked in the Coldwell Banker Beverly Hills office with numerous multi-million-dollar transactions in the Westside of LA including Beverly Hills, The Bird Streets, West Hollywood.

Rates and fees are higher than conventional, but if that's not available, then portfolio is the next best thing.There are numerous scenarios that may fit your situation (30 year fixed, ARM, HELOC). 

I have had numerous clients who were swindled out of hundreds of thousands of dollars by investing overseas. 

@Charanjit Singh if this is an off market deal that you have control of and the seller is motivated and the area is urban, negotiate with the owner to drop the price so you can cover the cost of converting to gas with 3 meters.

There are numerous reason why a developer would not want to touch it, from it not being profitable to just wanting to hold it for a year and hopefully sell at a higher price.