What would a deal structure look like when the market is bearing small cap rates, but high appreciation? 

So, you will need to run the comparable market analysis of similar 4-plexes of similar size, unit mix, and nearby comparable neighborhoods, and what they sold for to determine fair market value ... and then you can determine if $175k is a good deal on the property or not ... the cashflow analysis that you have started to put together is also important as it will affect your returns, but it has absolutely no bearing on the fair market value for this residential property.You also want to consider the quality of the tenant base in that neighborhood and the long term historic average rates of appreciation and rent increases ... those are likely not that stellar if 4-plexes are selling for $175k (~$60k/unit); as a matter of fact that is likely way below replacement value meaning that the neighborhood actually has negative appreciation rates.

This is one of my first posts so bear with me...I currently live in Newport Beach, CA but am relocating back to Charlotte, NC here shortly in the next ~ 2 months for various reasons.

Should we just grin and bear it and live IN our renovations?

One of the things to be certain you address is contamination of soil and water. 

Removal of non-load bearing wall."

They'll be able to steer you through the process.My question would be are you paying cash?

Load Bearing Walls - These are NOT cheap to remove and reinforce.  

The fact that it is bad timing for you is irrelevant in this discussion, vacations and personal matters have no bearing on the lease agreement.They are obligated to continue the lease. 

—In all criminal cases, contempt cases, and other cases filed pursuant to this chapter, if a party has sold, leased, or let real estate, the title to which was not in the party when it was offered for sale, lease, or letting, or such party has maintained an office bearing signs that real estate is for sale, lease, or rental thereat, or has advertised real estate for sale, lease, or rental, generally, or describing property, the title to which was not in such party at the time, it shall be a presumption that such party was acting or attempting to act as a real estate broker, and the burden of proof shall be upon him or her to show that he or she was not acting or attempting to act as a broker or sales associate.