@Archie Robb I went to the LADBS today and they said that's it's extremely  unlikely that I could add anymore units on this piece of land so you were right.

Because he's older and over qualified for the initial work he'd be doing, while he'd start as a regular employee, over time I'd want to give him a significant piece of the business so he'd be engaged and be a true 'partner' with me in helping me grow what I'm doing.

Flipping (except in very rare circumstances) is self employment income and, with strong income for the last 2 years, you'd have no problem qualifying.While it's true that some mortgage brokers can and will qualify you with capital gains income, the fact of the matter is that capital gains, by its very nature, is considered to be transitory and unreliable income.The underlying issue is that your taxes are not being filed correctly and, in the event of an audit, you'll be writing some pretty large checks, possibly with some "intentional disregard" penalties.My advice:  Amend your last three years of tax returns to show the income correctly.  

When I was looking for my first flip, I had a number of realtors just take out a piece of paper, write down 3 or 4 factors and say that's your profit.

I have been trying to figure this piece out for a long time now. 

piece, matters.Another angle I'd attack is this:Find some really cool building that you like ANYWHERE in the world.  

Mark keep in mind any property close to transportation is a valuable piece of property, especially in NewYork.

Instead of using ductwork to distribute cool air from a central source throughout the house, these systems use a separate piece of equipment in each room.

That REIT can then pay more for the same piece of land just through lower build cost.

BTW it's the exact same pieces of metal.