While $500/mo is nothing to scoff at, the cost to convert would be $60k+ (or 10 years rent), and I would decrease the resale value by probably 25-30%, which in this neighborhood would mean over $150k in value LOST, by spending $60k.  

I am trying to avoid any unintended consequences . . . for example, may adding an ADU in a fairly upscale gated SFH community decrease the desirability of the house for prospective buyers when I am ready to sell? 

With the growth in equity and decreased principal we are now in the process of refinancing into a lower interest rate and conventional mortgage to remove this added expense.

Not sure if I can put a link in here so google it, Chicago controls.My concern is the heat that I pay for, They can set the ac to whatever they want.When we put these in shortly after acquisition- we significantly decreased our gas bill.

@Mikael WinklerYou can protest, and if you do, you are actually quite likely to get a very small decrease in your taxes. 

It decreases the value of their property.

Taxable income for each member may increase, decrease or stay the same.If there is a large increase in taxable income one year, you may want to consider having the partnership make a distribution of cash to help with the tax payment.

I'm concerned about the decreased demand this time of year leading to extended vacancy.  

Supply is greatly increasing, and occupancy will decrease as a result.

Next time, if our in-house staff is too busy, we will sub out more to decrease holding times.