Most of the walls were crumbling, the floors were warped and broken.  

Aside the usual due diligence/screening and placement of tenants, payment of property taxes etc, what are other items I need to point out to him during our meeting?

The tenants have had that moved out moved out due to a car accident (going on disability),  moving to a larger house with girlfriend, moving to a safer area where the house won't get broken into, and losing their job and not being able to afford the house.

He had no tenant screening process no background checks and so on. 

PM or no PM, screening tenants is critical.

Also screening tenats in a duplex can have issues have you experienced those in the oakland home or has it been all good?

Upon further inquiry it turns out to be the daughter's new BF, who apparently has been given a key and stays with her on weekends and sometimes on weekdays.In my own lease I disallow guests to stay 7 consecutive days or longer so even if they are under my lease, which they are not, they haven't broken any rules because they could technically have a guest for 6 days then skip a day, then 6 days again and be in compliance?  

I can recommend using mysmartmove as part of the screening process.

Hopefully the labor and materials were broken out separate in the contract - If he's already purchased $25K in materials, have him give you the materials and receipts and reimburse him for the actual cost of the materials- So, basically, once he produces $25K in materials, give him $25K for those and then pro-rate the labor bid based on the amount of work he's already completed and give him that amount.

I will do that.Wayne, my main problem with them continuing to rent is I as a new landlord never screened them.