My goal now is to increase my cash flow and build from there.

We also increase certain risks.I hope this helps!

The lender will look at how the ground lease is constructed and the value of it with a tenant guarantee for the length of the payments.A ground lease with 25 years primary term and annual rental increases can be seen as more valuable then a ground lease of 25 years but 5 or 10 years primary then option periods.

If not redeemed in 7 months he has a 3 month extension with price increase of 1% per month , AND the transfer of a small amount of equity to us in his development projects, which include a profitable 280 space RV park and a 60 unit new Marriot Motel.Should he not redeem, we end up with ownership of the two tracts with appraised value of $7.4 million.I’ll let you know how it goes.

You actually need to allow them to renew but you are able to make reasonable changes to the lease when you do so, including increasing rent.

Limits rent increases for residential tenancies to one per year. 

Oregon state wide rent control law, first in the nation…discusshttps://www.housingwire.com/articles/48325-oregon-enacts-nations-first-statewide-rent-control-lawhttps://www.cbsnews.com/news/oregon-rent-control-law-puts-a-cap-on-massive-rent-increases/

And that is what we did was negotiate an increase in price if sold with the LLC.

This is a really bad practice & unfortunate & unless sophisticated & accredited investors like myself start demanding change it won’t happen.Ultimately before a subscription agreement is signed & funds sent in its up to the investor to do better due diligence & work to increase both their experience & deal flow!

Value with Garage To You = Market Value of Garage + Market Value of Smaller PropertyConverted Value To You = Market Value of Larger Property - Market Value of Garage - Cost to Convert Garage (including the time value of money)If converting does not increase the value of the property more than not doing it then there's your downside, too much time spent doing something not valuable.If it is still worth doing and if the comps call for covered parking, maybe you can add a nice carport cheaply in a way that doesn't cheapen the fresh new house.