As an appraiser, I am merely trying to see the market reflections of what a buyer would most likely pay for a property.

All depends on the area and goals.In a B-A class where rents are under market and condition is not great, I would prefer vacant, renovate, and rent outlate payments, under renovated, etc are to be expected in C-D class.

Off market How did you finance this deal?

I'm assuming these organizations would pay far below market value for land, but there are obviously also some significant tax benefits that may potentially offset the "lower-than-market" valuation you may receive when selling to them. 

I got this project off market from a connection of mine (I'm a realtor/investor).

But plenty of investors have built their portfolio in similar markets.

Keep an eye on the market, maintain good tenant relations, and consider diversifying for future investments.

Market dependent, section 8 can pay more per month than a cash paying tenant.

Is your rent quite a bit below market?

@Adrian Lammersdorf-Scioll you can use a standard LTR lease, you just need to add an Inventory Checklist to it.