You may have 112K in equity, but you should also account for closing costs when you sell the property.

As far as pricing out a build I would put a call out to a home builder in your area and chat with them about average cost per sq ft to build in your area to give yourself an idea.

The cost of entry is low, and cash flow is high.

When you work in partnership with the city you can see if they have economic grants, TIFs, etc. to help offset the remodel costs to both the commercial space and the residential.

But Generally, most lenders will want to see that the lease or market rent can support the mortgage payment, the borrower does not intent to live in the property, the borrower has 20% down + closing costs, 6 months reserves, and credit is above 620. 

It doesn't cost anything extra, laws may be different where you are.

- we have a separate business bank account that we could receive payments from - we have tracked all renovation costs and expenses, though they were done personally and not through the business

- we have a separate business bank account that we could receive payments from - we have tracked all renovation costs and expenses, though they were done personally and not through the business

Saving money/cutting costs on those things will require much more wear/tear/maintenance/replacement, and cost so much more in the long run. 

Im sure it wouldn't be as cost effective as a golf cart.