Since he owns the company, it gives us a competitive advantage as he's able to get the work done faster and cheaper.

Here's your challenge, and its a big one . . .Based on your comments, you say local market competition, like most "normal" office markets, rent office space on a rentable square foot basis, typically using the BOMA or modified BOMA standards of measurement.  

Buying a property like this all cash means that you eliminate competition from any retail buyers, and get a discount accordingly, but the risk is that the house needs work.

You may not get it back directly in a higher selling price (depends on the competition and market), but you MAY recoup the costs (or some of it) in selling it faster.

Many decades later, through other life lessons, I began to realize that people can only handle what they're capable of... and that facts are irrelevant to most (they feed on assumption and group-think, not facts).The most valuable lesson I eventually learned from this was that I should be thankful that others are the way they are - were it not for them, I would have a lot more competition and much less opportunity for profit.  

Kick out any drug dealers, sex offenders, etc.My first park was also an infill project, and I was my own General Contractor getting competitive bids, overseeing the work being done, etc.  

Just had a Than Merrill conference go through town so maybe a lot of novice competition right now?

Competition is fierce and while I haven't looked in a few months, earlier this year every 2-4 flat had multiple offers and sold in a week if it was priced right.I'm not as familiar with Bridgeport, but what I do know is that the rents in that area are crazy low for 1 and 2 bedrooms.

@Ryan Collins, for your own mind sake, cut the drywall above the backerboard for about 2-4 inches. this will give you the studs and any pipe/drains positions.then use a big crowbar and break the backerboad with tiles between the studs. being from the 70's, i think is nailed in place not screwed in.for the new backerboard be sure to use screws for cement board not regular drywall (they rust really easy)most important: final result have to be nice, recommended nicer than competition but tenant-proof!

Anyway, still seems like there is beginning to be price competition in the city which is always nice to see for the consumer http://www.hauseit.com/whats-typical-real-estate-commission-in-nyc/