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You might consider Niche or Specialized Housing like student housing.

Are there any special considerations that should be taken into account or standard clauses that I may need to add in the lease agreement to cover myself given that she will be conducting business from the location?

I work for a wholesaler that specializes in distressed single family homes.  

No effect on taxes at all, unless you elect special tax treatment. 

Scott The Book on Flipping Houses, The Book on Estimating ReHab Costs http://www.biggerpockets.com/flippingbookA good read The Real Estate Agent’s Ultimate Guide to Working with Investors http://www.biggerpockets.com/renewsblog/2013/08/24/real-estate-agents-working-with-investors/You might consider Niche or Specialized Housing like student housing.

We specialize in buying half vacant to fully vacant retail/office space.

We specialize in class A properties so we can self manage them.

I have considered the condo route as well but I am always worried the HOA fees will eat any cash flow and I am also concerned about a large Capital Expense as @John Marshall mentioned then you could be liable for a special assessment fee, or potentially higher HOA fees in the future.

I know of some US based lenders who specialize in lending to Canadians.