You get the benefit of financing a property as a primary residence (which entails better interest rate and lower down payment) while also getting the rental income.

He has 2 properties that he used to rent out a couple years ago, but quit as the additional income would relinquish his benefits for his children.

Since you are fixing it and updating it, you are able to charge more then what you would have if you didn't fix it up.Also there are a lot of more benefits when you live in the property, than if you didn't, and especially because you are going to be in Portland, you have more leverage on certain things then the regular investor who doesn't live in the property. 

Being able to be an attractive employeer benefits wise to have & keep good workers.

Don't forget about loan paydown & tax benefits, also.

Greetings BP'ers. 
I'd like to get some opinions on this, to see what other landlords might do in this situation/current environment etc. 
I have a:
Self-managed, out-of-state, fully paid off rental. 
Area Market ...

Remember, one great benefit of REI is the tax savings each year. 

To Andrew's point, local lenders and agents are BEST, as they know the market, how RE is practiced in real life in that area, and have a personal relationship with agents and appraisers to benefit the transaction on either side.

Sometimes Holdco is used to establish a retirement plan if you are not ready to provide retirement benefits for employees.

@Cassandra Alessio fantastic advice there from @Benjamin O'Connor.You want to show them how another park in their town will benefit them because most are just thinking "Another eye-sore and tax burden?