@Justin Worsham focus on creating a quality product so do all you can do to make the home beautiful and functional with the permits you need. 

The current use fails so they change plan to create value.

Doesn’t mean you can’t create it.

As far as I know it's the only one of its kind, although I'd be pleased to see any others that someone can point to.We have created a spreadsheet calculator that compares an exchange scenario to doing a monetized installment sale instead.

Most Wholesalers dont allow assignment of contracts because it just creates complications that can result in problems that can get the sales person (in my case we are all licensed by the state) in hot water.

For the second property, I created a checklist and told him that he will no get paid until all items on the checklist can be checked off and the quality of work is acceptable.

If not then you need to see how you can create different opportunities with that cash. 

So wondering if it is a good idea to create my own LLC first (LLC-holding-self) that has the partnership in the property specific LLCs or just keep myself as the partner in these?

Don’t invest too much, as it’s not legal space you’re creating. 

If I were trying to decide this I'd figure the cost per unit to build each one and then look at the expected rent for each category and create a ratio.