Good hard working tenants that have stable employment. i wouldn't get into a deal where the tenants are in a vulnerable industry unless their leases were coming up soon and I could non renew.  

Also, refinacing and having a commercial umbrella policy are non sequitor's. 

As inconvenient and discouraging as it is to wash dishes by hand (family of 7, 2 hours a day) I'm not sure a non-functioning dishwasher rises to an issue that can allow someone to terminate.

Another type of permit is non-structural and those are easy to obtain in a few days.

I’m not convinced these guys are actually going to move out by the end of the month and if she doesn’t take me up on the reduced rent offer or pay rent for October my plan is to file for an eviction for all of them on the 6thfor non-payment of rent (they've been notified in the lease). 

Even if you go the non-qm route, 7-8% seems high.

You will likely have to register your non-CA LLCs in CA anyway and pay the $800 since you are managing the LLC from CA and therefore doing business in CA. 

CDC is only for non-payment of rent.

There are investor loans, Non-QM loans, and as a last resort,... longterm Hard Money. 

It would be a long term rental and it sounds like long term rentals are easier with non furnished units.