We have considered just a shower but we are bath people. We have a jetted tub in our master bath that's been used at least once a day for the last 9 years. I've already got the new bathtub but I wasn't sure if the handheld unit replaces a standard shower head. I see from your post that it does not so I'll plan accoringly. Thanks!

Fred S, thank you. I will verify that and thank you for the snippet -- Architect did have these same dimensions but with a continuous wall vs. partial railing I added. Much appreciated! We may have to scrap the dumbwaiter per the requirements regarding the door and I am ok with that. That toilet will be a wall mount and I'm looking at TOTO which now has a standard 4x4 framing mount (vs. previous 6" wall framing requirement). I did play with an outswing door that could work with the 12' door opening, and aligning looks ok with the metal rail from stair landing to the bathroom wall. The intent was to create some privacy as you enter, but given it's a standard door, there would be a lock -- great input for things to think about. Very many thanks!

Debating whether or not to remove the wall between the vanity and the toilet/tub area. I have already removed the tile, tub, and toilet. Removing vanity and rest of flooring soon. Really want to remove the framing/wall of the 2nd door to open up an already small narrow bathroom. Any thoughts on this? Is that wall structurally needed?

are there bedrooms down there as well? if someone will be using the bedroom in the basement, then they will want a decent bathroom to go with it. 6 inches really isn't worth the hassle of taking down or moving a wall. A foot, maybe, 6" ? no. once you put on the wall or tile, you've got maybe 4" total. Maximize the space by choosing a good vanity w/storage, and possibly building a niche into the wall for additional storage. (use the area between the studs as a built in cabinet) using a prefab shower is fine, but pick a decent one as opposed to those flimsy acrylic pieces. you don't say want the resale value is, so i have no way of knowing how much you should invest. You say you bought mid-range, but I don't know what else you need to redo. anything under a 15% profit really isn't worth it. as for fitting it over the existing drains, usually you will need the new drain cover. if the drain needs to come up, there are extensions. I would advise your husband to do some research on how to fit those into an existing bathroom. If he's handy and can build his own slope, mortar bed and waterproof the shower, then he could prob tile it himself. Just depends on how much work you want to do and what the return is on what you choose. by the looks of what you have there currently, you may have some water damage underneath all the mess. Tear out what you can and then determine what you need to do.