Please correct me if I am wrong.
1. Your location is low end (I would say 1/3 low end, not bottom).
2. Your current rent is about right for the location.
3. Your purchasing price is good for the location(lower but not significantly lower than market price).
So if your service (marketing, maintenance, collecting efforts) level is high, you should be able to get about 90% occupancy rate and definitely above 80% rent potential realized(i.e., about 90 rent due collected). If you can make decent money at this level you are good.
I don't think it is necessary to reduce your rent, if your neighboring landlords do not reduce theirs.
Isolated bad events will be forgotten soon. As far as this location is not infested by gangs you can always rent it. I have a house some years ago a guy was gunned down less than 50 yards away. I still have one (small) bullet hole on one of the window glasses. The neighboring houses were never vacant for more than a month.
