I am pretty sure this lady is a jerk. 
I am not a smoker and I have some sympathy for the desire to get rid of smoking in restaurants. I think trying to get rid of it in bars is a little silly – even if I do enjoy smoke free bars.
But saying you are so sensitive to smoke that it is a crime for your neighbor to do it – well you just slipped over into crazy land. Especially a jerky move considering she re-signed the lease while this was going on.
If you are so sensitive to smoke that you have to wear a respirator because YOUR NEIGHBOR is smoking – you should not be in a townhome. You need to be somewhere where you are under more constant supervision by medical personnel.
For what it is worth, it appears that she isn’t going to win.

“Residents of the Sabine on Fifth have sued the developer of the downtown Austin condominium project, CWS Capital Partners, alleging problems with the building and its elevators that they say pose safety hazards to the occupants.“