10 Historic Building Purchase

[John Clarken]

Hello, seeking general advice on buying option out of state. A little background, I live in Portland but am interested in purchasing a property from a family friend in Michigan. The owner is looking to get out of the business. This property is a 10 plex historic building with an great location.  I've invested locally in Oregon and Washington and due to the success I have family interested in a potential deal. My strategy for the property would be long term hold with debt paydown/appreciation being the main goal. I would want cash flow strictly for repairs/maintenance. Normally I wouldn't go for such a big deal but the way I see it is if I try I can at least gain the knowledge through the exercise. 

1st question: this property could be anywhere in the 1.1 mill to 1.3 mill range. I want to know what would be the best way to structure a deal - seller finance, DSCR,?

2nd question: since this down payment would be coming from a family member what are some good rules/resources to look into to protect both parties. Run through an LLC, pay in cash flow and a percentage of appreciation?

Any advice is greatly appreciated!