Instead of getting up on the toilet, turning around to face forward (putting 100% of body weight on one side of the toilet in the process), planting both feet on the seat, standing up, and squatting down (for #2 or #1), which will cause the bolts holding the toilet in place to come loose (our toilets are built to assume weight roughly evenly distributed on the seat).

Any concerns of the distributed nature of the apts?

Replacement Cost values themselves are derived using appraisal software by your Agent and the Insurance Company, or an appraiser, but they are not market value estimates, they are reconstruction cost estimates.

How would this lump distribution from the LCC to us of refinance proceeds be taxed?

You will have a better chance of getting financing, distribute the inherent risk of real estate investing, and have multiple incomes to pay rent (lowering your contribution towards rent).However, you would be wise to have a in-depth discussion about this with any partner you take on.

This would help you get familiar with the investment process and help distribute the initial purchase and rehab costs among equity partners. 

What about the distributions, it doesn't make a tax difference if I am myself or the my LLC?

Then after the fact the LLC could dissolve and distribute the assets accordingly - presumably one to you you and one to your partner.

Then I'm paid a salary and distributions. 

A 1.90x equity multiple would imply that they make $190K total over the life of the project, inluding distributions, return of equity, profits at sale, etc.