Hi y'all- I'm getting my legal structures & privacy in place and own an STR in NC.   

You will be unavailable to her (and kids if you have them) physically and mentally most of the time, being immersed in the rehab of your property.

A tenant may only be evicted on this basis if the property is being demolished or if renovations will a) substantially modify or replace a structural, plumbing, electrical, or mechanical system, and require permits, or b) remove unsafe materials, such as lead paint, mold, or asbestos, from the unit.

My assumption was that if, let's say, the structure burnt down, the property's insurance would then pay me out FIRST as the lender and NOT issue a check in both the Lender's and Property Owner's name.

The proper timing and structure of that loan are unclear from the information in your scenario.

Also, when you do get a “quick no,” is it more often due to the borrower’s experience, the structure of the deal, or other factors?

It can reflect sales, transfers between companies, or changes in ownership structure.

This counsel is not necessarily the lawyer who does your closings--look for expertise in company structure and litigation all with knowledge focused on real estate or development.  

This is a home with ~$500k value on the structure alone (land value backed out), so the study costs were worth it for us.

How I have structured these in the past is if he is coming with all of the capital and you are handling everything else than a 50/50 split is fair.