Most vacancy issues in stabilized multifamily is due to a stubborn owner holding out at too high of price.Vacancy is much more of a factor in retail and office where tenants aren't so easily or quickly replaceable.

If it is for liability protection, then youll also need to refinance to a commercial loan, get a commercial insurance policy reflecting the LLC as the owner, and maintain separate bank accounts for the LLC.If you dont do those things, then youll likely have an easily pierceable LLC. 

As others have mentioned on here, every person's tax situation is unique and answers are not easily given over the internet and can often be incorrect. 

But I personally value buying property in an area that appreciates more and has the potential for better tenants and rental increases, so I will easily give up the idea of the 1% rule, as I think future growth is much more important to me. 

Instead of trying to find the BEST market (assuming one exists and I don’t think it does), I would invest in a market easily accessible to you where you can keep an eye on things.  

Hatch for roof access.The landing on the third floor could (technically) easily be extended onto the roof - but realize there are code/safety considerations around that.

Contractors where I am easily place liens against property for unpaid debts, but that’s not a “plan” it’s a loss.

If they are professional, they can explain this quickly and easily.

The only reason to lower current rent amount is if rents are dropping in your area, and then you should likely analyze and adjust if tenant can easily find something similar for less.

I was thinking option 3 made most sense and also not sell any of them since they cash flow and have been able to get new tenants fairly easily or have had long term tenants.