Do you want full replacement cost if you had a total loss - would you rebuild in that case or walk away? 

Since we didn’t have a pool and are not walking distance to the Broadwalk, we focused on interior design and that has helped, but we consistently lose out to Airbnbs with a pool, so we are working on maybe getting an above-ground pool and/or hot tub.

I mean, you are walking a thin, thin wire trying to manage on your own. 

I  could walk the property and give you a contractors answer to cost and if an electrician needs to pull the permit or not.As most commercial properties have plenty of parking it comes down to bathrooms and kitchen and windows that needs addressed. 

"you (a) may get that debt owed discharged, and'----Are you saying they can walk away without paying rent? 

If you can do that, there are plenty of resources to walk you through the legal side of it. 

We live walking distance to downtown and would not trade it for anywhere else.The racing season is great, but the town is busy all year as well. 

I think you stumped the crowd.My take is that your friend is trying to walk away from the property by handing over the keys and avoid a foreclosure.

If it does then buy it but if not walk away there will be other properties.

Get with a local banker and have them walk you through the process of getting a loan from them.