Hard to defend against when not using an intermediary service which shoulders most of these risks, which most small businesses don't do.

This requires a lot of paperwork and maintenance to establish and maintain a defendable, functioning LLC.

For every 1 person defending DMM in open forum there are 100 that silently failed.

They asked the national bank to undue the sale  basically let it go, they refused and hired a lawyer to defend the company.Fidelity payed off the company that bought our house.

Since it’s technically not “in service” and I don’t think sticking a for rent is something I’d want to have to defend to the IRS.

Another way to defend this is to look for other covenants that the hotel site and other parcels in this same 'corporation' have.

I agree with @Seth Williams   Retain a lawyer to review the case, send a demand letter, and potentially defend yourself from a lien. 

General BP advice:  When you post these questions , you get a variety of responses , some just come here to bash you ,some to defend their profession ,  some want to help you , but they are too biased to provide a quality answer and finally some who genuinely have the intention to help you and provide practical suggestions ( they might be right or wrong but they have the best intention )Some don't realise the impact that they will have on a newbie - when they call you tire kicker , time waster , unreasonable ...

If your letter is worded wrong it will be recieved as an offer to buy and you could be stuck with defending yourself in a lawsuit, if nothing else.This is not to say that it cant be done well and also be very profitable to someone.

The OP, never expecting to have received anything but positive interest, is all of a sudden finding themselves in a position of having to defend every aspect of the financial, marketing, and legal arenas of the subject property and offering.