Mind you I live in a pretty nice area and I can imagine demolition being very expensive, so I believe this is a benefit both ways.

The OP could benefit from browsing there.  

I probably would not worry about depreciation because that is a tax benefit ...but I am not a great numbers guy either.

You won't have the write offs or tax benefits as residential properties, so negative cash flow could really hurt you.

rental seasoning takes about 6 months for most banks, but you might want to pursue using 'delayed financing' which has some benefits as well and can be used immediately after a tenant is in place.

With out of state the major benefit is that you are forced to form a team to be successful.

Let them know you want to find a way to structure the sale to benefit you both.

This is when you will be able to tell the crowd what you are looking for and listen for other investors offering services that mutually benefits you both. 

I will, however, explain my rationale for not using an LLC in my personal situation:1) Due on Sale Clause and Conventional FinancingI believe that the benefits to using conventional financing with it's low interest rates, long (30-year) terms, and low payments outweigh the likelihood of devastating personal liability in a litigation setting in my personal situation.

Most investors would benefit by creating a contract template, custom tailored to their particular method of business with the assistance of a real estate attorney.