Now I'm thinking that number will carry about as much weight as a Zestimate!

You count this regardless of if you self-managePrinciple + Interest + taxes is $1,066 = $12,792 annual$100 * 12 = $1,200 for water$19,200 - $22,680 = ($3,480) annually, a loss of cash.OTHER CONSIDERATIONS:Depreciation will be $200,000/27.5 years = $7,273. 

No property damage coverage - which means I have the risk of losses in case of any damages.

I originally got their address through the tax records of the property so I am kind of at a loss where to go from here. 

Income/Loss statements for tax purposes take less than a min at the end of the year provided you have performed your book keeping/accounting correctly.

If you see a loss in profit because of it, don't take it.

This is not a deal of any kind for you.....you need to gracefully back out, like "sorry man, I can't get involved in something like that" sounds like he's wanting you to write a $50,000 check for his loss.

The tenant could also be judgment proof and trash your place and you incur additional rent losses and damage.

if its commercial prop, why are they at a loss not profit?!

One family even told me they were having money problems after the birth of a child and the loss of a job.