I know capex and a few repairs I’ll have to do early but is hypothecation normal or done often?

Do plan on starting up once things go back to normal?

This is my first trip lending on a deal, but I've run plenty of corporate A&D transactions at work and this was normal course of business.

Very normal.

The lender is willing to do the 80% LTV as normal and let the seller, my partner, carry a 20% note for the 'down payment' portion.

I know we need to decide but I am just trying to see how it is normally structured.

Normally this boot would be taxable but since you qualify for the 121 exemption your accountant files the appropriate form with your tax return and that $500K is tax free.Meanwhile the remainder of the gain ($300K ish) and all depreciation recapture go into the 1031.  

My agent is treating it as normal, is it normal?

I liked going to Las Vegas, but normally stayed on the strip and the casinos.

I normally work in the upstate of sc but let me know if there is anything I can help you with.