I would love to just give you a simple answer, however your question is not a simple one. 

The question is; what route do I go in real estate?

We've sent out a cohost request and most hosts are asking ~22%, which is higher than what ABB suggests - but seems to be in line with what traditional local prop management places charge.My question: Long term obviously it makes sense to learn to do this all myself and be self sufficient.   

I had to look up what "variance analysis" meant.If I understand the question correctly, you're asking "What went wrong to not hit our 20% target?"

Quote from @Anthony Klemm: Quote from @Dominic Mazzarella: Quote from @Anthony Klemm: Newbie here with some questions...I've been reading a bit about syndications and how they function as a whole.

My question is do I go forward with purchasing the property and deal with the higher insurance and potential hazard or is it smarter to walk away?

In any business, your first question needs to be, "Who is my target audience?" 

My question for this more regards to what would best way to structure this deal not so much as to if I can raise the money or not.

In construction your plans are your Bible, so you need to know how to locate any discrepencies, locate answers to questions froms trades, understanding "Take-offs" with your materials, and be able to visualize in a 3D space what the plans are describing.

There's a good chance the issue(s) you face has already been discussed and answered.Ask questions in the appropriate forum.