So, I'm hoping with some help from some experienced people on here to avoid any major red flags or pitfalls.So without getting into to many specifics, below is the the Income/Expense sheet as well as the rent roll.

After contacting with my insurance agent to include this one in my existing policy which has few more single family properties and a blanket liability insurance, the insurance carrier (Indiana farmers mutual insurance) would need the last upgraded time or age for plumbing/roof/wiring to include it with other property insurance or to issue a separate policy.

If they have those and won't supply them to you it's a definite red flag (to me).  

(If it was installed at construction, that would be a huge red flag that the HOA is now trying to object to it.)  

For rule of thumb, through our in house program we developed with a carrier, replacement cost insurance is about .40 per sq ft.

There are no liens or other red flags besides being bank owned.

Any recommendations on carriers who write aging commercial properties in WA state? 

.#2 and #3 don't have to be scary, as that can still be done using good debt, but the biggest red flag there is not knowing how to do that.

This just screams RED FLAG, STAY CLEAR. 

If you were going to buy it and move out immediately, that might raise a red flag.