While insurance might rebuild your property, the bigger issue is the loss of jobs, local businesses, and essential amenities.

If so they would have done an estimate and that would give you an ok idea of the repair costs, that at least, the insurance company thinks it would take to get back to pre loss condition.

The current financing is a short term commercial loan.Can I sell it out of LLC to myself at a loss?  

To me, one of the greatest risks of syndications (and DST's for that matter) is refinance risk, which can concievably lead to a 100% loss of capital.

If you are saving for up for a down payment on your next property, investing in a mutual fund or equities in general open yourself to more risk of loss. 

Still a few catches to all this, the maximum loss from Sch E (incl the mortgage interest, all other property expenses and depreciation) you can take is $25k.   

The key point to note here is the recent proposals for (i) Payroll Protection Program (PPP) (ii) SBA Economic Disaster Injury Loss (EDIL):(i) PPP loan of 650Bn the Congress vested the discretionary power to Banks under writer and they have given based on the their Clients balance on the line of Credit.

I expect that to happen again: Especially if people start pugging courts with class action suits for loss of income or property due to Covid fraud or riots.As landlords, we need to do even more due diligence on prospective tenants.

I have a feeling that I will not be able to get anything from the seller if I have major losses.

My first year as a Landlord, I was all over the place which led to a lot of unnecessary sleepless nights.