Student Organization Housing

In middle of closing on a student housing property

House has been rented to a student organization since 2000. House was torn down and rebuilt by current owner in 2004. Currently holds 17 college students. (LIABILITY screams out at you).
I am in mist of closing on the property, the cash flow is amazing, and I am one of their alumni.

I have a bank doing a portfolio loan, letting me take title in my LLC.

LLC - "Acme Real Property, LLC"
25% owner myself
75% owner family member providing down payment

Questions-------

1) Recently I have thought of setting up 2 entities
1 - Acme Real Property, LLC to take title.
2 - Acme Management LLC/Corp to manage property.
100% owned by myself
would seperating the entity holding the assets (property) from the management entity be benificial?

Would my investors lose the $25k PAL offset if had this management corp?
What other tax/legal implications are there?
Do I have to spend double on insurance, or can i just have both entities listed on same policy?


Appreciate any help

-Michael