5.  There would have been no way to roll this over or combine it with another IRA because of the in-kind distribution.

But why was there a requirement for the in-kind distribution?  It's now a spousal rollover account, right?  Why did she have to take all three lots?  Why not just one?  Why not a 10% interest in all three?  Whenever someone with a self-directed IRA dies, is the beneficiary required to liquidate it?  For all I know, that's the rule.  Just haven't run across it yet.