Hello Matt, thanks for the response!
I think I figured out the coordinate issue, what I do is make a reference area for the entire model, export that, and use the global offset for all the models. So the global offset gives me the center point of the model, and I just convert this from UTM to decimal degrees. I still haven't got this to work with the KML, but this has to do with the Unity scripts I think.
The current version of 'Digital Rome' uses dynamic shadows... this is because once the model got more complex, the number of lightmaps was too large. I am still working on a solution to this. There is another version up there (A Walk With the Dead) which is an earlier, lower res model and uses lightmaps.
The characters are part of a custom package we made (for Unity PRO) - so not free I think!