1. The torches in question are actually not on the upper half of the walls with the rest of the torches they are pretty much level with the bridge-like path leading up to his room, the buttons right next to the torches, there are 3.

2. yes. onto 3.

3. The key is under the bridge yes, there are 2 arches that broke, causing the bridge to be built, you looked near 1 but not the other side.