2017 Hawk 250 (Water and Rust in Cylinder)

[mac1029]

Ok so back story My 2017 Hawk 250 has been in storage in my shed for the past 2 years. No time due to wife having cancer and she succumbed to it 6 months ago. Now my oldest wants to learn to drive a motorcycle plus join me on the trails , Me on the ATV him learning on the Hawk 250. Pulled it out and new right off to clean the mouse condo in the airbox. Charging battery i tried to kick it and it froze up, took the plug out and kicked it and rusty water came shooting out of the spark plug hole. Now my big question, how? Condensation? Should i just order a cylinder piston kit now? I am confused on how much water was in there, i am sure the rings are shot but still has compression when plug is in. Any advice on how to proceed. Oh and my throttle seems locked up too, so looks like new throttle cable and just going to get a new carb while at it. Thanks