Kindly, you're having wobbles because the friends your dd has had since she was, what, 3? are reacting naturally to losing their friend. Within a few weeks most will forget her and by the time the new school year starts, another will have taken her place.
Speaking as a parent who moved and changed schools when the dc were in year 1/3/5, moving earlier is much easier than later. My youngest 2 have made good friendships despite missing the children they went to preschool/school with. Ds1 has some Sen and doesn't seem any worse for moving schools friendship wise but dd1, moving so late in primary school when friendships have been well established for many years has found it much harder.
Having friends on your doorstep will be a huge benefit to you and dd. It's not to say you can't stay in touch with friends from her old school, but I found even 10 year friendships with neighbours drifted as our lives changed.
Also, with your two year old starting preschool, you would likely find drop off and pick up a nightmare, especially when youngest starts school. Chances are because of catchment areas she wouldn't be a priority for a space at your eldest's school.
I would make your own mind up about your new school. When we moved, on paper, the school we moved to was failing. But the family feeling we got and the support they have given our children more than makes up for what ofsted thought. Equally, parents have a different experience across the board. Listen to what they say with an open mind and open eyes. I've noticed that the parents slagging the school off the most are often the ones engaging the least. They may have their reasons for it but I've found working with the school has created a much more open relationship.