Submitting a rejected paper to the same editor in a different journal
There is no problem in resubmitting the paper to the same editor, but to a different journal. I've seen and done this more than once.

My advice is the following. Take the first set of reviews and address them as best you can. Then prepare a response to reviewers as you normally would, addressing all the points and stating the changes you made. Then append this to the cover letter of the journal you are submitting. The fact that the editor is the same may work in your favor since they have already seen the material, and will see that you are following on their advice.