Location of MHP and Entity State Creation - Does this matter?

[Account Closed]

I had the pleasure of having coffee this morning with Two Investors who own a Park in North Carolina but hey Live in California.  They created their entity in California which I was a little thrown off by.  To the investors who own several parks in several different geographical locations and states wouldn't it make sense to create the entity in the state to where the park is located?  If not, why?  Please explain.    

[Ed Emmons]

There are a lot of factors that come into play. For example , I believe individual state income tax would be assessed unless all income is passed through and there was no profit. some states have more favorable laws for different types of entities. Ease of accounting is probably the biggest reason. Also different states have different reporting laws for different types of entities. It could be a hassle to keep it all straight.  A negative, as I have learned in my state, you have to register with the state as a foreign corporation doing business in the state and everything cost more.