Investing in MHPs through a Self-Directed Roth IRA

[Account Closed]

Hello, I'm looking for someone who can speak to the tax implications of investing in Mobile Home Park crowdfunding through a Roth IRA.

My understanding is that one of the disadvantages of investing in MHPs is that there can be less paper losses from depreciation as compared to investing in apartments or even SFHs because they primarily consist of land, not buildings. I also understood that that one of the disadvantages of using an IRA to invest in real estate is that you can't use depreciation to offset your income tax.

So then I thought to myself that maybe it makes sense to invest in MHP crowdfunding inside my self-directed Roth, where the fact that I don't "have to pay taxes" on the gains would theoretically offset the lack of depreciation benefits.

What confounds me though is the concept of UBIT (Unrelated Business Income Tax). I always thought of Roth IRAs as being "tax-free" but it appears that they are subject UBIT if it seems that the IRA "entity" is engaged in activity the IRS considers to be "unrelated" to it primary purpose (in this case, investing for retirement)...

Is there anybody out there who is doing this? What has been your experience?

Thanks!

Rachel