How would you invest $5 million in real estate?

[Paul B.]

Assumptions:

You can't leverage the money; no debt. There's no deadline as to when you'll have to give the money back. The goal is a solid, double-digit cash return each month, but some upside is necessary, unless the cash returns are simply obscene (as one would hope with rehabbing/selling).

I ask this questions because I've been thinking: What is preferable? A portfolio of single-family rental homes, or one larger multi-family property? From a management perspective, I have to think the multi-family would be easier, wouldn't it?

So, what would you buy (or do) with $5 million? Would you:

(1) Rehab properties and sell?
(2) Rehab properties and rent?
(3) Work in SFHs?
(4) Work in multi-family? (And what size?)
(5) Work in commercial?
(6) Make hard-money loans?

Or would you do a little bit of everything?