UBIT or UDFI on Checkbook SDIRA syndicated investment?

[Account Closed]

Suppose a Checkbook SDIRA holder invests in a Syndicated LLC, which then purchases a piece of commercial property (i.e. Apartment Complex) using leverage that cash flows for 2-3 years before being sold due to appreciation and distributing the gains from the sale proportionately to the Syndicated LLC members.

In this case, and from my 'layman's' 30,00 foot view, it would appear that the SDIRA LLC is simply investing in another 'Company' and receives dividends. The SDIRA LLC is not directly investing in real estate and is not directly using non-recourse leverage. As such, it would seem that it is not expected to pay UBIT (pretty much a given) but UDFI is a bit more fuzzy. What are your thoughts? What are the IRS's thoughts?