Am I selling securities as the active member of 2 member LLC

[Felix Stone]

Hi - I invest in small (2-4) multi-families with a friend through a LLC partnership. He is on a work visa so he can only be a passive member and I am the managing member. We both put 50% each of down-payments + closing costs and both get 50% in equity. Our properties have ranged from $100 - $200k.

Am I violating SEC regulations because he is fully passive and puts in 50% capital?

Also if I add another passive member to the LLC, would the answer to above change?