How to structure LLC with different types of properties

[Les Mills]

Hi All,

Just discovered this wonderful forum and am doing loads of research based on the questions and replies. Currently, my sister and I are members (foreigners and non Americans) of an LLC which hold land (non income producing), a mobile home park and a single family home (income producing) and another piece of empty land which we are planning to develop into a multi unit homes to sell. This LLC has been ongoing for many years and the accounting is easy as there is only 1 bank account and all inflows and outflows are based on 1 account. There are also no loans outstanding.

I was wondering whether 1 LLC is the best way to hold these assets. Some posts suggest that 1 LLC to be set up to hold land and the other to hold other income producing assets but doesn't this imply that I wont be able to set off the expenses in holding land (eg property tax) against the rental income produced by the mobile home park?

Am also concerned with asset protection and was reading some posts that recommend issuing a note against the equity built up in the LLC to another LLC. Would this be advisable to do in California?

Thanks in advance.