Making a property management company as a buffer?

[Gilbert Tirado]

My plan is to have multiple rental properties. I have an LLC that I just made that I'm turning into an S corp to do flips with. I was hearing that C corps or disregarded entities are better for passive income. Would it be wise to make a third LLC as the Property management company to act as a "third party" or "buffer" between the owner company and the tenant? I read somewhere that if you have the property management company and issues arise they could only really sue the property management company regarding the individual property. Whereas if you have "the owner company" doing all the leasing and something comes up then all your other properties owned by said company could be at risk should a lawsuit occur. I doubt anything this serious would arise if your checking all your bases, but just to be on the safe side I suppose? Anyone have any experience?