Write your state legislator to keep the rest of the state from emulating Seattle.

Instead of hiring that person as the PM, propose to rent the house to him as a LTR. 

I feel like with impending legislation, especially in NJ, it is becoming more and more difficult to be a private landlord    

It will have things like 1. the name of the proposed insured; 2. the amount of insurance; 3. the legal description of the property to be insured, the interest being insured such as leasehold or fee simple; 4. the requirements that need to be complied with such as a deed from the seller to the buyer, a mortgage from the buyer to the lender and release of the seller's mortgage etc.; 5. exceptions to coverage such as restrictions and easements that burden the property; 6. exclusions from coverage such as governmental actions. 

Not to mention the upcoming legislation on the November ballot that can really hinder your returns from renters.

The amount of bonus depreciation you can take may change each year - 2023 the amount is 80% (but there is legislation that may change this to 100%).Actively managing the property doesn't change the IRS rules on whether or not an asset is eligible for bonus depreciation.

I'll echo the idea I don't think its balanced as your propose it;  you own the land and are already more involved than just as an "investor" it doesn't feel like a balance.

Also research Rent legislation,  many states and towns are looking at rent control.  

In 2020, Microsoft acquired Quarry Yards (Grove Park) for $127 million but recently paused its plans to develop its proposed campus.

Most of what is proposed on Bigger Pockets in terms of layering of entity structures will not prevent plaintiff attorneys from bringing claims.