Does the condo complex have rent to own percentage restrictions (they all do, you want to know what percentage is allowed and what percentage it is at now)?

Get your basic estate docs in place before building a complex entity structure.  

Syndication Reporting IssuesMissing Form 8918 for reportable transactionsInconsistent investor disclosuresRequired registrations skippedWhat Doesn't Actually Matter:(Despite What Your Uncle's CPA Says)Special AllocationsNormal promote structuresStandard waterfall provisionsTypical developer promotesReality: Unless extremely aggressive, IRS rarely caresTechnical DocumentationMinor §704(b) gapsCapital account glitchesTechnical allocation languageTruth: Unless hiding something biggerProperty Value AllocationsNormal basis step-upsTypical appreciation splitsStandard promote calculationsReal World Example:🏢 100-unit apartment complex4 partners, $5M dealDeveloper promote structure= Zero IRS interestSame Deal With Red Flags:🏢 100-unit apartment complexHidden partner arrangementsArtificial loss allocationsUnreported debt shifts= IRS AttentionPractical Protection Steps:Basic Documentation✅ Clean operating agreement✅ Economic substance✅ Partner contributions tracked(Don't need War & Peace complexity)Economic Reality✅ Allocations match economics✅ Real money movement✅ Actual partner participationClean Reporting✅ Consistent K-1s✅ Required forms filed✅ Clear communicationThe "Sleep Well" Test:Can you explain your structure to an IRS agent without sweating?

Many real estate agents dabble in property management without fully understanding the complexities involved, making it risky to work with them.

I also had horrific PMs, particularly involved with a 48 unit apartment complex in Houston.  

I find that automation often adds more complexity and time to a given situation rather than helping you save time.

You have two unrelated questions here.Question 1My impressions of your LLC setup is that having the ownership change over time is too complex with the potential for misunderstanding. 

Landlord-tenant regulations are a bit complex in California and getting hands on is the best way to learn before expanding into larger investments. 

Or maybe even an apartment complex 20-50 units 

Backstory - we have an apartment complex that had a $339k loss on paper last year (I'm a 40% partner).