For tax purposes its a passthrough entity, but it makes it a lot cleaner to do tax strategies around maximizing expenses to lower taxable income. 

The way this is more commonly done is to partner with the seller where they contribute the land to an entity that you manage (and the seller becomes a member). 

California does not recognize series LLCs.You also want to look at whether a pass-through entity helps your bottom line and your taxes.

Your contract should have been written with the buyer as "Charlesa F or an entity to be formed." 

Starting with what you've done so far....I suspect when you say you "started an LLC", you mean you formed an entity.

Lease Renewal Addendum The following is an Addendum to renew the Term of the Commercial Lease Agreement (“the Lease”) dated (Month/Day/Year, between (your entity) (“Landlord”) and (tenant's entity) (“Tenant”), regarding the lease of (suite) (“the Premises”) in the Property located at (property address) (the “Building”).

If you go into a partnership like that (doesn't matter if it's one property or 12) then the entity you set up to own the properties (like a multi-member LLC) is the taxpayer for those properties. 

Hey Stefan,I don't know if there are "good" and "bad" places to invest, as much as it's not wise to invest somewhere where you don't know how all the different entities operate.

The solution is likely to file an amendment to the Certificate of Formation for the entity changing the registered agent.

Two that come to mind are you could buy in a Corp entity (LLC) and he could be a member in the LLC (80/20) as you reference above; or you could buy the property and enter into a JV agreement with them that would outline the compensation structures.