Have a "shareholders meeting", and ALL of you set a time to show up (nicely of curse) for a status update on the properties. 

The only reason I can gather would be if the company wanted to have a lot of shareholders.

You become bound to shareholder wealth, and at some point there is no more blood to squeeze out of the rock.

Most subchapter S corporation have shareholders who are actively involved in the day to day operations of the company.

Here is my question I thought that sec rules has reits distributing a certain amount of income back to share holders?

Notice the title of the page - "There is no Due on Sale Jail" Attorney Bill Bronchick :) Lastly, whenever you set up an LLC, if you want it to be perceived as legitimate by the IRS for tax purposes, as well as by the courts for lawsuit purposes (i.e. asset protection), then you must operate it as a viable business, which means yes, your rent checks and leases should be in the LLC's name, you should have a separate banking account that handles all of your rental property transactions, you should be holding annual shareholder meetings (this can be in your garage or Hawaii, the latter being much more fun and a tax write off), and filing special tax returns.

I discussed the discount with my partners (or investors/shareholders/whatever) and they didn't authorize a discount for pre-payments.

If/when dividends are declared, the retirement plan, as the shareholder, receives funds back into its account.8. 

@Brandon HallOn page 1, 2nd column of the IRS Instructions for Form 1098, under Exceptions:You need not file Form 1098 for interest received from a corporation, partnership, trust, estate, association, or company (other than a sole proprietor) even if an individual is a co-borrower and all the trustees, beneficiaries, partners, members, or shareholders of the payer of record are individuals.One of my lenders (where the loan was secured by a property) sent me this from her CPA, saying that she's not going to send us a 1098 and that we have to send her a 1099-INT because our company is an LLC.My CPA said that we're just going to send her a 1099 to be safe.  

For Mexico, for example, we set up a company at home (Canada), in which everyone is a shareholder.