Since I live in a community property state I can set up a disregarded LLC in MO to exchange my 1031 into and hold title to the new property.

The properties are in an LLC that is disregarded to another LLC. 

@Leonard RobinsonYour personal CPA who knows how much income you make along with the type of income you make will likely make a better suggestion on entity type(whether you need it or not) than individuals on a message board here.With that said - it is normally not advisable to hold real estate within a corporation(C-Corp or S-Corp).It will likely also not impact your situation whether your real estate is held by you personally or within an LLC(disregarded or partnership).

One reason that almost all business sales now-a-days are structured as asset sales, not entity sales.If you do buy into his LLC, assuming it's disregarded for federal income tax purposes, we treat it like this: (1) an asset sale to the existing holder, the buyer obtains an undivided interest in the LLC assets and simultaneously (2) the buyer and seller (members) are deemed to contribute of each of their undivided interests in the LLC assets and liabilities into a newly formed partnership tax entity.There isn't a 754 election available in this situation, as a partnership interest was not what was sold for tax purposes. 

This has also caused some debate on another post but I would also switch 6&7 assuming that in Cook county you are not required to rent to the first qualified renter, if you do disregard. 

So you can pretty much disregard/ingore them. 

Usually S-corp are for active operation while disregarded or partnership LLC are for asset holding. 

Disregard I ended up posting my question twiceJoel Bonilla

Misdemeanors older than 3 years must be disregarded.

Traditional LLCs are treated as disregarded entities, meaning the taxes just pass through to your personal income via a K-1.