This almost always means they are a land lord or the property is currently vacant and likely to sell soon.

Did you work with a realtor to help find land?

These type living arrangements are primarily short term until user circumstances change

This can provide a better depreciation benefit than traditional STR real estate.If permanently affixed to land, it qualifies for real estate depreciation (27.5 years for residential properties).Considerations:Zoning laws and campground restrictions may impact legality.Self-employment tax risk arises if you provide substantial guest services.Vacation home rules apply if personal use exceeds 14 days or 10% of rental days, limiting deductions.Audit risk is high, so keep detailed records of participation, expenses, and rental operations.Given the potential tax benefits and complexities, consulting a real estate tax professional is advised to ensure compliance and maximize deductions.This post does not create a CPA-Client relationship.

Out of the 5 deals I am LP in, Rod's are giving me the top 2 returns (primarily due to fixed debt) while others, not so much but their returns do get accrued

Your idea about the land left by the LA fire combined with SB-9 is definitely interesting.

The land is in a very non-desirable area pretty much in the middle of no where so I would assume the cost of the land is low but don’t know how the ROI would be after you had the infrastructure up and running.

It is more expensive to buy rental/investment properties vs a primary residence (primarily because of interest rates). 

I have been on the *** end of these deals when I was young and did land acquisitions for a GP that went busto and man its a cluster of epic proportions..

I am probably the guy you want to talk to as I am a Realtor here in Colorado Springs who primarily works with investors, many of those who flip properties.