This allocation should be based on the fair market value of each component, typically determined through an appraisal or the values agreed upon in the purchase agreement.

I was sent an offering memo by a broker selling a multi-family building in an area no reasonable person would even consider affordable housing material yet the marketing materials made a point of emphasis to detail how the property would satisfy the need for affordable housing.

Feel free to send me a private message if you need assistance finishing a project or want to start a new project in Cape Coral or Lehigh Acres

There are only 2 ways, as I see it in the current market, to get actual income/cash flow from a rental property - a paid off long term/mid term property or a well bought short term or rent by the room rental.

or3) If I convert the partnership interest into a private UPREIT, then I trigger tax if/when I sell the Shares in the REIT?

My first duplex was a turnkey, off market property.

Are you currently investing in your hometown or are you looking at out of state markets?

Like @Chris Seveney said, private lending is a great way to go as well.  

Purchase price: $62,000 Cash invested: $60,000 Project in progress: Off market dealPurchase: $62,000Rehab: $60,000ARV: $165,000 What made you interested in investing in this type of deal?

Having a problem tenant and dealing with eviction could happen in any market.