We currently have a STR in a separate LLC.

@Zachary Engen I would open up and additional account to keep things separate.

They could be looking at the space to check legal egress, ceiling heights, window location and size, fire separation between units/hazardous areas (like boiler rooms, etc.) or a whole host of other things.

We live in the front half and airbnb the private entrance 1 bedroom, 1 bath, living room (hotel suite style) back half that is separated by a door that we deadbolt.

This incentive program is reviewed separately from the above grant programs and requires City support to be eligible for the Property class change.

I'd just make clear private entrances, parking spaces, separate patios, etc. 

Now that may be an entire separate post as to how to get to that point. 

Utilize the most efficient form of entities, Series LLC instead of individual LLCs, LLC instead of corporation (you can elect to have LLC TAXED as a corporation if that is desirable), LLC instead of limited partnership (eliminates the need for a separate entity to be created as general partner).  

Any single building in which accommodates more than 1 family living separately is considered multi-family.

Robert mixed funds among separate investment properties which has hurt the all of those properties.