You can exchange 1 property into multiple properties in locations and any asset class (farm, office, single family, multifamily). 

I'm not sure of your location.

But at the end of the day, well located properties in which the owner has ample liquidity to ride out long-term cash flow negative periods, rarely lose money.  

If you have the right location (in town or by the beach) and provide an above average property, you can do well.  

If they're located two or more counties away, their expertise in the local market may be limited.

The STR is in the same neighborhood but is in a slightly better location, beach block vs 2nd block.

Will depend on several factors like the type of property, type of tenants, your risk tolerance, other assets you own, your estate planning, laws where the property is located, etc.

Here's some other copy & paste advice you might find useful:---------------------------------------------------------------------------------------Recommend you first figure out the property Class you want to invest in, THEN figure out the corresponding location to invest in.Property Class will typically dictate the Class of tenant you get, which greatly IMPACTS rental income stability and property maintenance/damage by tenants.If you apply Class A assumptions to a Class B or C purchase, your expectations won’t be met and it may be a financial disaster.If you buy/renovate a Class A property in Class D area, what quality of tenant will you get?

The property is located in Cleveland Heights.

You are likely to appreciate, but you never know what will happen with the area as a short-term location so your hedge is on cash flow and maybe slower appreciation than regular single-family residential homes.