looking to set up an STR in Tucson I’m having difficulty finding regulation requirements by the city.

If you are NOT running a trade or business - 1099s are not required.The main reason why you WANT to be "running a rental trade or business" is your eligibility to claim business overhead deductions, such as marketing, education, technology, and so on.

Our parent company (GA Technologies) is the #1 investment real estate service provider in Japan.

FYI, Blacktip Construction Group may be in big financial difficulty.

. - which I suspect you're already inclined to do.You can also investigate various methods of pipe replacement / renewal that involve trenchless technologies, such as pipe lining, pipe bursting, or directional drilling.

My concern is that without that amount of personal income available I would have difficulty establishing a sufficient amount of reserves for emergencies.

This would be 2 days before he announced in his June 20th email (which I believe you have) that he was suspending payments to hundreds of investors because of financial problems.He did not disclose anywhere in the webinar (48 hours before the email) the difficulties that his business was experiencing which was laid out in the email 2 days later.

This technology is very interesting IMO.  

I have had a little difficulty understanding the legal limits of Owner Financing here and don't quite understand it yet, how much interest can you charge, etc... different attorneys have given me different answers, I need to speak with @Diogo Capela about this.

You can get some insurance on unpermitted units, a lower coverage amount than for a permitted unit and will have difficulty rebuilding it as a permitted unit at the covered amount (which makes sense because its value is less than a permitted unit).