So as a persons net worth grows the desire to preserve the wealth with safer assets and lower cash on cash takes precedence over higher returns.Once you make it to where you never have to work again you do not want to lose all or most of it chasing anticipated high yield assets with too much risk.  

They then help you move those loans under a business entity if desired.

Most folks I've worked with truly hate that they have such desires to use, even something like pot.

And well since I piloted them personally it was a life long desire.. you can't take It all with you...

I've had a desire to invest in buy and hold rentals properties since I was old enough to know what "rent" was. 

Time and energy are valuable commodities so if you don't have the desire to do hands-on rehab work or manage properties, vet tenants, handle maintenance issues etc, then self-managing or flipping may not be for you.

Just because they will be putting tenants in the units does not mean that they will be the sort of good tenant that is desirable; chances are good that since they have no intention of ongoing management of the building, that they aren't going to go through the added effort of screening tenants to be certain they will be tenants with good character.  

Here is just one developer at the helm http://matthewsllc.com/ .The City of Mishawaka which in my opinion is joined to the City of South Bend at the hip has the second largest retail corridor in the entire State of Indiana and a highly desirable school district.

Or is there a deeper mindset that has no desire for the additional "baggage" of owning a home? 

I had the money and the desire to get into a business when I was 19 and I could have been in real estate investing when I was just out of High School.