Or in a slightly varied scenario - the C-Corp leases the property at market rate (from individual), and then leases out the units again at market rate (implying that there would be no operating gain), wouldn't the C-Corp's tax basis be $0? 

This policy is rated with 52 weeks rented (does it imply that we are renting from somebody, or that we are owning and renting out?)

Which means you can set off the price against your business income in the same tax year.However, when you buy a building that is slowly decaying (implying it'll need to be replaced one day), they don't allow you to take the price of the building against your income in the same year. 

Is it because all Californians are stupid and crazy as many others on BP would often seem to imply?

Each subsequent violation should increase the verbiage to imply heightened severity.

@Steve BabiakYou are correct, but what are you implying?

a 1031 implies he wants to reinvest the money

This is what every guru (amazon drop ship, real estate, stock trader trainer, etc...) says, right? 

I figured this was always implied but yesterday I found out its gospel.#5 - your getting a tax deduction on the interest.Instead, mail me 9k/year and at tax time I will mail 1.5k back.

Hey @Anthony Shaw - I've done exactly what you're talking about MANY times in the state of Michigan.As for the deed, you'll want to get educated about what is being implied with each type of deed.