The city/county laws for the most part seem to mirror state law (AB1482) so my current reading is I am exempt from "rent control" and "just cause" requirements. 

I recommend being as precise as possible e.g. choose a market if you haven't already.

Is it that you want direct control?

You might as well just buy into an REIT.It sounds like you have very little control over most things.

If you don't control the moisture level or stop the source it's going to come back.

I am looking for populated desirable areas with no rent control laws..

However, I am wondering if I’m “missing out” by not investing in direct ownership of smaller properties that I have more control over.

Up, down, flat, up, flat, down, down, repeat…And to quote Economist Mark Zandi for the third time today, “[The Fed’s] got everything they need to start cutting rates…It’s just a question of precisely when.”The housing market is improving, the supply of homes on the market is up double digits this month, and in my business I am seeing a healthy spring flow of demand for both homebuyers and investors.

My biggest concern is how to structure it to maximize positive benefits and good will without sacrificing too much "control".

I prefer multifamily because you have more control over future asset valuation.