I want to form an LLC for it to protect myself, and have been reading about how California residents have very specific laws compared to other states.

Some landlords have a master tenant who collects rent from the other tenants but that's not the best way to set it up - I think it could potentially open up the tenant trying to seek legal action against the investor and say that they're under rent control protection with any rent increase. 

What should I ask for and how can I protect myself?

Do consider asset protection in this case though.

The main purpose is to separate your business from your personal so that if the business is ever sued they cannot come after your personal assets, but if you don't operate it as a business the LLC does not protect you. 

The guest sees the relative value and we are able to protect our margins.

Trusts do have benefits, but the costs for you at this juncture may outweigh those benefits.Often times, what people truly want is to just be protected in the event the unforseen happens with the property, and thus, a solid, robust insurance policy is often the most cost effective route at this point.

The "intent" of the law is to protect the innocent from criminals yet we've made the legal system so complicated that criminals are protected more than the innocent.If someone is caught smashing a car with a baseball bat, police can quickly determine they are not the owner and arrest them for the crime.

I say this to all who are working in the fix/flip arena--architects are pivotal in protecting you from liability. 

If I had to try and sum it up it would be: Form a corporate entity for asset protection; buy properties using leverage to maximize the use of your money; write off your expenses through your business  including depreciation, taxes, insurance, repairs, etc to maximize your tax deductions.