Either you don't know why because you have your head in the sand and haven't paid attention to their communications or they are trying to hide things from you. 

@Matt Weddon - make sure all reasoning & communication around the rejection stays clear of all federal AND state protected classes under Fair Housing.

You manage the headache of guests and communication, cleaning, etc. and he provides the property, but shares in the expenses and profits.

From there, I would like to consider a 1031 exchange in the future to acquire more units.My current property management company suggested that they could handle a mid sized apartment building but I would absolutely not consider them for it as I believe they have overextended themselves and communication is lacking.

That can make it easier to communicate the opportunity effectivelyTo expand efficiently, consider targeting local real estate meetups or investment groups San Diego has a strong investor community.

I look at foreclosures.comOut of the 3 stages I am definitely not ready for an auctionpreclosure / short sales:- I need to research how to take over a deed / title- need to prepare how to do door knocking (I have a sales background and feel confident in dealing with an emotional conversation about someone’s home) - there IS a window of like 4 weeks that I need to prepare for (have my finances in order) to then bid before it goes to auction?

Poor communicators, poor housekeeping skills, prescription med abuse, big dogs that they couldn't properly care for, damaging, etc.

I do all the expenses (simply because that is easier than me communicating with Bookeeper every time I have a charge) and she does inputs on monthly statements, balance tracking, basis, loans (7 loans), and reconciliation. 

Owners do NOT pay PMC's enough to risk violence.4) How is their inconsistent communication really negatively affecting the management of the property?

How can I communicate with you?