I think you are misunderstanding what I say and are criticizing that. 

Each time I heard about this concept it was in a vague context, so I assumed either I was misunderstanding or that it was not a realistic strategy.

@Zach Edelman - I'm probably misunderstanding what you are asking for, but Bigger Pockets literally has a BRRRR calculator under the "tools" menu.Good luck!

Maybe i'm misunderstanding it.I'm not giving legal or financial advice but if i was, a. - I would not ignore their letter.

A house rule could be added that would clarify and help avoid misunderstandings if it stated, for example, if a person stays there more than 14 days in a 30 day period then they need to be approved as tenants or have some other sort of approval from the landlord.  

I belive the big misunderstanding is to think you you grow your cash flow linear until you reach 11k, like a ramp.

Or am I misunderstanding?

I mean, great if you are, but if that's your expectation than you are misunderstanding the STR asset class.

These forms provide a written confirmation of the terms of the oral rental agreement and help prevent misunderstandings or disputes down the line.By having tenants sign estoppel forms, you can verify important details such as rental amounts, deposit amounts, and any additional agreements or responsibilities.

I don't know if you have to, but it wouldn't hurt to disclose it to the property management company and prospective tenants to avoid potential conflicts of interest or misunderstandings.