You can find guidelines for determining material participation, the rules for determining who's a real estate professional and what's active participation, and the special rules that apply to the income and losses from a passive activity held through a publicly traded partnership (PTP) in Publication 925,"Basically, rental is generally passive unless you are a real estate professional, HOWEVER, refer to pub 925 for special rules.  

To me, I don't see why anyone wouldn't do cost segregation even if it ends up being held as a carry forward loss. 

This means that if anything goes wrong with the property—like a tenant getting injured or a lawsuit related to the rental activities—the LLC, not you personally, would be the one held responsible.

As noted, any commercial sized assets are already held in an LLC, which it typically the borrowing entity, which is owned by an LLC where the LPs come in.  

@Mike Jacobson while this is not about DST but great verification that self storage has held up well compared to other classes. 

But they were in solid areas and the investors held on and are now benefiting greatly!

In Upstate NY we are held hostage by our electric and gas company so you never know if you will get a $120 electric/gas bill or a $3,000 bill.

I'm in the process of setting up a business structure for my real estate investments and would greatly appreciate any assistance or referrals from those with experience in this area.A Bit About MeOver the past five years, I’ve acquired a few duplexes in Illinois, all currently held under my personal name.

My LLC is already created and I am filing for the EIN and was held up on this 1 or 2 member step for these reasoning.

I am currently liquidating my portfolio, which formerly held my rentals.