Well, I do not know ANYTHING specific about the deal in question, the sponsors, or how the subject is organized, BUT as a syndicator/fund manager I will tell you the greatest risk faced by the limited partner/passive investor is NOT interest rate risk; NOT demographics risk; and not TECHNOLOGY risk; it is the risks that occur IF the sponsor’s interests are NOT aligned with the investors interests.

Many people are suggesting to do a 1031 but have no idea what your gain / tax is(if any).Co-ops in the tri-state area 'normally' don't appreciate a crazy amount.The main reasons is the high monthly maintenance costs, over-leverage of the board, potential difficulty of buyers getting a mortgage and the approval process of the buyer.With that said, talk to your CPA to discuss what your gain / tax would be before thinking about a 1031 exchange.If your tax burden is low, don't bother with the 1031It may be possible that you have suspended passive losses to cover your tax burden.best of luck.

There are so many options out there that bring technology to properties that residents would rather interact with, like texting, etc.

Then I brainstorm options in a people/process/technology framework. 

Or am I overthinking the difficulty of managing these properties, is a property manager necessary?

This change makes it harder to use large deposits as a protective measure, which might explain part of the difficulty landlords are facing in managing tenant risk.As for the post-COVID surge in applicants with problematic rental histories, many landlords across Baltimore have noted similar patterns.

And they're also correct about the difficulty in obtaining either without current income.

However, both mobility and technology and the ability of more people to work where they do not live, has grown this niche, as @Dennis Smith has argued.

So you might have to pay 85k out of the proceeds towards paying down the loan.But if you had them all in individual loans, you'd pay off the loan for that house and that would be it.  70kWhere its really difficult is if you have a 5 year or 7 year term on the blanket loan.

How do I find out why I am having difficulty getting insured?