These LP's are also usually invested in the most risky partnership opportunities, miss out on the most efficient tax treatment and never get to take advantage of the realization events your LP's will experience.

They remind me of investing in ETFs, but with better tax treatment.

In this day and age, the red-carpet treatment for divas starts in the 8/9 digit ball-park, short of that, it's just a distraction. 

You should first determine what is most important to you (tax treatment, hold period, cash flow etc.), as this is a personal preference and may differ depending on the individual.

being a foreigner is he should study Portfolio interest treatment for foreign investors there is ZERO tax withheld on that income if done right.. 

Or do it yourself.But, if he cuts the entire lawn for free for an indefinite amount of time, at some point he's going to expect reciprocal "special" treatment from you. 

But consider this: if an alcoholic was sobering up and not feeling well as a result, would you give him a round of shots to make him feel better in the immediate or encourage him to fight the feelings of withdrawal and enter treatment?

Also, with about 14% total annual returns, i believe us stocks and reits have delivered better tax treatments and better risk adjusted returns for the past 10 years than remote direct re investments which carry high execution risks, poor diversification and liquidity.  

Under each unit we directed the drain lines to a single septic system that could handle all the houses plus we installed a water treatment system for the whole complex, complex because we fenced the whole project, build in a park like setting with one main parking lot with covered parking.

The big issue here tends to be that they can feel like they need special treatment.