It would simply be another level up from the LLC taking title.

It is simply a return threshold that needs to be hit before the GP can share in any profits above that level.  

Here's where I'd poke a hole though: providing care.

In short, he could simply not return the money or the profit by saying that he had reasons of force majeure, without clarifying any additional details.

The quaility of old existing units, and the ability of the long term population to pay new rents, blended with an influx of small high end mill conversion units is simply not balanced.

I found simply raising rent to the max allowed is better than an eviction they move with out all the fuss  :)

What I'm seeing in the industry as a cautionary tale for you is that simply the reputation of the company is not going to necessarily carry the day.  

We found out the potentially the whole block has led pipes so we are needing a contractor to cut a hole in the floor.   

I see some of the states that are still stuck in the 1800s using title abstractors taking a week two weeks.. the folks that are local simply dont know any better as its just SOP for them.

Simply making more calls doesn't guarantee money.