So, it will be taxed at your marginal rate and subject to "all" taxes such as self-employment tax. 

From real estate sales, wholesaling, flipping, rentals, lending, self-directed IRA and Solo 401k investing, or tax and legal guidance, you will find that many members here are very knowledgeable in their respective fields.

Only thing I'll add is, I'd only want to be investing in a C- area if I was self managing.

Since we do self service SelfStorage, it does not work to do U-Haul at all of our locations.

The goal for 2021 is a laundromat for Going Coastal, and personally, it’s looking like a 1031 into either a small hotel (couple offers shot down so far), or if the right situation came along, a value-add self-storage facility just for the purposes of diversifying away from the beach.

I have previously operated a family owned coin op self serve laundry for 2+ years and am very familiar with the area. 

-Self storage?

Rented on old primary for eight years, self-managed 5 tenants.

Hoping to purchase a portfolio of someone looking to retire from SFH rentals who self manages.

In your situation you have a few options including converting an existing IRA into a self-directed IRA, or SDIRA.