@Alex P.Here's a few references to start that may help you to find the answer to your question: Treasury regulation §301.7701-(3)(b)(1)IRS Private Letter Rulings 9807013, 200732012 and 201216007If you need help finding these or interpreting them, as well as knowing how reliable they are for you to use for your own taxes, consult a tax professional. 

U can stick build for less.. they work in areas that will be very lax or dont have building permit regulations etc etc..

@Kathy MerkhI believe they have a regulation a+ offering if it’s this company: Here is there information for fund 2.https://www.sec.gov/edgar/search/#/ciks=0001831623&entityName=Connect%2520Invest%2520II%2520LLC%2520(CIK%25200001831623)Question I would ask is where are you on the debt stack and what are they investing in?

You may want to check on your city's or county's animal regulations for information. 

Hi Angelo, I do but Europe is huge and very differentiated you need to understand the current local laws and regulations and appraise the risk of them changing (getting worse).

How are things going to STR in spain with the new regulations? 

Small banks use to do this before such practices were regulated and many got in trouble in attempting to influence a borrower, thus the regulation.

Having an LLC in that state may simplify compliance with local regulations, tax filings, and property management.

There are new regulations.

It is good that you are doing research for the regulations of the different cities.