How big would the potential gain be (as if it is a development and stabilization play, I would imagine that the sale would be most of the return, and would have operating losses and little to no cash distributions until the liquidity event)? 

forget listed buildings, deal with owners directly, look st 50 buildings before making even one offer. learn alternative creative financing, delayed settlement techniques, check funds, skinny contracts and hybrid offers.good luck - don't forget that it's no magic to make cash disappear. 

You can borrow from hard money lenders.You can borrow from private lendersyou can use the BRRRR method.Keep reading here and you will learn more about these techniques

I'd like to invest in real estate and take distributions equal to my cash flow.

In a company like mine, I can make over $100,000 from this one technique while paying out less than $10,000 a year in damages (last year was less than $7,000).Here's another one: Resident Benefits Package.

The title company collects all of the funds and distributes them accordingly. 

Are you pay $12 for every ACH distribution?! 

How profit is distributed to each partner (financial and renovator) from both an equity perspective and a cash flow perspective3.

Is it a distribution?

@Jim Goebel There's a lot of little details to each of these accounts.When you take distributions from a Traditional IRA (Self-Directed or otherwise) you pay ordinary income taxes in the year the distribution was made.