Unfortunately due to the strict tenant rights laws, there are "Professional Tenants" that know the laws very well and essentially live rent free as they manipulate and swim through the legal system.   

Essentially it is not "grandfathered in" because it was "illegally"  done at the time.Some additional background:All three units were occupied when I purchased the property.The seller owned  it for 32 years and did not fill out a property disclosure. 

ARV for that 4plex will be determined largely by comps, meaning essentially, it's worth what the same property next door sold for. the ARV is independent of your cost, or the cost of rehab.

Intangible rights to the asset may be another story...https://www.sec.gov/about/laws/sa33.pdf(1) The term ‘‘security’’ means any note, stock, treasury stock, security future, security-based swap, bond, debenture, evidence of indebtedness, certificate of interest or participation in any profit-sharing agreement, collateral-trust certificate, preorganization certificate or subscription, transferable share, investment contract, voting-trust certificate, certificate of deposit for a security, fractional undivided interest in oil, gas, or other mineral rights, any put, call, straddle, option, or privilege on any security, certificate of deposit, or group or index of securities (including any interest therein or based on the value thereof), or any put, call, straddle, option, or privilege entered into on a national securities exchange relating to foreign currency, or, in general, any interest or instrument commonly known as a ‘‘security’’, or any certificate of interest or participation in, temporary or interim certificate for, receipt for, guarantee of, or warrant or right to subscribe to or purchase, any of the foregoing.

If I was a private money lender I’d never want to be in second position.From your questions and your answers it sounds like you basically want to buy a property with essentially 100 percent financing.

I️ contribute this to the hit Ag and Oil took in the recent past so we haven’t seen the big growth a lot of the rest of the state has seen.

Essentially, we feel that they do not have our interests at heart and that the minimization of vacancy was not adequately incentivized up front. 

Essentially, the allegations in the complaint are taken as true and the burden rests upon Defendant's counsel to articulate and prove the lack of a cause of action.

Whether you sod or seed, watering will be essential to getting grass to become established. 

So essentially, it is a taxable event only if the LLC elected to be treated as an S-corp (or a C-corp), but it isn't a taxable event if the LLC remained a Partnership?