Your suggestion would fall into the organization cost in my above picture (pre business beginning).

Where we stand at the moment is he has capital, he is interested in investing, but with his job and family he doesn't have the time.

I would suggest using your strengths as insurance analyst and your passion in real estate to get conversions going and you might be surprised where it may lead you!

What you are suggesting (no long term partnership) is simplybto have party B step in as a lender in second position where once the loan and interest is paid, then party B is done and party A starts and remains as sole title holder.

Any and all suggestions from experienced investors are welcome!

I would suggest to him that his LLC have the 50% ownership interest in your SPE.

@Will Barnard - Thanks for the suggestions! 

I'd suggest focusing on the market where you intend to invest personally.

I've heard the suggestion on several podcasts that a great way to get started would be to buy a small multifamily and live in one unit and rent the other units.

I have considered this, and if I decide to retain the property will definitely folow tour suggestion.