They are controling a large part of your cash flow.

What'sthe point in investing your hard earned money for someone to try and take your equity because it's never the houses people are after but the equity.It's the oldadage, "own nothing, control everything"!

You use a pressure regulator on the main to control this.You can buy little regulators that check your faucet pressures at HD.I like the new valves under the sink where you turn it off and on with a simple shut off.

I always viewed many HOA's/property management companies as groups of people who cannot excel at anything professionally, so they do that and get a ego/power kick out of their newfound 'control.'.I do not know if this is state by state law or not.

Figure out how to own/control what you have, then make a call, in your opinion, how much insurance is enough.

It's unclear how much, if any, this might play into it..So my proposal seems to fit into what he is looking for. 1) He gets one monthly check for all his units (he seemed relieved to be able to do it on this unit, so maybe he's happy to do more.. maybe he just doesn't like the landlord risks). 2) He doesn't have to worry about vacancy or evictions, because I'm responsible for it (I would also propose giving him a big deposit for good faith, and my personal credit and cash flow, which is substantial..). 3) The rents would also be at a much higher level - which will help so he's not bound by low rents under rent control in Oakland.

Remember you don't have to own a property to control it.

A lease/option gives the tenant/buyer very little control and the landlord/seller has a lot.

If you are the controlling partner in the ownership entity and don't do the first position hard money, you will still need to take over the project to protect your position.Since it doesn't sound from the tone of your post that you know the developer all that well, I would only do the 70% 1st position, and never do the 2nd position (either equity or loan)

Remember you don't have to own a property to control it.Good luckPaul