De Sota is in Jonson County KS which is the hotest housing market in the metro.

High-end furniture, premium mattresses, and a full kitchen setup can increase costs, but prioritizing durability and guest comfort—such as a high-quality king bed, sturdy sofa, and reliable appliances—can enhance the guest experience and drive better reviews.From a tax perspective, furnishings and appliances are depreciable assets, but how you deduct them depends on cost and timing:Items under $2,500 per unit can be expensed immediately under the de minimis safe harbor election (timing of when placed in service may result in the need to capitalize).Larger purchases above $2,500 typically must be depreciated over 5 or 7 years using MACRS.Bonus depreciation (60% in 2024, 40% in 2025) allows accelerated write-offs for qualifying property, including furniture and appliances.Section 179 may allow immediate deductions for certain furnishings, but eligibility depends on taxable income.Since you plan to materially participate in 2025, STR losses may offset W-2 or other active income.

The last question is to organize in ohio or delaware and what we should expect this to run.

For us, Columbus, Ohio, and Miami, Florida, have shown promising results, especially when we apply scenario analysis and sensitivity modeling to de-risk the process.Looking forward to hearing your insights and experiences!

@Marcos De la Cruz  Echoing what other have said, both pros and cons. 

Quote from @Chantal De Leon: Hey James!

@Steve Schaeffer For Question 1, your basis calculation in the DST (Delaware Statutory Trust) generally carries over from the old property under the 1031 exchange rules.

Look into high-demand rental areas like Pine Hills (near colleges) or Delaware Avenue (affordable multifamilies) and consider the BRRRR strategy if you're open to rehabbing properties.

If I purchase a building with rent-stabilized tenants, are there any legal ways to de-stabilize the units, especially after doing significant renovations or rehabbing the property?

Networking or calling local agencies for partnerships does well too as partnerships with local agencies fill vacancies there are several that need STR or MTR (Newark is full of them) everything from economic based agencies like La Casa De Don Pedro to reentry programs to NYC based organizations that bring in workers and would rather not pay for NYC accommodations.