Roth SDIRA and UBIT/UDFI

[Jeff P.]

I have a checkbook control Roth SDIRA and plan to invest in multifamily syndication.  I am concerned about how UBIT/UDFI will kick in.  I am new to this so forgive me if I don't present it correctly, but here is a hypothetical scenario:

$50k investment from the Roth SDIRA LLC. The deal would be debt financed at 70% LTV. Typical deal structure of 8% pref, 70/30 split. Held for 5 years and sell at 2X equity multiple.

Would my Roth SDIRA incur UBIT/UDFI tax on the debt financed portion of the equity gain? 

Hopefully my question makes sense.  I would really appreciate help working through this.

Jeff