Yes
LLC stands for Limited Liability Company and is a State recognition.
Shareholders of a Corporations already have liability protection, so there is no reason for a corporation to be an LLC.
For tax purposes, the LLC must be a sole-propriety or partnership.
The article you linked mentions Partnership, but in the context of that article, they are referring to holding title as a partnership. How property is held is governed by the state.
If your LLC is a "Single-Member" entity, it would file Schedule C.
Form 1065 is for a "Partnership" entity.
You would have had to set up the LLC as a partnership if there are two members (unless this is spouse and spouse) and you would have had to file a Partnership agreement and filed for an EIN.
Since the property you refer to is held as 'Tenancy in Common" by two PEOPLE, each person would report the rental on their own Schedule E.
You could set up a management service as a business, but the property would still be owned by the individuals and rent would still flow to the individual owners.
The IRS has also ruled on when sharing rental property REQUIRES a Partnership, in which case the ability for each owner to sell their share is lost.
IRS RULING
If this is all about the liability, perhaps each owner should obtain landlord insurance on the property.
This is a situation (with both state and federal implications) where you would be best served by a local real estate attorney.
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