Can I use my carry forward rental loss (mostly coming from depreciation) to offset income made via K1 partnership?

[MJ55]

We have a small rental, that brings in some positive cash flows. But after considering depreciation, it becomes net loss. We are not able to deduct the rental loss in the same year to our ordinary income. As the year goes, I assume we will have some additional rental net loss (b/c of depreciation). In a year or 2, we expect to receive K1 from one of the PE funds we invested in, it will very likely be an income. My specific question, is whether the carry forward rental losses can be used to offset the K1 income. And does it make a difference that the rental loss is coming from the depreciation?

Many thanks to your advices ahead of time!

[AliciaP1]

When the activity type matches, losses and income can be offset. If your partnership and rental income both classify as passive activities, then yes.  See Passive/At-Risk for more information.

[Carl]

I may not fully understand things, but as I "do" understand them, gain on one activity can only be offset by the losses of another "like-kind" activity. I get the impressions that the two activities you are referring to are not "like kind". But again, I don't have a full understanding of the details that affect you.