I have a tale of woe for you who may be considering Hybrid REAP with local switching.
My client has a varied configuration, but the requirements basically screamed HREAP with local switching. They have 15 sites, had already purchased a single WLC 4404 and they needed between 4 and 24 APs at each of the sites. Each of these locations are connected by a WAN link of good quality, but only a single link so there is no assurance of availability; the client has local resources so it would be helpful if wireless stayed working during an outage.
So I setup the WLC for HREAP local switching. I setup AP Groups VLANs, but I noticed it had no effect on the VLAN allocation for HREAP. This was unfortunate, because not every site has the same VLAN configuration - some sites had a L3 switch and others only a L2 switch. But I suffered through this and configured each AP manually with the appropriate VLAN mappings.
The infuriating thing, is now that they have bought a second WLC 4404 (they expect to increase the number of APs beyond 100) all these VLAN mappings are messed up when APs connect to the second WLC. I've been going through them one by one again - it is really unfortunate that the AP Groups VLAN mappings don't apply to HREAP local switching.
I'm going to get back to the next 80 APs - but if some of you have a system for handling the VLAN mappings of a large number of APs please let me know.