The Address Inheritance process does not copy the address to the child account if the Controlling Address does not have a Record Type set, even though the rest of the data is correct and no failures are shown on the Apex Job page. Is this the expected behavior?
This is working as designed. Even though no failures are shown on the Apex Job page, the Controlling Address must have a Record Type.
The Record Type of the Controlling Addresses must be changed to have values other than null (the master Record Type).
CRM Help Documentation: Address Inheritance Support
Knowledge Base Article: Address Inheritance Does Not Create or Update the Address Records in CRM Online
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