How can I leverage college money for an inv. to afford college?

[Brent Fisher]

My daughter wants to go to NYU. It's $55K/year (oh my). We saved up $25K for college, so we are short! However, I have a $250K of equity in my house in terms of a HELOC that has a 10 year deferred payment option at 3%. I'm looking to buy an investment property. I'm wondering if she could use the cash as an equity partnership in a deal that would allow her investment to gain nearly 40%/year until she graduates to help pay the loans that will be due. After 4 years, that initial investment, growing on this leverage 40% return would be nearly $100K

That would be quite a chunk against her $200K loans. 3 more years and she can pay off the whole thing, but she'd have to figure out how to pay her $2600/month student loans in the mean time.

Also, since it wouldn't be very liquid, I'm not sure how I could cash her out when she needs the money, besides selling the house at that point.