The lender has to allocate their limited funds to your project and don't have the ability to lend it to other projects.  

Often, just asking to schedule a visit can tell you a lot about a company, so it can be a good litmus test.Sounds like you have some soul searching to do to determine what your priorities are with regard to day-to-day control over the investment and time / energy allocation.

If CapEx was allocated the way it should've been, it would've only needed 1 superintendent and maybe only 2 people working in the office.

Treat each separately and allocate the economics to each.  

Only 10% of the rehab budget  would be allocated to the unit.

I have about $50,000 in working capital (which is the reason for 100% financing as this capital will be set aside for any deferred maintenance repairs cap ex etc.) and another $5,000 I have allocated to marketing. 

Further, I feel like over time the home value and rents will increase so that it is not really necessary to allocate money I could use now into the mortgage.What would you do?

You don't arbitrarily pick a rehab budget and then guess at how to allocate it.Instead, you should figure out what needs to be done in the property, and then determine what it will cost. 

Some guys offer a preferred return (a % return on investor money before you participate in any profits), some people do a straight split on equity (IE 80/20 investor/sponsor split where cash flow, refinancing proceeds and sale proceeds are allocated according to equity stake), some combination of the two, etc. 

In Connecticut there is a big difference in the process if there is the previous foreclosed owner who is still occupying as opposed to tenants.Be sure to allocate money into your budget to account for the worst possible scenario that could play out with the occupant.