This entity basically acts as the operations arm for the property and has all operational authority. 

There are many other asset protection strategies you can use right now: fixing all health/safety issues, being a great landlord, using property management to keep you compliant, using leverage to limit your equity target, having great liability insurance, having great umbrella or commercial insurance...If you have questions, feel free to PM me.

Get the refi done, then apply for the HELOC for your safety line.

The properties are located in the center of the most popular campus a block or two from all major restaurant/bar, main library, a block from the University bus stop and safest and most patrolled location for student safety.

Inspections usually cover basic functionality and safety items. 

Safety and security is very important to me. 

If you want more of a safety margin you might want more.  

your option c could be the quickest way as long as it can be considered an arms length transaction. 

We are ok with the neighborhood regarding safety and everything.

In addition it clarifies you may evict ONLY under a handful or circumstances such as illegal activates in the property, severe damage to property, tenant presenting immediate threat to safety of other tenants such as domestic abuse situations, and when the property owner or family have a housing emergency requiring their need to reoccupy the property.