The neighborhood I was interested in is a college-town, so many rentals are occupied by students, as landlords can make more money charging students by the room as opposed to renting to families. 

Student housing is a good option for boardng space.

Does the general partner (sponsor) generally participate in that?

Not a very common strategy out here, even in the student rental space in Tempe around ASU.

,I am currently a university student working as an undergraduate engineer living in Queensland, Australia.

$44k in student loan debt at 9%.

During my time at college, I was the type of student to never show up to lectures yet achieve straight A's in all my classes.

The best protection available is when the charging order is the only remedy (ie, any creditor can only get distribution made out of the LLC if any, but can't force the LLC to foreclose or have an active participation in its operation, but still has to pay all taxes due even if no distribution has been made).A lot of states don't have the charging order as sole remedy and a judge may order the LLC to foreclose.

Does anybody know any other way to get a HELOC or any banks that will participate? 

I am not sure how you can build new construction small projects  and make them pencil. and then with 20 unit and more needing affordable housing component NOT ONE permit has been applied for for a 20 an up since the law was in acted.. so the law is there but the free market is not going to participate so there will be no affordable housing unless the City state keep up with low cost bond issues and tax credits for developers.