I  and am wanting to take out a HELOC on a rently property that I own outright. Wellsfargo will only allow me to have 4 loans and this will make the 5th one with them. Do you have any suggestions on who would give me ...

Should I look at local banks or will a larger bank have a go at this? 

Each state's tax jurisdiction has its own eviction rules.

I typically see the disbursement around the 10-12th of the month, with it be direct deposited into my bank.

How can I improve my credit enough so the banks feel comfortable about giving me a loan.

I would think the devil is in the details of the other terms, but how about:$260k cash or,$263k owner finance with 30 year amortization, 5% interest and 5 year term or,$265k with 30% down and 70% bank finance. 

I've heard some instances where the City allows the homeowner to get away with a sprinkler in only the new unit, but I don't think you can bank on that.Drawings/Permits - The City will require the new unit to be permitted, and may require a full set of drawings and plans.

I then have them with a small bank in their portfolio. 

It's definitely a city that should continue to see appreciation as investors and developers come in and put their money to work.I wouldn't do any land-banking there if you don't have patient capital though.But if the properties you're analyzing are cash flowing now then I would definitely say pull the trigger.

Beyond that, you should be able to find a lender who will work with you, make some calls, visit local and regional banks and credit unions.