He's not trying to get around enchanted items. Just make the equivelant of a bullet proof vest with magic instead of kevlar and an industrial sewing machine. It still has the holes of a bullet proof vest of not protecting against being thrown off a building, etc.
Areas like this are where DFRPG suggests you start from desired result and work backwards to which mechanics fit. So, if the desired result is a normal kevlar-like vest which, for game purposes, will be indistinguishable from an actual kevlar vest I'd just treat Lore as a resources roll. Figure out the Resource 'cost' for a kevlar vest, add a couple for "doing it the hard way" (i.e. Using transformation instead of just buying it.), and if you succeed you've transformed your coat into a kevlar vest. As a transformation, it changes the clothing to be armor - it will look like armor and be just as obvious as wearing a kevlar vest. On the other hand, if your desire is something magical which humans will think of as a normal coat or piece of clothing I'd go with an enchanted item.
Also, make a glass wand as strong as steel, making it difficult to break.
Same idea as above. You can transform the glass into steel in which case it has all the properties of steel or you can magically enhance the glass as an enchanted item.
Transmutation gives permanent aspects, i.e. If someone was transmuted to be a quadruple aputee, would you then have to tag the aspect each exchaned in order to prevent him from getting up and kicking your ass.
should permanent aspects applied to someone, something have to be tagged each and every exchange in order to keep the transmutation. which had to be aquired by a taken out result.
Transformation
can give permanent aspects. It may also be modeled as a block or even an attack leading to takeout. If you're turning someone into a quadruple amputee, you're going to need to take them out.
Seriously. Fit aspects to the effect not the effects to the aspect.
I knocked someone unconcious and tied them up. If I had to tag the aspect of tied up each exchange, would he then be able to just get up and walk away, as soon as I ran out of fate points.
If you've knocked them unconscious you've taken them out. If you've got someone tied up you should have a free tag on the Tied Up aspect which you can compel (or invoke for effect) once to get all the narrative effects of them being tied up (can't move, can't use hands, etc) for at least a scene. How long and exactly what the limitations are is negotiable - a contortionist will be less limited and get free sooner than most of us.
Bottom line with FATE games - only some of the mechanics are there to simulate an action or event. Others are for manipulating the narrative. Sometimes an aspect compel declaring a narrative result is all you need. When the desired result is being actively resisted, it's probably going to require a takeout via combat to force the issue.