The submodel approach is a good one, and solves the problem of meshing a large frame with grain-of-sand elements.
HOWEVER: if you build a singularity, infinity will come, followed immediately by crack initiation. As pointed out above, this is not a mesh size problem.
In the 60's it was common to post-grind welds to
1) remove the thermal shrink stress cracks at the toe of the weld, and 2) create a radiused (non-singular) shape which could then be addressed with Peterson's stress concentration factors, or now by sub-modeling.
As for processing real scattered fatigue data into straight lines, it sounds like snake-oil. At least one engine manufacturer envelopes the minimum failure stress data and shifts it to the left by a factor.
Scattered data is, and the only thing you can do to get MINIMUM life is to ignore the optimistic data points.