I've settled on using Blender 2.6 both as a level editor and modeller for my next game (code name BBM). BBM is a 2D game but modelling the characters and rendering the sprites will save a lot of time. Blender isn't the best level editor but it's pretty close and suits my needs...
Stripification is the process of turning lists of triangles in an arbitrary order into as many lists of triangles that contain adjacent edges. There is a great explanation of a triangle strip of wikipedia.
In OpenGL ES 2.0 glAlphaFunc isn't available, you have to implement it in a fragment shader. There isn't a lot of reference out there for this (not that I could find anyway) so I thought I'd write this up.