Is there space for the cotbet (or a travelcot) in your room? That way you could do it in stages - first she sleeps in her own bed in your room, then, when she can handle that, you put the bed back in her room.
Our DS has always had his own bed, but we were like you and coldn't resist him coming in with us when he cried. We've just (mostly) cracked him sleeping most of the night alone (he comes in for a cuddle when he wakes after 6am), but had lots of sitting with him in the middle of the night, holding his hand through the bars of his cot. What did it was us teaching him to get to sleep by himself, rather than hovering over him. That we did in stages -
First I sat by the cot, holding his hand all the time and reassuring him. Then I sat there but didn't hold his hand and ignored him, though I hummed constantly to soothe him. We would walk out of the room for a minute or two if he cried, then return and ask him if he was ready to go to sleep.
Once that seemed to be going well, we switched to reading him a story, then tucking him in and leaving him to go to sleep by himself. For the first few nights I sat in the doorway reading, so he could see I was there, but I paid him no notice unless he got up and made a fuss. After that, we just let him fall asleep on his own, but when he made a fuss would go and tuck him back in, leaving it for a few minutes longer each time he stirred.
As he got better at falling asleep by himself, I noticed that when I went up to settle him in the night it was more a case of telling him to lie down and tucking him in, then going back to bed myself. I still have to go up in the night, but usually only the once, and for far less than the half an hour or forty minutes I used to spend there, and I no longer end up sleeping in his room or bringing him in with us. we have relapses still, where my DP will bring him in too early and we'll get kicked in the bed, or (like last night) where he wakes up a good four or five times), but other nights he sleeps from eight to about five thirty without waking.
Sorry for the long post, but I hope there's something in there which helps you!