Making power out of the 318

it all hinges on
The OP insist on two things he's unwilling to compromise so far 3.21 gears and 400 hp, everything else he's been open to. A 360 magnum will work better under these requirements.

Not that I don't think he couldn't build a 400 hp 318 but don't think it's gonna work to well with 3.21 gears.
Zero deck 318 a set of rebuilt magnum heads, airgap and a 235 ish cam should put him around 400 hp.