I'm in the process of installing option 2. I was in your position at one time too. Let me tell you, with the alter-k-tion kit, there is a ton of room in the engine bay now, and it's lighter. It was that or Just Suspension's "The Works" kit. I always wanted the alterk though so if I was going to spend that much money I wanted to spend it on a setup that I wouldn't regret years later. Thats my opinion though, some people like keeping their stock K-Frame, I'm not building my car to be original though so the choice is yours!