I've been known to let my engineering side get ahead of my common sense side now and again and I can totally get behind a complicated swap, but my gut just feels like a 4.0 block/heads/(intake/exhaust?) would be the way to go. stockish with modern innards. I'd probably even go and paint the valve cover and intake a dark color so they blend in rather than be all blingy. #oldirondeservestolookold?
I guess I can't really comment on the transmission though, as I haven't driven a non-od trans yet.