I would go with basically exactly what i have. I would not go with a 408 either. Get a good 6.0L with a 2wd 4l80 behind it like i did and you will be so far ahead of the game. Then build a forged 370 using the stock crank and a set of compstar rods and wiseco pistons or the brand of your choice. The stock crank has been to +1400whp in both the ohio boys cars, and they say the 370 will make more power than the 408 to boot.
So you saved $1k by using the stock crank, get a set of L92 heads with good springs and a decent cam. GMPP L92 intake and 65# injectors, Intake elbow with the stock TB. Definately go with a turbo, you can get a 302 SBF header kit and have the LS1 flanges welded on and your turbo kit is pretty much done. Put a 91mm Borg Warner unit on there and you should be able to get 850whp on pump gas pretty easily. I make about 575whp with only 9psi and no intercooler, 89 octane. I also use stock everything including the trans.
Oh, and with the 4l80, just a set of good clutches and a shift kit and converter and your done, no new parts are needed.
Gary
Gary