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there are plenty of post regarding this subject in the achieves, but as always, it comes down to how much you want to spend vs how fast you want to go- there are no shortcuts. My own opinion was to enter low with a L98, which can be tweaked to go as fast as I want to go for under $5000, but to each his own.
If you are going to build it for power starting with an 85-86 block with the 2-pc rear seal will give you the best upgrade potention since that block has more stoker (affordable) thant the later l98's and LT1.
Of course you could just buy a late ZR1 (405HP) and add the basic bolt-ons for cost savings. ZR-1s with miles are running 20-30K. But for 450 HP (with goodies) 20-30K isn't all that bad.
Then again the LS1 guys seem to have a good time with just bolt-on packages plus cam and heads....