On the broad note of "stuffing" a V8 into the Z32...i most certainly beg to differ... It is not a simple task in the least bit. A significant amount of R&D must be done for Z32 conversions. Barely any documentation exisits on how to accomplish many of these projects. I was able to document the conversion process in order to make it easier for fellow Zers to do.
The VG motor is a complex motor that is very tempermental. Of course plenty of HP can be "massaged" from the power plant. But as HP increases the cost of those increases are quite significant and the motor is still quite tempermental and prone to problems. In fact, most Nissan techs have NO clue what they are doing when it comes to working on this motor. I chose the LS1 for the simple facts that it is a simple proven motor design. Costs for modifying the motor are MUCH lower than that of the VG. Costs for repairs are also much lower. The availability of aftermarket and stock parts is great. It allows a significant amount of additional clearance in the engine bay compared to the VG. Its design is perfect for a Z32 (light/powerful/compact). I couldnt think of a better motor to belong in a Z32.
All in all... to each their own. But in my opinion, the LS1 compliments the Z32 extremely well...not only if you want a high HP drag car...but even if you want a very quick autoX car.