....Back 7 years ago there was a lot of hype about DYNO power (princesses) and everyone wanted 1000hp+
I'd say that's still the case. You still see a lot of massive turbos being bolted to small engines so they produce high peak power. Only thing they're good for are drags and brags IMO.
As for engine choice I understand both sides of the fence. On one side the appeal of a modern engine and the conveniences of them as well as being a good starting point for a build (less work to achieve a goal as you've got a head start) while retaining the unique style of the car offers something that simply can't be bought in a production car in the current market (excluding a few exoticars that are out of reach of most of us). On the other side I also appreciate the effort and nostalgia that goes into keeping it within the vintage.
This will be my last build, I feel. I decided it may as well be something with great style so the 240Z was obvious but I also would've liked a V8 as it's about the only engine that I've never owned and they're not available in any decent cars that I can afford (no Falcodores aren't a decent car IMO, sorry) so this was sort of a last chance. As such I wanted to build my modern interpretation of what the Zed could and should be today, especially after owning a 350Z which I felt really missed the mark in terms of heritage. To that end I chose a modern V8, even a Nissan one to keep it in the family, the VH41. Then I ran into the roadblock known as the RTA. While it's a legal swap they make it far more difficult than it needs to be.
Realising that I'd like to get it done so I can enjoy the car I decided to take an easier path with the RB26 conversion. Afterall the RB series is pretty much the direct decendant of the L6 series so it seemed a fitting swap. That was going to cost more however so that delayed things and work and life got in the way as they tend to do. That was all pretty depressing that my goal had been delayed further. I had intended to finish the project within 2 years but 2 years down the track I haven't even started. So here I am today. My goal now still being a full restore/rebuild and for ease (in terms of engeineering approval etc) I'll be staying with the L series. I've done a lot of planning over the last 2 weeks, more than I've done in the last year and am determined to be on the home stretch of the project by this time next year. Time will tell I guess.