This is a question for people who have done the conversion. Did you run the pipes from the back of the head or use pipes from the water pump? If you ran them from the back how did you install a thermostat. Any pictures would be great.
If you check one of the sections on this site it has some info on how I did it in a KE20. It's a bit breif but it should give you an idea. I think its in the gallery section or something. You're right though, the water and the dizzy are the biggest problems.