Mike,
Are you staying with a 3.50” stroke (351) or going longer? (3.75”, 3.85”, 4.00”)
The SVO is not a bad block but I would suggest looking at the DART block in either Iron or Aluminum. Consider the 4.125” Bore option.
I am not familiar with Pro Action. Are they a porting company? Are the heads actually a Yates head, SC-1, etc? (I noticed that you are using T&D shaft rockers, which suggests a Yates type head). If not, take a good look at a properly ported Yates SC-1 head. Check
http://www.chapmanracingheads.com/p_home.asp , they are very good people.
If the Yates are a little too much for you, then I would agree with Ron, get AFR 205s.
Unless those heads are Iron (Seems unlikely) the compression is low. For aluminum heads with that kind of cam 10.5 would be much better.
The RPM Airgap is a great manifold up to about 6,200 rpm. If you are going to 7,000 get a Victor Jr. (This will also help with keeping the torque down at lower RPMs). (If those are Yates heads they take a special manifold and neither the RPM or Vic. Jr. will fit _ Edelbrock makes several Yates manifolds).
Last: If I were spending that kind of money on those bottom end components, I would look very seriously at a Mechanical Roller Cam. (The Yates heads require a mechanical roller). Look at something like Comp Cams street roller series, they are not as radical as a race cam, use lighter spring pressures and the extra lift will give you much better power with a good set of heads.
Use Crower roller lifters with the “High Pressure Pin Oiling” option. (Yes it is fine to mix brands with the Comp Cam in this case). There is a problem with pin oiling in the lifters on engines that see a lot of low RPM usage (Street) and these lifters solve it.
You will probably need a cam in the 250 deg @ .050 range, or a little higher. Lift should be over .600. Don’t go crazy on lift, stay away from anything over .650. You want a cam where the spring pressures are well below 200 lbs on the seat. Racing cams with 225 to 250 lb springs will break valvetrain components on a regular basis. Call the tech people at Comp or Crower, tell them this is a street engine and you don’t want anything that is not reliable.
If you decide not to use Yates heads, use Comp Cams Hi-Tech Stainless Steel Rocker arms.
If built properly with the Yates or AFR heads, that engine should make over 550 hp at 7,000 rpm. (The Yates will obviously make more than the AFRs).
As for the transaxle, you might want to check with Ultima Cars in England.
http://www.ultimasports.co.uk/ They use that transaxle, and a lot of their owner run very high HP engines, so they should be able to tell you how it holds up.
Kevin