I am building a 70 914 V8 and like the idea of having lots of torque. I just sold my 93 Rx7 Twin turbo and just didn't like the power curve of that engine package.
Most all 914 conversion use a stock-ish 5 speed (901 trans) and its really not strong enough to use all the power. You can't hammer the trans or it will likely disintegrate. I'm not knocking the setup as they do run well if your smart about shifting and applying power.
I am using a 930 transmission which will hold just about anything I can throw at it. They are built for 700 hp and 350 ft.torque. My engine will likely put out a tick over 400 hp or so. I also have 930 suspension and brakes.I agree since the car is heavier you need more rubber to maintain handling but overall its really up to your preferences.I have talked to guys who have both a stock 914 and V8 and they say you can't throw the V8 cars around like the stock engine packages. I hope to have on the road in a few months.