Nobody?
?
Sorry....Never opened the thread..
I got you covered, but you will hate all the answers I am going to suggest.
I am going to go out on a limb and assume an OMC outdrive, because a 351 powered Mercruiser is quite rare...
If an OMC, the gear ratio in the drive will determine what engine you have to run, if 1.50:1, you need the torque of the 351, if 1.65:1, a 302 will be awesome, but quite down on power for a ride that big...(it will always be working it's arse off..).
Now, most of that will go towards a Merc, but the Merc is more user friendly as far a replacement parts and adapting to different engine packages...
I will throw this out there, for the money you would throw at this deal if an OMC, it would be a perfect candidate for a jet conversion...

Through transom exhaust sounds bitchen, there is a very small amount of HP to be gained (in the 2-5% area)..
I have never heard of a Waikiki, going to be a splash of something.....Good looking hull really...

As far as the difference of a 351 vs. a 302, that's 50 cubic inches of difference, think about that for a minute, that's huge.

Lemmeknow what drive system you have, I think I can help you out either way......

GT