If you are going to do the body lift at all, just do the 1". The extra 1/2" is not going to make any difference on center of gravity unless you are running no sway bars - then it can be sketchy no matter what. Even with a 1" BL, and the pinchweld work, the fronts will still rub when the suspension is cycled with not a whole lot of steering input when off road. On road is not a problem except for full steering lock - then my Duratrac side lugs rub the frame.
The 4crawler site is very overcomplicated but he gives away a lot of good info. I ended up making my own. You will absolutely need all new bolts except for 2 where you can reuse the originals where the shortest ones went. Get them at McMaster Carr when you buy a one-foot length of 2-1/2" diameter UHMW to saw the pucks from. You will also need the steering rag joint spacer. Find a buddy with a milling machine - it's not a very difficult piece to make, but not something you will want to hack out with a dremel and drill press. The fan shroud issue is easy to solve - the bottom half is removable. Mine has been gone for years. I also made my own front bumper relocation plates.
My runner isn't a regular weekend off road machine, but does see some year round. I've gotten by with a 1" BL, 33's and '99 highlander springs for several years now. Driving technical stuff with a lot of suspension articulation requires approaches with wheels mostly straight to avoid significant tire contact. If no rub is the goal, you will need a real suspension lift, diff drop, etc. and you won't need a BL at all.
