Tight quarters in that engine compartment - congrats on getting that engine shoehorned in. Well done!

Regarding shifter position, my Mk3 is in the same place in regards to the frame. Since mine is a 302 it is in the “forward” of the two rear options on my TKO. With the supplied shifter’s radical angle everything ends up in a good place. Any further back and my arm gets jammed up against the seat. Hard to tell but here’s some photos: