Guys,
Thanks for the thumbs up and input. It's really appreciated and helps my motivation to finish. I sometimes wonder if this project is worth posting as it opposes what most 914 owners are trying to accomplish.
I was incorrect to say "from" water to air IC, it is currently air to air. Water cooling will complicate the plumbing and I haven't even dealt with the heater yet. Considering the engine heat and yes the turbos will multipy that, if I cut the sidewall it will primarily be for a little extra space for the intercoolers. And I thought the "bigass flares" would be big enough for the ~7" wide IC's!
I can put another cover on it to insulate them from the heat which will re-strengthen that wall.
I'm going to try stock location first and as Sonu suggests the plumbing can be re-routed. If I relocate them too far from the engine, the air will have to travel even further. Maybe supplemental inline cooling would work
You can see the IC's on either side in this wrecked Audi