Well, I'll throw in my
.
I think just about everyone knows I run 1.12" torsion bars in my 318/904 Challenger. I run tubular upper and lower control arms and polyurethane bushings. I currently run 235/60, 245/60 rubber, no sway bars (yet, although that doesn't change the "ride" much, just the handling), and KYB gas adjust shocks (soon to be replaced). And I
still don't think my car rides too stiff. Which is why, hopefully in the NEAR future, I'll have 17" rims and probably 275/40 tires and shocks that will keep up with my bars.
Now, I wouldn't recommend going that big with the torsion bars, for a street/cruise car it really isn't necessary, and can cause some ride height complications. But I think you'd be fine with a .96 or even a 1" bar. Just Suspension is selling their 1" torsion bars for $199 at the moment, saves about $100 over most places.
1" bars (or .96's) are a good match to the XHD's. As far as the sway bars, the stock sway bars paired with 1" torsion bars and XHD's should make for a pretty decent handling car. You could still improve the handling with larger sway bars, but again, for a street car they should work pretty well. Shocks are an important deal too. The KYB's I have are fairly stiff, but they still aren't enough for the bars I run. Edelbrocks are ok too, but you might look into the Bilsteins Hotchkis sells. At $400 for a set they're a really awesome shock at a good price. For your car, I would put my money into shocks before I upgraded the sway bars.
So, what I would do is- 1" torsion bars, XHD rears, stay with the stock sway bars, and consider the Hotchkis shocks. The end result should be pretty solid handling car that should still be comfortable to drive. The "ride" will definitely be more modern, but I don't think it will be anything approaching teeth jarring or kidney bruising. But I may have a high tolerance for that sort of thing.