I did a 360 block some years back and the KB-107’s that have a near identical compression height. They were also -.020 in the hole. This will allow a thin head gasket, I used a .027 from Cometic and it still allows for a OK quench and ratio for pump gas. The ratio was approx 10.25-1 with an Edelbrock head.
It’s said that a decent quench starts at .050 but not more. If you end up at .020 in the hole and the .027 gasket, HEY! .047, under .050! Your in! Head milling optional…….
Since, (IIRC) your cam isn’t to large, you’ll create a decent amount of low end torque. I don’t think it’ll be a rocket out of the hole but it won’t be a pig.
What cam did you decide on using?