Depends on the kid I suppose...I've actually seen those wholesale engines perform adequately before. They're not designed to be powerful--they are reman'd to factory specs, and that's it. Here's some perspective. A good friend of mine's '95 Cobra with a custom built 331 (stroked 302) with Novi 2000 supercharger started consuming coolant, after many intake and heads off exercises, we finally found the culprit-a cracked cylinder. Well, by this time he wasn't as well set for funds because of the what seemed like constant money wasting for the top end coming off bs. He took a chance on a local wholesale engine place...he bought a $1000 shortblock advertised to have forged pistons and ARP hardware-local option at that particular store. We verified the hardware and they were indeed forgings--old school trw slugs, probably sitting on a shelf somewhere gathering dust, but he needed the engine. We didn't touch a thing on the bottom end, transferred all the needed parts from his (oil pan, accessories, top end, and cam/timing set AND the blower), slapped it in the car and fired it up--no problems, not a one. After a trip to the chassis dyno it pushed down 430rwhp with the slowest pulley on the head unit. It never consumed oil or coolant, drove just fine, and never popped any gaskets under boost. He drove it in Texas and in California for several thousand miles as the DD before it was stolen out of his driveway. I still have pics of that car and both of us get mad when it comes up in conversation about how after all the work we did to make that car run well, some asshole stole it...
On the flipside, I've seen those shortblocks spin bearings within 100 miles and need a trade in...YMMV, I suppose. If it makes it past the first tank of gas without issue, you're probably ok. Honestly though, if he needs an engine, and you can't find a running core out of the local classifieds/craigslist or the salvage yards, the wholesale place may be worth a shot, but if you do, just be damn sure you get the low down on the warranty and any conditions.
BLUF: if I needed an engine or shortblock, that was the only option, and I were in his shoes, I'd do it.
Just my .02...
