I know hp figures are more flexible with a turbo, and turbos have an undeniable cool factor to them (over and above SC's), but there are some reliability (and heat issues), not to mention price concerns.
i'm not sure where you're getting your quotes, but as far as i know, a 400hp super charger will cost more than a 500hp turbo. it's tough to make big figures like that on [what i assume will be] an I6 with only a super charger.
also, in my opinion, super chargers have a big cool factor too

in fact, one of my project ideas is to get one of those big 3.6 H6s subaru is putting out now, supercharge it and drop it into a forester.
Initially though, I want to have a streetable autox car that can serve DD functions in a pinch, but still turns on rails.
bmw is a definitely a good choice for this.
I would like to build up my driving skills during this autox phase, before I get hardcore about gutting the car and upping HP.
Then I want to gut it, and get some racing buckets and a good cage welded (not bolted) in.
bolt ins are worthless. good plan.
I have two HP goals. I initially want a super reliable 400hp road course circuit racer, that can still be driven to the track.
Once funds and other car projects present themselves, I will probably want to go over 500hp to start demolishing the exotic metal that gets taken to track days.
it's good to see that your primary focus is suspension.
my only warning is that you be careful with choosing your spring rate if you're really gonna DD this thing.
the springrates on my subaru were *way* too high for the street. it was alright when driving to and from work, and made for some fun, fast commutes, but when i had to drive any further than that, i was practically bleeding from the asshole by the time i got out.
by the way, i've gone back to my stock dampers but with upgraded springs.
with the fat ass sway bars i have, it hasn't cost me any handling in my driving. the body does still roll a little, but hey, it adds a little thrill to the ride!
very happy with where my car is right now, but coilovers will go back on the car at some time. i'll just make sure they're softer than the tein flex i was using.
overall, even if you go supercharger i still approve. that will be a fun little wagon.