Is yours a VVTi motor? NON VVTI which in my view suits FJ40 better. Simpler electronics and all kinda parts available locally...
How frequent are burnt clutches with the V8? We have never really had clutch issues, first clutch plate replacement was after three rallies and severe screeching road abuse and the plate had decent amount of the desi leathers still on it. Pressure plate had to be changed after one more rally. Nevertheless, this is dependant on conversion quality....
What sort of mileage should one expect? Long drives on loaded vehicle was 5-6 km/l with 4.1 diffs. I did once manage 7 km/l in city with 33s and 4.1s with grandma driving, but its not easy driving it like that: temptations
Any over heating issues? With a decent sized good quality radiator and good electric fans it should not overheat on the road. Would recommend an engine oil cooler if your planning to abuse it hard. Nevertheless, the fans are most important and there are original OEM clutch fans and hydraulic cooling options available.
I apologize in advance for the question salvo. Not and issue. Interestingly I only realised over the weekend that Bilal Gunj is the best place to shop for 1UZs and its associated parts which are readily available in bulk and at decent prices.