I've got one of each. A 383 lt-1 in a 73 Z and a stock ls 1 in a 72 Z. The 383 has 420 hp at the wheels, the ls1 is about 325 at the wheels in stock form. Several guys on here have gotten over 400 hp at the wheels with only a cam and valve spring change (I think).
For bang for your buck, especially with some one else doing the work, I think the ls1 is the way to go. There is a bigger market for the ls1 stuff and as already mentioned with the lt-1 you will probabaly have some issues with the optispark.
Either motor has the potential to get the power you are looking for. Both have proven installation kits.
The ls1 motor does have an alunminum block that will save you some weight. I think the weight difference between the blocks is about 80 lbs.
Good luck with your project.