New Engine or Rebuild?

[MXDave]

I have a 1999 Tahoe with the 5.7 Vortec Motor with 260K miles. We will use this mainly as a Tow Vehicle for Horses instead of buying a new unit. The car has a recent rebuilt Transmission and Rear End, motor running rough and found the distributor shaft gear was in bad shape so the cam may be damaged.

Here is my question:
1. New Engine (minus the intake and distributor) is $2665 from the Dealer. Not a refurbished, but new.

2. Local reputable shop quoting me $1500 to rebuild my unit, they do quality work. Even cleans up the ports and other little details.

I can pull the extra money together, but has anyone had experience with new crate motors from Chevy? I know the OEM should be good, but wanted some options.

Also, any recommendations on the following:
1. New distributor - Dealer wants $670
2. New upper and lower intake manifold together is $885. Aftermarket?

Thank you everyone who responds. My goal is to have a Truck that runs great and is reliable.

 

[Zipper369]

Although nobody ever replied to this, I would like to know what you ended up doing with your truck.

I have the same Tahoe and she still runs and drives OK, but she's at 218k miles and gradually breaking down on me. I'm in the process of researching my options as far as rebuilding the current engine, buying a crate engine, or buying a short/long block and building it out.

I'm just asking around about what others have done. Thanks!

 

[JBLeeds]

95 Tahoe-I got a re-manufactured engine from Jasper, 100,000 mile warranty. So far running great, no problems. Bought a crate motor for my older El Camino, no issues either, but only a 3 year warranty.