Get somewhere with experience to do your gear set up. That way you know they have done it before and since you'll buy the parts there as well, you'll have warranty. You'll need the flange adapter for the 8.8 swap,, IRO sells them.
As for the spacers, don't get 5/8" and it is perfectly legal to run spacers front and rear. If you only want that much less backspacing, just use a new wheel that takes that into account, otherwise you should be using SpiderTrax or similar spacers. Also, where are you moving the control arm brackets to and why?