I originally had a 258 w/ a T-5. I bought an AMC360, TH 400 and the adapter to mate the DANA 300 to the TH400. Expensive swap with a lot to consider, drive shaft lengths, shifter, fuel lines, motor mounts, cross members, exhaust and the list goes on and on.
I am happy with what I have other than the fuel mileage. I'm not sure what your $ situation is but you did mention you drive it daily. Do you have another vehicle to drive while you or someone you pay does the work?
Just consider everything and plan it out. I didn't but luckily mine is just my toy.
'98 Sport, 5 Speed. Green Emerald Metallic. Bestop soft top.
BDS 2" lift, AR steel wheels, 31"x10.5" Goodyears. Stock axles, stock 3.07 gears.
Immigrant from the CJ world...be patient...I can be taught