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Sounds like an awesome plan and like you've said... it has been done before so it's not an impossibility.
How much power do you want? The 500cc efi conversion will probably include O2 sensors to make it autotune. The EFI for the 650cc engine I believe is non-tunable. The smaller 650cc engine might be easier to fit into the 250 frame. Always easier to fit smaller things into a large space than it is to fit smaller things into a tight space.
Some photos of your progressive project will be very interesting. Goodluck!
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2009 Ninja 250R SE Green Sport Touring Style:
ZG ST; Symtec heated grips; RAM GPS w/ mUSB; DIY reshaped seat; DIY Givi E21 Sidecases; 15T sprocket 
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