Regarding Dumbo not fitting, I initially had the same thought, but if you look closely at the model, the spinners are above (North, I think) of Barnstormer and Indy, and it is only the tent that is wedged in that little area. I don't have photoshop, but it looks to me that Dumbo could possibly just barely fit if configured that way. And, even in the model, it is a tight fit.
I have no inside knowledge, so though I am only I lurker, I tend to trust Lee as he seems to often know his stuff. That said, I think it would look and feel better if Dumbo was as shown in the model. I don't really like the Dumbo/Circus wrapping around Pixie Hollow idea, but, I'll take what they give us.