Stranger things have been done with incredible results:
Jetta kit car:
Smyth Performance G3F: VW Jetta-Based Diesel Sports Car
My favorite, the T1 race taxi bus (passed a stock 911 on a road course)
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'66 11-window VW Bus (Fuel-injecter'd Super-1600, IRS, disk brakes, MB CLK rims)
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