Just had another thought. A company by the name of Tillig makes HOe track. Its HO narrow gauge. N scale runs great on it. Has larger ties and would fit in well with your theme.
Heres a link -
http://euro-trains.com/tillig/tg_hoe_track.asp
The flex track is really flexible and sharp curves are no problem with the wider spaced ties. Getting to as little as a 10" diameter would be no problem. Cuts easy with a Xuron rail cutter, available at most hobby shops.
Bob Nelson
I have a "N" kiddie ride in my "ammusement park" area...a F diesel pulling 2 gondolas full of kids on benches. The "engineer" is a "O" figure, cut off at the waist, "comming out" of the top rear of the engine. I had to bend "N" track to about a 10" diameter, since no curves were available that tight. It was a bit of a "pain", so it would be good if you could work with existing minimum curves. Beware of buying a el-cheapo engine. I got a Spectrum on a half-price sale for $40. and re-painted it with a brush. This is a "decent quality" brand, and it takes the tight circle with no problem. Any DC/"HO" transformer should do, but I think a new cheap one would be better than a used one. Joe
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