I think an entry plaza update will happen eventually, but I hope it stays unique to KI. Keep the turnstyle building as-is structurally, replace the banners and roof. Add the flags back. Put the classic logo back on the berm. Since passes can now be processed at the turnstyle, replace it with something smaller.
Just don't mirror CP like Carowinds did. Our entry plaza needs to stay in KI style. While i like your first rendering, I think it's too much for the space as you alluded to. Maybe relocate the parking behind the berm and move the berm back? Your second rendering is much more doable....good work!