KK is moving the "adult" rides, minus Lightning Run from the front of the park to the newly expanded area between the Thunder Run Plaza and Storm Chaser. I look for everything - including Storm Chaser to be re-themed/re-named.
They will close the path that ran from Storm Chaser to the former T2, mostly to remove rides and install a major "attraction" rounding out the two-year $25M plan.
I believe the vacancies created by the loss of the rides at the front of the park will be filled with more substantial buildings & infrastructure (over time) that will allow them to flesh out their Halloween and Holiday events. IMO, if they don't seize the opportunity to relocate the carousel to the former location of Helivator, they're nuts. There's ZERO charm/interest to the front entrance plaza.
Should the Fairgrounds ever plan to re-route perimeter road, it would obviously benefit the park greatly. But, as I understand, that's still a long-range dream. That having been said, it seems ironic that Hershend is clearing the rides from a side of the park on which a newly-routed road would need to go. The relocation of the rides could be killing two-birds with one stone - should the fairground ever move forward with a re-route.
But for now the focus is on building the new Wing/Hall behind the existing West Wing. That's planned for the rear of the fairgrounds - not near or around KK. When that hall is complete, they will then move to the second phase and replace the West Wing & West Wing Pavillion. The WW Pavillion is adjacent to the entrance plaza of KK only. Of note, the renderings I've seen of the Fairgrounds remodel still show the road dissecting KK. (See pic below)
One main issue that has always prevented the re-location of the perimeter road is the State Fair Midway. The Midway rides are all placed in the exact area where the new road would need to go - and there's electrical infrastructure placed in the lot that powers the rides and attractions. Not to mention the road would now dissect the SF midway from the park. During the State Fair - they "merge" the park with the Midway.
But there's also been a long-standing rumor dating back to the Six Flags days that there's an intention to "flip" the entry of the park. As I understand, both Six and Hart discussed the possibility of pushing the main entrance to the (former) T2 area. With parking being placed in the lot adjacent to Kentucky Flyer.
KK is still a mediocre (at best) half-day park. Here's hoping it can grow and improve. However it still fights many of the same battles it always has - mainly perception by the locals. That is, and always will be their greatest challenge.