I can imagine that. Solution: 4cyl, max. 180hp, manual gearbox, but still permanent 4wd, axle lockers from factory. Should save length and also considerable weight.I recall it was a drivetrain issue. Current engine/gearbox selection mean there's not enough space for a substantially shorter wheelbase.
I wonder if anyone here recalls the Iveco Massif. Not permanent 4wd & slightly too spartan (leaf sprung), but maybe closer to what we thought (hoped?) the Grenadier would become when the first rumours came through a couple of years ago...
To make it clear: I'm glad that the Grenadier became what it is. Maybe it's got to do something with the fact that I'm 15 years older now ;-)