Nice looking shop. I like the elevator platform lift. You said you want to spend around $500? I would look in the local craigslist for a wood stove and put in the secondary burn tubes. I would also incorporate the fresh air intake into it.
The biggest expense is going to be the stove pipe. Around here you can find new stove pipe for resale all of the time. But you have to make sure that the pipe is the same if you are going to buy it in bits and pieces. The locking tabs on the different pipe won't match up if I remember correctly.
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