I strongly advise going for the inner coils when doing a K-mod, at least for the neck PU. The single coil mode produces a wonderfully clean yet organic sound that I really like, less "tubey" than a typical neck sound.
I'd agree completely with the inner coils choice—and that's what's implemented in my L-2500. The result, with both single coil pickups engaged, is very rewarding with a unique character that's quite different from the J-bass effect that folks seek with the outer coil selection.
Some say that a neck L-2000 PU cannot sound exactly like a L-1000 because of the bridge pickup magnetic field pulling on the strings. While this is correct in theory I wonder if the effect can actually be heard...
I've heard this same argument with H and HH versions of MusicMan basses, the idea being tied to the large pole pieces in both the MM and G&L instruments.
I did the experiment by listening to the neck pickup on my L-2500 as I cranked the bridge pickup up/down. Until I got the bridge pickup so high that I got the tone wobble (characteristic of magnetic interference) when playing the top-most fret, I couldn't hear any influence of bridge pickup height on the sound of the soloed neck pickup.
