I think you need to contact Eddie @ ESR and find out if you have one of the cylinders that needs the water jacket modified towards the front of the cylinder by the exhaust port.
Also, you sure the gauge is working correctly? Maybe find another alternative to measuring your temperature to rule this out. Thermometer in your rad with the cap off? Lol just a thought (although you did say it was puking out the overflow)
Don't worry about the exhaust. The stinger diameter wouldn't raise temps that high, that fast. No way.
Set your timing it is not advanced nor retarded. Just to rule that out.
Do a leak down test...
Is this an o-ring head? If it is, then pop the head off and inspect the o-rings. I put a little bit of white lithium grease on them to help seal.
It would run like crap if it wasn't setup correctly for the +4mm stroke.