I am beginning contruction on my main yard and I’m having a debate with myself on the best place for the engine terminal facilities.
On the image, I have marked the two places I think is most appropriate; location A and location B.
B is off my A/D tracks, while A is off the classification ladder run around.
I model from 1994 forward in time, so we are talking SD40-2s, SD70MACs, etc.
Thoughts?

I recommend Location B, with the following suggested modifications:
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Either: Extend the right-hand ladder track to connect with the short (uppermost) single-ended track. That track becomes your engine terminal lead.
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Or: Insert a crossover between the shortest double-ended track and the lead to the single-ended tracks, and make the right end of the double-ended track your engine terminal lead.
Option 1. would provide space for three tracks in the engine terminal, would make the run from there to the left ends of the double-ended tracks somewhat longer (and more intrusive for the switcher working the single ended tracks) and would cost the use of that one single-ended track.
Option 2., which I personally prefer, would only allow two engine service tracks, but would make getting a locomotive to the left end of the yard much more efficient. The shortest runaround track would have to be kept clear for loco movements - minimum impact on track capacity.
Just my [2c]. Other opinions will certainly differ.
Chuck (Modeling an engine change/subdivision point in Central Japan in September, 1964)
if it is a matter of either/or then i think A is the only logical choice. i assume the upper most track is the main. right? in that case even though you didn’t ask for it i will offer a couple of other suggestions. 1 make all the stub end tracks and a/d tracks come off of the same drill track. 2 reverse the uppermost cross over and add another one farther down the line to the left. 3 make the engine terminal accessable from both ends. 4 add a crossover at the extreme right end so power can come and go down the main without interfering with the engine working on the drill track. 5 bring all the tracks together at the extreme far left end. 6 if you are using ground throws then give some more thought to track spacing and switch stand location. chuck’s idea makes sense too, but i think a few modifications will make any suggestions more practical.
grizlump
The upper track is indeed the main line; further off to the (logical) right is a set of crossovers to get trains to/from the main line.
I’ve thought about combining the A/D track ladder and the classification yard ladder together, but after a post here and some additional thought, I’m afraid that that might cause too much contention to get trains in and out of the yard while the yard job is turning. And looking at the picture again, I see that I didn’t use the version that moved the crossovers on the left more towards the extreme left end of the yard (doh!).
I think one of those sets of crossovers might flow into a double slip as well.
The actual turnouts are going to be partially hand built (fast tracks jig) so I can put the headblocks on the appropriate side to give “finger room” so that you can throw the ground throw.
I think I am going to move the uppermost classification track to the a/d set so that way I have a way for power to get back to the engine terminal from both sides. Or maybe the ticket is just moving those crossovers so that I really have 3 A/D tracks and the 4th one (a/d) is the permanent run around.
TR