Hi ... I got interested at this project ...
Let me give you some reflections of my own ..If your real project is to design a CPU and the have it doing some nice .. it makes sense ..
Otherwise .. is just a matter of CPU flavor ... what can be acomplished with a heavy load system running on a light CPU??
In both cases the only CPU that makes SENSE is the AVR !!!!!!!!!!!!!
There is a GNU dev chain ...so you could try to compile Clinux .and
probably those chips are powerful enough to do something useful!
take a look first to see if it hasn't been done yet!..
Now if your main interest is to design a CPU .. well THE AVR INSTRUCTION SET also MAKES SENSE ..
There are some AVR open cores .. at
www.opencore.org
at least you won't start from scratch ..and later and you coud try to design a primitive MMU like the one avlaible in the triscend E5 (8051 core
it does some paging by mapping banks .).
So you could start right away with the port of Clinux to the AVR an see what you neet to implement in hardware !
the gnu chain is there ! so are the avr eval boards !
good luck ..!