If your shop is long and narrow, option 2 provides maximum space to the left of the fence for handling large sheets of plywood. If you often work with full sheets of plywood or other sheet goods, you might want to build the table saw into an extension table surround, as San Diego woodworker Pat Curci did in his small shop (see the photo). The surround offers support for large panels, as well as provides an ample work surface near the saw.
I could write a whole post on wood species as each species has unique characteristics and traits. But, one of the most common types of wood used in DIY projects and furniture building is pine wood (a softwood). Pine is an affordable and readily available option at your local home improvement store and it comes in many sizes. I highly recommend using pine for beginner woodworking projects. Then, as you improve your skill, try working with some different wood species!
Let’s be clear about one thing: No workshop is perfect for everyone. If there were, I could simply give you a precise plan to follow with clear dimensions. Every person who comes to the hobby, avocation, or profession of woodworking has his own particular collection of tools and his own peculiar work style, skills, and desires for the kind of woodworking he wants to do that gives him a unique approach as to how he will lay out a shop: where the tools should go, where lumber and supplies are stored, and how much bench area he needs.