Apolloboy and I got this system working today, at least for testing.
Among the stuff my dad still had in storage was a 1MB ATi Graphics Ultra VGA card and a IDE/floppy/serial/parallel combo I/O card, so we tested it with those. (that card actually had separate connectors for "regular" and 2.88MB floppy too, which we didn't realize at first -which we later figured out was keeping the 1.44MB drive from working, as we used the wrong port)
Floppy seems to work fine, and we made a DOS 6.22 install to floppy, and it seemed to accept the IDE hard drive we tried (and we put the correct parameters into the BIOS), and it seemed to mount it as C properly too, but when I tried to change to the C directory, it seemed to do so for a second and then skip back to A quickly (leaving the C:\ still on-screen at the previous line).
It might be an issue with the drive being 2.5 GB, or maybe we need to install proper IDE drivers for that specific card rather than relying on the BIOS or default MS-DOS drivers.
If IDE ends up troublesome in general, SCSI should definitely be an option too. I'm pretty sure we have old SCSI drives to spare at fairly low densities, and we should have some ISA SCSI adapters too. (otherwise, those aren't hard to find at weirdstuff -plenty of VLB SCSI cards too)
And as to RAM expansion: this board has no SIPP or SIMM sockets, just DIPP sockets. It's got 1 MB (with pairity) populated as 8 256kx4-bit chips and 4 256kx1-bit parity chips. I think there's space for 8+4 more chips, so 2 MB max.