A word of warning about wanting wire frame previews: (From a Personal Perspective).
As you may know the idea of wire frame previews of object placement in terrain software is not a new one, indeed Bryce uses this method and from my experience with Bryce a few things to say on the subject of wire frames:
Problem 1: Bryce when dealing with dense object groups (Bryce 5.0 and before) made using the Multi-Replicate feature would tend to become sluggish due to the number of objects in the scene (Solved in TG2 Due to instancing) and would resort to just showing the bounding boxes rather than the objects them selfs.
Problem 2. In Bryce dense object groups (A numerical value of 100 or more in Multi-Replicate) in some cases it became hard to select individual objects since Bryce didn't have any kind of management system, that would have allowed fast selection of individual objects allowing them to be moved to some where else.
Problem 3. The Wire Frame Mode in Bryce when dealing with complex terrains and lots of dense object groups such as trees quickly became visually confusing with the wire frames been a single color its quickly lead to situations where due to the shear density of wire frames, you had trouble distinguishing where one stopped and another began, this was vary true if you had an object you wish to move, but there where several to the side and in front of it, Etc.
I hope that when developing the wire frame preview for Terragen lesions can be learned from the above?
Regards to you.
Cyber-Angel