If you put the return in the middle, you get two advantages: 1) The refugium can now be taller allowing more room for the cheato to grow and 2) Feeding the refugium off the return pump allows you to control flow through that section independent of what is going past the skimmer. While not a big deal in some cases, with my sump I have much higher flow past the skimmer and heater than through the refugium so I'm not blowing the algae into the return. Which is why I removed the egg crate as unnecessary.
A gate valve is better for fine adjustments where as a ball valve is really only good for on/off control.
Do you have a space next to your stand for an ATO container? I know a number of folks who hide theirs as an end table to give them more volume.