I don't think the cost of full grade-separation is warranted for EELRT. Riders of the area will have access to two other trunk routes: SSE, and Lakeshore East GO. Plus, most of EELRT trips will be from some point in the middle to either Kennedy Stn or UTSC; few will travel all the way from UTSC to Kennedy on the LRT, since a trip using Ellesmere bus and then the subway will actually be faster.
Regarding the stop spacing: I think it will depend on whether TTC is planning to run some buses to Kennedy Stn via Eglinton anyway.
The existing buses 86 and 116 serve a few areas that won't be reached by EELRT:
- Morningside north of UTSC (116C)
- Morningside south of Lawrence, and Guildwood Parkway (116A,C)
- Kingston Rd north of Lawrence, plus Meadowvale and the Zoo (86A,B,C)
- Coronation Dr (86D)
- Canmore Blvd (116A)
For each of the above sections, there will be basically 3 choices:
a) Run the bus to EELRT, force a transfer there
b) Run the bus all the way to Kennedy Stn via Eglinton
c) Run the bus to subway, but use a new/shorter route; for example via Ellesmere to STC
If Option (b) gets chosen for some of the branches, then the bus service parallel to EELRT will be present anyway, and then the number of EELRT stops may be reduced.