1) Can I keep all VHD files on the SAN? (I plan to have separate VHD files for OS drive and DATA drive for each VM.)
Yes you can, and just a tip, on VMware world the virtual disk is called VMDK :-)
2) Is it recommended that I have any local hard drives on the physical hosts (for running the VMs or anything else like paging files)?
You can use even physical hosts without the hard drive, since you can boot from SAN or use features like Auto Deploy, but this is about the installation... for the virtual machine my recommendation is use disks (volumes) from your SAN and share this volumes between your hosts to be possible configure (HA) High Availability. Without shared storage you can't get HA.
3) How much space should I have on the SAN? I assume enough for the OS drives and DATA drives of all the VMs ... is any additional space recommended for anything?
The space on SAN will depend of the size of your VMs and some additional space to make room for swap and snapshot files.
4) Would anybody be able to point me to any guides detailing how to set this up?---
Senior Infrastructure Specialist
Thank you very, very much for your responses!
I really appreciate it.