Moe,
Keith just set up my new 400 mh's. They are about 6 or 7 inches from the water. As long as you vent them somehow you should be fine. I am finding alot of heat from them and it is making a difference with the water temp over the 180 (about 2 degree's). We will be setting up the chiller this weekend. Other than that and algae on the glass, everything else LOVES them!!!. Even my hair algae! LOL Will work on that this weekend too.