Hello, geezer,
The 123 distributor being discussed here is a Bosch replacement made in Holland.
As you have found, there are a lot of testimomials here for it. (See wiki for details)
My car is running on a distributor from a M 110 engine. The diameter and dist. cap is bigger, but there is enough room for it. Some of them can do both vacuum advance and retard. There are take off pipes on both sides of the diaphragm. The housing and shaft are longer and need to be shortened. The ECU's have also proven to be quite bullet proof. I did it as an experiment with lots of help from the Technical Director of our UK MB Club. I changed back to an early throttle body from a 230 SL and am using both vacuum retard (when idling) and vacuum advance (while running). While, I do not have dyno tests, I believe it has more power in the mid range and will pick up in top gear from about 10 mph with no hesitation. There is also some improvement in mpg. (The tech Director has similarly used a distributor from a W201 190 E for his 1950s MB 170 and is aslo working with another member to convert a V8 distributor on a 6.3 M100 engine using one from a M117 I believe)
Unless you want to use one for a good reason, in my view, you are better off with a new 123.
naj