>>10914978The diamond crossing is really what's hindering you from really doing proper elevations, but if you really want to keep it what I'd recommend (Different anon here) is basically what the other anon proposed in terms of track, but eliminating the S-curves at the bottom part of the layout for a easier approach to the upper part of the layout. While it looks slightly more boring with a straight run, it'll be much easier for operating the layout (Especially for a kid who'll get pissed and bored with the layout if trains keep derailing every time they go downhill). You also want to keep switches level to the ground as much as you can from personal experience, so having them stop and start where they're marked will make operating the layout easier too.
Starting and ending where I marked still leaves you with a 2.8% grade on the left slope and a 3% grade on the right one, but that's the best you can get with as small a space as you got. You'll still get the full 2" clearance which will allow you to have anything that isn't a Double-stack container or Superliner coach go underneath without issue.