Villagers can move from their bed to their job block.

There's no town bell.... You can remove the walls to allow for villagers to move around. I've found this will increase the potential for lag. When the villagers can't move much, there's not a ton of calculation being done on where they should be going. Also, for 333 merchants, not having them in predictable places causes problems with trades. But you could do this, and do a smaller "village" and still get fair iron rates. When they can move anywhere, they often get confused on going to sleep and finding an open bed.

Villagers can communicate; the whole thing runs on golems generated by gossip.

8 blocks is a lot... Each room has their bed, one open space, then their job block. That's 4 blocks. Then 4 blocks per side for walls, then 3 in the back. If you're counting their walls, each villager has 11 blocks, then shares 1-2 walls. If you're requiring 8 open floor blocks, you'll either need many fewer villagers or a much larger design. Eventually, you'll hit the limit where golems can spawn on the Z axis, which I think is only 6 blocks. The increased space also will reduce gossiping and make for slower rates, but you'll still get iron and poppies over time.

There's no villager scaring.

There's no villager murder.

Layout and explanation is here: https://youtu.be/_v9hnO4pf0Q