What does your DD think?

I got to ultimately choose my high school and I went to one where I knew nobody. It didn't worry me. In the end, my friend decided that she wanted to come to the same school but by the end of year 7, we didn't hang out together anyway. I didn't go to the same primary school as my brother, we did go to the same high school and it was awful. He annoyed the heck out of me and teachers compared us. I was more studious than he was - it would have been better for him had he been sent to a school away from me.

If you love option one and your daughter likes the school, then personally I'd go for that.