You can reduce possible corrosion issues by placing the Hyfire on a platform of bricks. A dehumidifier will definitely help. Also a 150 watt light bulb inside the stove's box will keep it warm and the humidity inside down during the damp summer months.
Getting the most of a stove in a basement or cellar should include using small ducts from cold air returns to the inlets of the distribution blowers on the stove. Without these return air ducts you are heating the cold air drawn off the floor of the cellar, the coldest air in the house. The basement walls and floor cool this air significantly.
If you can put in a 4" or 6" duct from a distant part of the house, and have this attached to the inlet of one of the distribution fans on the Hyfire, you will be creating a loop of circulation. This is what forced hot air heat systems do. They have a closed loop, all air heated is returned air from the heated portion of the house.
Think of forcing air into a box [a room], it will soon fill up, and the only flow of air would be leakage around the edges or corners in the box [doorways]. Now cut an exit in the box, and see the increased airflow that carries heat into the box. The return airflow is vital.
The HyfireII is a VERY capable unit. With proper ductwork, I'm sure you will be happy with it. I had a HyfireI that I used for awhile, it did a great job.
Give Jerry at Leisureline a call, he is very helpful. He won't try to sell you something that won't work.