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Please excuse me, but playing with XL or L size maps with a Dungeon as one of the four starting factions seems a bit excessive, in my opinion.
M size with a Dungeon or L size without a Dungeon would be much better.
With these sizes, the obvious advantage of the Necropolis is eliminated, and the importance of logistics is reduced, which balances all the factions.
Of course, I won't argue against 160% difficulty, but I definitely vote for 200%.
P.S. And don't even think about excluding the Necropolis or necromancy, or it will be like turning chess into checkers.
Banning the Conflux is one thing – it's an additional faction that appeared (for fans) – but the Necropolis is a CLASSIC faction with a huge history (Heroes 2, Heroes 3, Heroes 4, Heroes 5).