We're in the middle of a kitchen renovation on our 1927 bungalow. We removed a door between the dining room and kitchen (opening up that wall) and I would love to use it at the back of the kitchen (between kitchen and mudroom) to replace a door that's not in great shape. The door I want to reuse is original to the house and really beautiful. The challenge is it's about 3.75" taller than the door I want to replace.

I've attached photos of the door I want to reuse and the spot it would go. It seems the options are as follows:

1) Cut the 3.75" off the bottom of the door to make it fit the current frame. This would also require moving the doorknob up, which seems to be the trickiest part of the this project. Is there a good way to patch wood in this case and make it look good enough?

2) Keep the replacement door as is (i.e., do not shorten it), tear out and rebuild the door jamb and replace the original transom window either with drywall (sad) or with a new transom window that fits the smaller space (if possible; still sad to lose the original, but would be better than losing this door, in my mind).

3) Forget the whole thing.

Ideas? Thanks!