How about the proposed Mediterranean Garden? It would fit there.

Off topic, but still relevant to your plans: study up on planting in and around native oaks. You can easily kill them by doing the wrong thing -- water!

As I recall, the Univ of CA publications has an excellent publication on planting among oaks.

If you can't locate that, this looks like a worthy doc to peruse:
http://www.orchardnursery.com/pdfs/nurserycare/21-oaksplantingunder.pdf

They credit the info with this: "Much of this information is reprinted from Informational Bulletin #4, Santa Barbara Botanic Garden, revised August, 2000."

Here is a link that might be useful: planting under oaks

I would plant it wherever it will get good sunlight. The next question is what habit you envision as its ultimate size/shape. Laurel will form a medium-sized tree over many decades or can be maintained as a miniature topiary "lollipop" or small shrub indefinitely. Presumably you're planting it for harvesting leaves. But there's no reason it can't serve as an ornamental at the same time. Even as a small shrub, it will produce far more leaves than you'll ever need. So it's up to you how much yard space you want to devote to it.

Excellent information, both of you, thank you very much. You've crystallized my thinking on this.

I think I'll whack down some of the Prostrate Junipers -- my husband calls them Spider Condos, heh -- and replace them with the Laurel near the Olive Tree in the Mediterranean space. I want as many leaves and as big as it can get, so that's all day sun with pretty good relief from the wind.

Excellent! Thanks again! And if anyone has anything else to add, please do.