In response - Size isn't an issue.
http://i.imgur.com/PgtSiDJ.jpg
It's only that small, poly count is reduced to 1600. Its not that big in Blender either. Will get a screenshot of that if I have to.
Also, I use Blender as stated above.
There's no resizing done, that's imported and dropped in.
Edit 2
Changing physics shape to a simple cube got the prim count / LI down to 2, but it should be one. Is 2 atleast acceptable?