Bob, Thank you very much!! I can see what you are saying you did is similar to what I did with the upper level of my Christmas layout this past year. I mounted 1/4" Masonite on top of plastic supports every foot or so. Then I put the track on top of that. It worked fine, and I have the Foam board with track and supports sitting intact in a corner to use again this coming Christmas.
I plan to use foam for the hillside with many town buildings on up the hill so part of the upper level will be covered with town, though I will have access to track on the back side. Still, most of the buildings will be plastic, sot here won't be much weight. I could certainly trim down the 2x2 supports and cut the unused 2x2 I bought for supports like you said. In fact, to the left of the loop, the approach track will be held up with similar supports and a sceniced steep hillside down to the first level approach to the loop.
You have given me food for thought to be sure. Thank you! I wish you had more room too! I know what it's like to cram a layout in a small space.