Be careful about using a PAL CD32 in North America... Even though everyone says that the CD32 can easily switch between PAL and NTSC, what they really mean is that it can easily switch between 50Hz and 60Hz... you can NOT change the color format it uses! A few years back I bought a PAL CD32 which I planned to hook to a 1084S, but when I did, I couldn't get anything but a black and white picture (though it handled 50Hz fine).
I've been told that this problem only applies when you hook a CD32 up via composite video or S-Video... RGB handles color differently, so if you're hooking up to an RGB monitor, you won't have color problems (though the CD32 doesn't have an RGB port on the back, so you'd need to either modify it or buy one of the expensive expansion cards).
Unless you're sure you have a workaround for the color issues, I'd recommend you spend the extra money and get an NTSC system instead. Be aware though that you WILL need some way of displaying 50Hz. It's almost impossible to tell whether a CD32 game is PAL or NTSC until you actually try it out.
Another thing that's worth pointing out is that while some games are nice enough to ask you what video mode to use, there are many games that will happily display their title screen in NTSC mode, and then mysteriously crash when the game starts. If something like this happens, try it in PAL mode instead. I've also found a handful of games that would crash if they WEREN'T in NTSC (Again, you can't tell until you try the game). I've also found at least one game (F17 Challenge) that would not work AT ALL on an NTSC machine (regardless of what video mode I force it into), yet works fine on my PAL machine.
It's unfortunate that this is so complicated... you'd think developers could just read a register to figure out what region your system is, and then use the appropriate video mode