Newbie - Trailer Axles Help Needed

[low&slow]

So some of you may have seen my post of my racecar trailer that I have been working on over the past 2 summers...now comes something that I have been avoiding since it fell into my hands. AXLES!

Build Thread
http://rctruckandconstruction.com/showthread.php?t=5413

Right now it has straight steel shafts with threaded ends and hex adapters that the wheels attach to. The axles run through an aluminum block with no bearings (squeaks like a baby bird), so now I want to replace them with something that is smooth and correct looking. What options would be best (And something that I can do with limited tool available besides drill/bench grinder/dremel).

Below are some pics of the current setup. Outside edge to outside edge is just shy of 12.5"




I like this first option but not sure it will work. Is the second option even long enough? So any help/guidance would be much appreciated!