I think the reason for the difference in temp from the thermostat rated and actual temp is the LS1 mixes heated coolant from the engine block with cold coolant from the radiator to control engine shock (excesive rapid tempature change). This is a improvment from the old way of simply dumping in cold coolant until the thermostat closes.
2006 Superior Blue Trailblazer SS AWD, Stock as a rock
Sold: 2002 GMC Sportside Denali front end with a 2002 LS1, FLT level 5, Yank 2600, Trick Turbo, T76, Nelson intercooler, 60LB injectors, Warbro fuel pump, Eaton locker, Magnaflow, 3.42, Nelson Performance Tuning (speed density).
Sold: 1981 GMC LB RC 1500 2002 4.8L 4L60E 12 bolt 3.73 Richmond Lock Right AC PS Nelson Performance tuning