The layout and configuration of wind turbines in a wind power plant includes identifying constraints of a power plant site and defining at least one region in the site for placement of a plurality of wind turbines. The wind state at the region in the site is determined. An actual wind condition at the various possible wind turbine locations within the site is determined by modeling the wind state with wake effects at the respective wind turbine locations. Individual wind turbine configuration and location within the region is then selected as a function of the actual wind conditions each of the individual wind turbine locations to optimize power output of the individual wind turbines. The selection of turbine configuration includes selection of a turbine hub height that minimizes wake loss of the individual wind turbines as a function of the actual wind conditions predicted for the turbine location.