Some updates on the Skyblock lag.
LDeman and I believe we've traced the source of the lag to a hardware problem. The server is now running a new CPU and the lag appears to be gone. If you were experiencing lag in Skyblock previously, please try connecting now. Let me know in the comments if you're still getting timed-out or the server seems unresponsive.
Also, many players were experiencing considerable FPS lag at Spawn. We believe the issue is related to glass panes and have replaced them with glass blocks. We noticed an immediate improvement. Please let me know if you're still experiencing FPS lag in Spawn. =)