I understand on the number of Koi, thanks. Let's talk about their size...even more important than number. I understand when you say you're not concerned with growing Jumbos, you're not into that hobby. But you do say "good size". So here's the deal, most Koi in backyard ponds don't get very large, 12-16" and a smaller number of ponds get 18-25", something like that anyways. Do you have an idea where you want to be in that general range?
Another way to tell is...I assume you've seen good adult Koi in a high end pond? What impressed you? Color? Size?
I ask because I want to know why you want a Koi pond. It varies a lot. Landscape feature, pets, impress people. I don't have any particular view myself so I don't really care. If you wanted to raise them to eat I'd say fine and here's the kind of pond that could help.
Planning any plants in the pond?
...I used landscape timber to build a frame
For a minute I thought this was a pond I was just looking at online but from England I think. Same problems. It's weird looking at old pond build threads, you see the beginning and say "oh that's going to fail" and on the next page, 6 months later the failure pictures. But trying is the best way to learn. My failures sure have been epic.
Anyway, here is my new pond design that is incorporating the BD and TPRs.
http://www.flickr.co.../in/photostream
TPRs and BD placements are excellent. No problems with pond shape.
And here is what my site looks like as of today:
http://www.flickr.co.../in/photostream
Issues. I've seen ponds dug against the side of buildings many times. If the garage is detached from the house maybe you don't care, but, it's against building code to dig 3' deep that close to a structure. I know people think the government is out to ruin their lives but they're actually trying to save you from yourself. It can compromise the building's foundation, which depending on age, could be a serious problem. The building can settle a lot, and even push the pond wall into the pond. The chances of these problems actually happening are low, but I can't predict the future and if moving the pond 2' further away reduces my risk of rebuilding a garage it seems like a smart move.
It definitely can be a problem if you want to sell the property. Any good home inspector is going to ding it and an agent is going to tell the buyer to ask for a lot of money off the price. Waiting around for a dumb buyer isn't as easy as it used to be.
There's also code about having a body of water close to electric.
Your city building department can tell you the set backup requirements, or post the info on a web site. They'll normally answer questions without knowing who you are, not like they'll hunt you down if you call them. In general you need to be as far away from the structure as the depth of the pond. And when it comes to installing the liner and maintenance later that skinny ledge is not going to be fun.
There's also an issue with rain run off from the roof. Gutters overflow sometimes. Not a huge deal but I don't want you to be surprised if it does become a problem later.
There can be a problem with algae growing on the side of the building and mold inside depending which direction the wall is facing. Waterfalls splash a lot further than expected and yours looks close to the building. I saw a long exposure picture of a pond waterfall and it was strangely different from a normal picture. You could see how far water splashed.
Collar
You haven't mentioned it yet but most ponds imo should have a concrete collar. The edge can erode under the liner, round off, causing whatever is on the edge to pitch in and even fall into the pond. I saw one really bad case where we had to start over.
A collar can be poured concrete with forms. 12-16" wide at the top and unfortunately in your area maybe 3' deep. I'm guessing that's not in the budget so plan B.
You can use a single course of bond beam concrete block. These are just like a regular block but with a an opening in the top to put rebar. No need to mortar the joints, just dry stack. Try to get it level and plumb. Two courses would be much better as you stagger the joints. The deeper the collar the less freeze heaving problems you'll have. How big a problem freeze heave is depends on lots of things.
Waterfall foundation
Depending on how you build the waterfall you'll need a foundation of some kind. No matter what when you build the concrete collar I'd have enough courses to make it below frost line on the part where the falls will be.
If you're going to use a lot of rocks you'd want a foundation under the entire falls to keep it from settling and leaking later. An experience you can relate to. Can just be a hole deep enough and filled with rock, gravel, broken concrete, whatever you have that drains well. Tamp it down well as you go. That's a pretty good foundation.
A soil berm type falls doesn't need a foundation because it's going to heave anyways. You might have to redo the falls every few years but if you know that in advance you can build to make rebuilding later easier. In general you want to stay away from placing heavy (100+ lbs) roundish rocks on soil unless you're OK with them moving.
You can reduce the size of the foundation by just building it under the water course, kind of free standing. Then you can back fill with soil. The soil will settle, erode, and heave but the water course will stay solid. You'd just have to add more back fill as it sank away from the water course.