HuskyPup - 9:07 am on Aug 23, 2010 (gmt 0)

When I first create these websites, I add them to the link directories on hundreds of blogs and websites on different IP's and owners.

Unnatural immediately comes to mind for me and especially so for new small sites.

Only option two is correct now however you're going to have to get some serious love and affection from Google now after your initial mistakes.