I would recommend the Amazon Green, Dana7 has been working with X-Cart templates and has some really good ones. As far as the updates, I have 3 sites using X-Cart and each one has been upgraded to the latest version. It might take a bit, but you'll catch on with the upgrades.
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Apache Linux 2.2.24
MySQL version: 5.5.30-cll
X-cart V 4.5.5
PHP 5.2.0
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