I then went to export it to a Large file and it estimated 7 hours! This has to be a joke! With 26, one hour tapes and growing, this would turn into a life long project.
Hardly a joke. The typical full resolution HD file requires the manipulation of 6-7 times the amount of data contained in the typical VGA SD file which, of course, means more time is required. Consider this, most computers today will convert to M2V at or faster than real time. My old 533 MHz G4 requires about 32 hours to convert a 96-minute SD file using the multi-pass mode at highest quality settings or about 12 hours using more reasonable settings. If you cant afford to invest you time in such endeavors or have vast amounts of disc space to devote to such operations, then you should reconsider your options.
There has to be a quicker way.
Generally speaking, hardware encoding is usually faster that software encoding but may not offer as may quality options/features. You could keep an eye out for such a device that may suit your eventual needs. once you decide where you are going with your content.