I wouldn't be so sure of the "He was never going to be a babyface" bit.
I always thought that Hassan would have made for a big face under the right circumstances.
Dude was American, which is why he was so angry about his treatment, right? After a while of fighting the forces of xenophobia and oppression he could start talking about what traditional American values are but in a very condescending way. Like, how he has them but others don't kind of thing.
Anyway, Hogan was around at the time, I think, so he would have been perfect for this. Have Hogan promo on Hassan talking about being an example of American values as opposed to fighting against them or whatever. A week or so later have Hogan being attacked by somebody two on one and have Hassan make the save, showing that he took the Hulkster's words to heart and bam, instant babyface. It's unavoidable. Pairing him with Hogan gets him over huge as a face and then being a scary, foreign looking man who has gotten over his hatred and accepted America as the greatest country in the world just cements it.
Shit, a tag team like Hogan and Hassan could have been the kind of thing that ends religious tensions and brings about world peace.