Thanks Jeff and Tom for the helpful discussion and feedback!
The fence file was great, Jeff. I worked through it and created the magenta fence. This was basically what I was trying to do initially but couldn't get it to work out. Seems like the option to create the 2"x2" verticals was in 'Frame Bars' in the Frame/Panel section of the railing/fence settings. That was where I was previously stuck.
I created the green one, but it just became a 'group' not an Auto Hybrid like the green one you created.
The "wall" fence texturing is still a bit of a mystery to me, how the gaps between the verticals was created...though I probably won't go in this direction.
Nice thing about the magenta one, even if it isn't as precise, is that I can save it as a fence symbol and use it to quickly re-draw more of the same fence. I can create a detail of it if needed using the ungroup method of the green fence.