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I set my CY_APP1_CORE0_FLASH_LENGTH and CY_APP1_CORE1_FLASH_LENGTH to the exact size of the application to minimize the .cyacd2 file size. I have to adjust it every time the app1 size changes.
Thank you for the advice, I also read through the thread you linked.
I need to investigate how my App0 (just a simple loader that copies from storage flash to app1 flash) and App1 (main code that downloads image into storage flash) will interract with the host.
Just like in your thread I also need to combine them into a single hex for production.