SQL 2008 R2 Cluster to Stand-alone Reconfiguration

This page - http://www.itechtalk.com/thread2059.html - gives a description of how to remove a single node from a cluster - this would be good for the single instance server. Once it's removed, you'll need to make sure SQL Server is running and that the correct databases are on that server.

For the last two though, you need to evict one node, then destroy the final node and cluster - see http://boilinglinux.kiosgeek.com/2010/09/22/proper-way-to-deletedestroy-failover-cluster-in-windows-2008/ 
If I were doing this, I'd evict the standby node, then make sure you can get the correct databases running on that, before destroying the cluster.

To minimise downtime, if you can get all the databases from these two servers up and running on the evicted node, then destroying the cluster shouldn't cause any additional downtime.

Once the cluster has been destroyed, you can then reconfigure the database to run on the correct servers.

The only problem I can see is how the shared storage, used by the cluster, is then accessed by the individual servers. I doubt it's a good idea to have two servers access the same shared partition, so you'll need some storage space, either on whatever shared storage your clsuter is currently using, or in the actual machines, to copy the relevant database files onto.
You'll also need copies of all the system databases - master, model, msdb & tempdb although for tempd you only need to tell the server where it should be created - you don't need to copy a file, as it gets recreated each time the database service starts.

This resource might be useful once the cluster has been destroyed: http://technet.microsoft.com/en-us/library/cc771174(WS.10).aspx

Good information, Thanks!  For some reason however I am having problems accessing the first thread.

Do you know if in doing this, will I be keeping the same instance names?  Or would creating a new server allow me to do this?

I am not sure is we have the ability to install instances with the full name i.e. si6\SQL. In past installs, on stand-alone SQL servers, the “si6” portion was replaced with the server name, for example we would have an issue putting SQL1 and si5\sql2 because it would rename the instance SQL1\SQL2.  We are not sure if the SQL server requires a default install of SQL before you can use the instance names. I am building a server now to test a standalone server install.

So many of our applications rely on the instances, if we cannot share them, applications will need to be changed to point to new SQL server instance