I trained all my forms at the Castle That Never Was.
Starting at the very entrance, if you're quick enough, you can carve your way through all the Nobodies that spawn fast enough to reach the next save station before your Form Gauge expires.
Once you reach that spot, quickly teleport to the Gummi Ship while still in your form, then immediately return to the front of the castle.
You SHOULD arrive with a full gauge once more, and you can repeat this process as much as you would like.
As far as drop rates are concerned? I really don't remember how good the drops were. Sorry,b ut I used this method close to seven years ago, so my memory isn't as good as it was once.
Good luck!
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