Extending reach with another hostap_cs AP

[Gudmundur Karlsson]

newbie question:
I have an access point set up on a linux (slackware) box using hostap_cs in 
host mode.
Now I want to extend the reach of the network by installing an identical 
system running in ap host mode also (a few hundred meters apart (both APs 
using senao 2511 CD PLUS EXT2)).
My plan is just to set it up the same way with the same SSID, hoping to keep 
all clients on the same subnet.   The second AP would request a dhcp address 
from the first.
Each client would connect to whichever AP is the nearest one.

Do I need to do anything special to achieve this?
Can I really use only one subnet for all wireless connections?
Thanks in advance,
Gudmundur