There wouldn't normally be a hose going "to the bottom of the Mk3 airbox" so I think perhaps we need more detailed information?
The standard Mk3 oil tank breather connects to the oil separator (see drawing, below) this has a connection to the airbox but it's about halfway up on the rear LH corner (see photo), however, if there is a significant amount of oil coming from that hose then it's possible the oil tank was overfilled.
That hose would seem to be the "engine breather" which if it is, would normally connect to the spigot on the oil tank filler neck.
The "oil tank breather" connects to the spigot on the airbox
You have a K&N filter, so more oil won't hurt it. As Nater mentioned keep the oil level at the lower mark on the dip stick after you have run the bike for a while to get all the oil pumped into the tank.
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