WOW, she looks VERY intact/original... I would get her on the water first thing and see how you like her before you rip her all apart for resto/repairs... Maybe back it into the water somewhere close after you get it running to ensure the shaft seal is decent enough for a few outings...
ALSO, a new impeller on the water pump is a must...
WANNABE / FC Pilot & the Millers (on here) could probably spec out a really sweet SBC for you that wouldn't break the bank IF the 327 can't be salvaged... They have a cool new small block project that just hit the water... >>>> http://www.wannaberacing.com/sk51.html
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