Lanes Sporting Goods! That was a great little store. I'd hang around that place, when I was a kid, until someone shooed me out the door. Finally got old enough to buy guns on my own. Bought a Remington Mohawk 10C, in 1972, that's still in my case. Other than a few old photos, That's the only thing I've held onto this long. Whenever I'm back east for a visit, I always walk by that corner, just to see what business is in that spot now.
I don't even remember them having a handgun display. Were they kept out of sight, per chance?
Back to topic, that's a nice project. I'd consider machining a new custom hammer, then making that piece a daily driver. You'll never reproduce the factory finish, so why waste $$ trying? With medium power loads, that would be a real dream to shoot. Let'er rip.