1993/4 bontrager race lite

Last week a race lite frameset with some nice extra parts popped up on marktplaats.nl. i made an offer and never thought the seller would accept it, ff course he did. With the frame came the following parts: tange headset, tange switchblade, itm stem, scott at2 bar, ultegra bb, white industries/mavic frontwheel, matching mavic rim and last but not least a hugi rearhub.
I won't be using the stem, bar and bb but all the other parts are really nice for this build.
I already have most other parts to finish the bike:

xt m737 rearmech (need a front mech) and cassette, m738 sti units
lx m565 cantilevers, might upgrade, m900 bb
syncros cattleprod stem, syncros bar or titec ti bar
use ti seatpost, selle italia flite saddle
white industries (by sugino) crankset
ti qr skewers (they look like oddyssey svelte, but I'm not sure)

I'm looking for advise on the pedals (no spd's)

The frame has been repaired on the chainstay and was painted over badly. I hope I'll be able to sandblast and powdercoat it next saturday.
Usually I have a hard time deciding and finding the right colour, but not this time. A rasta themed bike haas been on my wish list for a long time and this bontrager looks like the perfect oppurtunity to add some more jamaican flavour to my life (I mostly listen to reggae and my dreads have been growing for way too long). Finally a 1994 bontrager colour chart helped me out greatly, framecolour will be olive green and the decals red/yellow.

Sounds like this is going to be the best dressed chicken in town!

good project

Re:

Well, I sandblasted the frame and it's in pretty bad shape as you can see in the pictures. I'm not an expert when it comes to repairing frames, welding etc. but it looks to me like it needs new chainstays. Maybe I can have some extra gussets welded over the bad spots and then ride it till I brake it.
Any thoughts?

Re:

Judging by the second photo it looks like that whole area is on its way out. If it was my frame and I was pretty attached to ithe frame, looking to keep and use long term, then I would explore the option of replacement stays. Otherwise I'd explore other options but I think you be removing a fair bit of material in the process.