So, after finding out i need a new head gasket on the 1.3 Golf (see prev. posts). I took the head off with relative ease, and found that the head is porous

Apparantly this happens with age.
The car is with the garage, but they seem to be having problems with fixing. They have said that they cant find a new/replacement cylinder head....
With a bit of a chat, we have three options:
1) Possible recon head from TSR (waiting for a call to check availability). About £300 plus fitting
2) Refit the broken head, then sell. Garage have said i could get £1500 for the car, seems high to me, but it is in very good condition, no rust at all etc
3) He has said he knows someone who can fit a GTI 16v engine for about £700 all in. This seems too cheap to me, and he could therefore be a cowboy?!
Or, i buy a GTI myself and convert it myself. This, i have heard, is quite tricky, and i lack some mechanical knowledge, and knowing what is actually required!
Scrapping car not really an option, it is really too good for this...
Any advice?
Thanks