CL is tough sometimes b/c there really ARE amazing deals out there-- but just because you didn't get a bargain doesn't mean that you wasted your money. I recently paid "too much" for a bike that sometimes comes up for less, but it was just what I wanted, in mint condition, a perfect fit, and will see some good use--- that makes it a bargain.
Recommend posting clear photos and clear questions in the bicycle mechanics forum for specific routing advice-- I've gotten very detailed help in that subforum.
http://www.kevinluper.com/?p=158
My daily rider/ bar bike is a Panasonic that is butted hi-ten steel, similar to yours. I love it.