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The main thing I'd look to do is get it set-up 1x and ditch the front mech. You can probably do this with just the purchase of a new narrow wide for the front, and then look to see if you need a bigger cassette at the back. I ran a 32 x 11-36 for a while fine. Drop it to a 30 chaining if you want better climbing and you'll only miss out on gearing on long straight descents.
Why even bother with that? Just ride the thing :-)
velosaurus
Scrabble
Agree with others - if it's free, get it rideable and enjoy - but don't spend much. It's unlikely anything that will make a significant performance improvements will be transferable to a new bike. Even with the wheels, any newer frame will have a different wheel size and different axles, so obsolete.
The main thing I'd look to do is get it set-up 1x and ditch the front mech. You can probably do this with just the purchase of a new narrow wide for the front, and then look to see if you need a bigger cassette at the back. I ran a 32 x 11-36 for a while fine. Drop it to a 30 chaining if you want better climbing and you'll only miss out on gearing on long straight descents.