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@edmundro
not being fussy was certainly the key.
i lurked on the forum for about 2 weeks soaking up knowledge, i posted 1 daft thread and got duly flamed for it. spent the whole time reading everything in the mechanics thread.
I used the old headset cups that were in the frame when i got it, new bearings and grease ftw.
used rear wheel in perfect nick for a bargin price.
I spent very little on tools, befriended my lbs and used his and his sage advice in return for beer.
Chainline is easy, get rear wheel, put in frame then as i had a cottered chainset it was just a case of routing through a box of axles til i got it right.
Front wheel came off the free racer(check your local skip/recycling centre) as did the bars, stem, brakes, levers and brooks saddle.
It really is a very simple process if you want to build a bike that you can ride everywhere and lockup without caring too much. If you're building your bike to be a fashion accessory and have definite must have parts then yes you do need to spend.
In short, be nice to people and buy them beer and you can build a perfectly servicable bike in a weekend for less than £150.