I had a nice, long response posted on SF and literally minutes before I submitted it, the thread was locked. Maybe you'll get more help here.
Below is a pic of the gasket with the blown seal areas pointed out in red, good sealing areas in blue. The blown areas aren't obvious to a first time observer. Once you know what to look for though, it's obvious.
Here's a brief summary of my response that never made it over on SF:
Forget the block, leave it in the car. You don't have the budget to do that correctly. No offense, just offering honest advice.
Take the head to a reputable machine shop. They can take it apart and inspect it. Ask them to pressure test it and clean and inspect it for cracks. If the head checks out ok, have them replace the valve stem seals and machine the head flat. This shouldn't cost more than a few hundred dollars. $500 max.
Use an OEM Toyota Head Gasket. Forget Fel Pro or any other brand. Get a Toyota gasket from a dealer. Get any other brand you want for the rest of the gaskets, but get a Toyota OEM head gasket.
If budget allows, get ARP studs. If you don't have an extra $150 to blow on that, the factory head bolts should be perfectly fine to reuse.
Use copper spray when you install the gasket, like this stuff:
http://amzn.to/2dCBSC1
That will take care of the head, but you still have your nasty block to clean out. I think you can clean it pretty well by flushing it out. Fill it up with tap water at first (after the engine is assembled) and drain it. Repeat until it comes out clear. Do something similar for engine oil. Fill it up with oil (~5 qts or so) and drain it without running the engine. If the oil comes out perfectly clean looking, then proceed to starting the car up. Let it run for a few seconds, shut it down, drain fluids again. Repeat until everything is clean-looking coming out. Then use a flush kit like from prestone:
http://amzn.to/2dYc0gU .
After that, fill it with real fluids (good oil and distilled water/Toyota red coolant). Run the car up to temp. Once it's at temp for a few minutes, shut it down, change fluids again. Then change oil after 10 miles, 100 miles and 1000 miles.
Again, forget the block. That's beyond what you have the time/money/resources for. Tackle the basic BHG first, then if you need to later, you can tackle a full build.
FYI, you have no guaranteed success here. You could do my basic BHG repair as above and end up with bearing failure in a few months. That's a part of the game with a 25 year old import sports car with a performance engine.
If you haven't already, read my page on BHG (link in my signature or just google "YotaMD BHG").