Properly, electronic ignition replaces your points and condenser. No points. No condenser. Condition of the old parts matters not one whit. You remove that dodgy condenser and throw it in the trash and let the snazzy new ignition do the job.

This HEI kit is a bit of an odd kludge; the circuit shown doesn't seem to use your condenser for anything. The HEI box should do all amplification internally, and the surge of current required to fire the coil comes from the box... therefore the condenser does not appear to serve a purpose in that circuit. And it does provide the possibility of going short, which would strand you. It seems to me that the condenser ought not be used. But then, points should not be used. Ever. You're opening and closing a switch millions of times and thinking that won't cause trouble?

So if you've still got to use points, what is the purpose of adding an electronic box? The schematic of that system just makes my head hurt. Why, oh why, would you convert a good electronic ignition system to allow it to use breaker points?

As an alternative: Crane made some good ignitions as bolt-ons to fit many stock Bosch distributors -- they came with full instructions and it required very, very little brain power to install one. A sensor mounts where your points used to go, a rotary thingy to trigger the sensor mounts on the rotor shaft, and a little box mounts on the fender or firewall. Twelve volts to the box, hook it up to the coil, plug it into the sensor, time it and you're running. Mine's gone close to twenty years without trouble. Very worthwhile upgrade. Most likely still available, if not from Crane then from others embracing the same concept.

If you absolutely must have breaker points, keep 'em in a Ziploc bag. In the exceedingly unlikely event that your breakerless ignition should fail, you can remove the sensor and install the points then and there, going back to stock in a matter of minutes at the side of the road using just a screwdriver. Point, game, and match.