Well I know nothing about the 512 to help you, but I know enough to help you with the rust...
You'll have to remove the parts from the car and sandblast all rust and dirt from the parts. Then you have to check how far rust has taken over the parts. You can repair the damaged surface with special steel plaster (I forgot how it's called). Scrub the surface with sandpaper and clean it. Then paint it or have it galvanized. When finished, no more rust will eat your baby.
Honestly- this type of repair can quickly turn into a major suspension overhaul. The rust in the photo doesn't look too bad, so unless you want to remove the a-arms (which MIGHT mean replacing the bushings, sway-bar bushings, drop-ling bushings, maybe shocks, etc.), I would just sand them down a little to see how deep the rust is. If then you decide to repaint/powdercoat- then they will need to come off to do it right. The job is not too difficult, just takes time- and the part cost can add up quickly if you start replacing things because you are there and they are already 20 years old. I'm not versed on the 512 (I wish I was!), my experience is with the 308 series, but I assume the basics are the same.
For example, this winter I started a project to just rebuild the brake calipers, replace the flexible brake lines, and replace the drop-link bushings. Two months later the entire suspension was on the workbench and getting a re-bushing, paint, and a new steering rack. In the end, I'm thrilled with the outcome...but it sure took alot longer than planned and cost quite a bit more.
This is just my personal adventure, your mileage may vary.
jwise, Many thanks for the help and advice. You are right, my major fear is that once I start it will become a major "while you are at it" project taking a lot more time and money than expected.
Your 308 suspension looks great !
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