Yes, usually the condenser is grounded to the generator case and has a lead that goes to the (A) Armature terminal. If in any doubt, replace it.. it's cheap insurance. Auto suppliers may have to special order this item, but in a pinch a .5 microfarad 200V capacitor will work. I've done this in applications where looks weren't an issue.
Also be sure that the generator is getting a good ground. Sometimes the gen is mounted through rubber bushings to the mount and the ground cable does not get connected. And of course, make sure the regulator is getting a good ground to the firewall as well. This has tripped me up many times.
