What causes the pitting? Where does it show? And why is it a big problem?
I'm guessing the roughness in the cylinder walls A) lowers compression from a poorer ring/wall seal; B) wears out rings faster C) maybe causes overall increase in wear (pins, rods, crank) from greater friction?
Seems like the sleeving would be the simple solution, but sounds like time is an equal factor to money for you right now.
I'm about to pull my 216, and have only pulled heads on engines a few times, not well versed in what to look for. I'm hoping to steal from your experience! ;-)