If you can find a dual point distributor kit that works almost as well as an HEI but is cheaper. I bought an upgrade plate off of ebay about six months ago (for $10, no less) that had everything but the points. I just installed it in my spare distributor and it went in really easy and looks spiffy, I'll have to take a picture of it. It looks like it is factory, and has a special bracket on the outside of the distributor for the condenser. Dual points increase the dwell of the coil to give you a hotter spark and double the point life because one set opens the circuit and one set closes it.
If you want to keep it inline and get a bit more power, you could find a 261. It's a big bore 235 with heavy duty rods, more agressive cam, and full flow oiling, with better cooling passages. They are found in two ton trucks and busses, and canadian pontiac cars. They are a direct bolt in replacement for the 235 and have more HP and torque.
