I have a 110 year old house. I like the basement, and spend lots of time in it, however I would like to finish it off. It does not leak much (Perhaps once a year and a total of about a gallon). The problem is it is a stone foundation wall about 1.25 to 1.5 feet thick made of a soft stone. Right now it has really old crumbling lime plaster on the inside. Before I put up any walls I would like to do something so I don't have to worry about anything latter on. I looked into repointing the walls, but, everything I have read says do not use any concrete mortar as it will break up the stones, only use pure lime mortar, well I can't seem to find any. I had thought about removing the inside plaster and completely covering the wall in about 2 or 3 inches concrete, but I am not sure about that idea. I had thought about trying to simply replaster it, however I still worry about what kind of condition the existing pointing is in. I had also thought of just going ahead and putting up a treated 2x4 wall along the inside with mold and mildew resistant drywall and not doing anything, but then I worry about what could be the inevitable.
Any good ideas?