Sorry I never replied. I wound up ordered the ATE kit from Volks Metalcraft and waiting for them to arrive. I inspected the trailing arm again and I can't see an obvious damage. Paul at VMC said I can get 3-4x more adjustment with the ATE kit so I'm hoping that will be enough.
Quoting iceman69510:
So the new crossmember bolted up ok? fit over those large body studs with no issues?
Yes the crossmember bolted up fine. It was pretty rusty and I cleaned it up a whole lot but I didn't have any problem lining it up and installing it.