Last night, with everything out of the way, I was able to clean up the walls and cut out some old drywall.  The walls cleaned up quite nicely, and I am very appreciative of whoever put up the old wallpaper for first painting the walls, and then usign a nice water soluable paste that is extremely easy to remove.   I first sprayed down the walls with plain water, and then used a 6″ putty knoife to remove the bulk of the paste.  It was a messy job but it was easy to do, and worked well.  After that I gave the walls a wash down with a sponge, and now its just a matter of spackeling over some nail pops, and a few other marks before they are ready to paint.  Since we aren’t putting a medicine cabinet back in, just a mirror, I’m going to cover that whole with a fresh piece of drywall.  The bottom piece needed to be removed to access the plumbing, and I’ll remove the old screw valves for some nice shiny ball valves.