We plan on finishing out basement in 2012. Step one is waterproofing it. We had a company come in and dig up a foot around the inside and they laid new pipes, river rock, and when it is re-cemented, there will be a plastic waffle-weave "thing" against the wall so any moisture will go down into the rock/drain system instead of out into the wall or onto the floor. Here are some pictures of the work in progress....
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