The smell under the hood is most likely anti-freeze. The overflow bottle has a vent on the side that the smell might be escaping from. Now, about the transmission. If you are going to have the OD band replaced, why not go ahead and have the tranny redone? It is already apart and has 85k on it. This is the time when you can have it built up to your specs. On my old GT, I had it rebuilt with a Lincoln Mark VII kit (kevlar bands), hardened input shaft, and a shift kit. All this was done while the tranny was out for a rebuild and it didn't cost much more.
Good luck......................
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