The track heads are definitely dated. Explore Juno, Halo, and Tech lighting systems. Juno and Halo will have more contemporary heads you can possibly use in your existing tracks. I would lean towards LED fixtures. Will never have to change the bulbs and save 90% on electricity.

Yes, replace the old "continental" fixtures if you keep this track with Halo or Juno. Be sure to verify that the new track fixture will fit your existing track.

Is the center of the room dark? For a BIG change Tech is an excellent choice that is sold at real lighting showrooms. Here is a link - http://www.techlighting.com/Products

I really like the cable lights I got from techlighting...replaced tracks, but couldn't do recessed due to lack of clearance...overall would have preferred recessed.

Thanks for the feedback, I will check these sites out. Sometimes the center is dark but I need to keep a fan in there, it really helps circulate the air in both winter and summer. Will be painting the room a different color as well, there are pics of the room in another discussion I was trying to launch.