Might've been the national chain that's still around, or one of its since-deceased competitors. Apparently, it became harder for kids in some parts of the country to buy spray paints in stores, Some say it was due to chemicals in the paint; others claim it was the result of anti-graffiti ordinances.
Didn't Jo-Han do its kits in color from the get-go?
Reggie Jackson was a bit of a collector in the '80s. He lost a good chunk of his collection in a fire in California back then. The only cars I remember him losing were some Camaro Z-28s he socked away (he was a part-owner of a Chevrolet dealership, and had a small number of new never-sold Chevys put aside for his collection).