It looks like the PO installed the sway bar too low. And in so doing cut the frame. See pictures.

I’m not worried about installing a sway bar right now. But the frame - should I be worried about this? Drivable as is? Fix before putting it on the road?

Anybody have a picture of what it looks like with the proper sway bar installation in this area?

It looks like the swaybar is in the right place. Usually you notch the piece instead of cutting it out completely.

You might be right. But it looks like the actual round hole is a little low on the stamped round flat spot in the body. I assumed that was the issue. If anybody has a picture of what it is supposed to look like in there, with the sway bar mount, that would be great.

But my main issue right now is - can I drive it like this? I want to get it on the road immediately, and then fix this. But, I don’t want to drive it if, structurally, it is a bad idea.

Here is a video
Porsche 914 Front Sway Bar Installation

The hole for the bar should be just above the sheet metal that was cut out. It is hard to tell from the angle of the photos it looks like it might be a 1/4" low

Mounts look about an inch low.

It's there for a reason but it's not critical. I'd be OK with putting a few miles on it.

I would drive it until you are ready to go in and fix everything. Brad at 914ltd has a nice set of mounts that don't require the support to be notched. https://914ltd.com/parts/

Yep. Brad's mounts are what I used on my car (and in the video).