Just found out this week that the finished basement in the house I recently bought (still renovating) had/possibly still has a massive rodent infestation: mice, rats, chipmunks. Plus mold from an upstairs water leak. Oh, and camel crickets too.

Anyway, all the drywall (ceilings, walls) and insulation is going to be professionally removed and the exposed framing and walls disinfected. Yes it is that bad. :-( Carpeting is already gone. It's poured concrete construction (not cinderblock). Previous owners had made a rental apartment down there ... no permits of course ... but the kitchen has already been ripped out. Bathroom probably will be as well, as part of the decontamination procedure.

Depending on the extent of the dampness problem, I'd like to at least enclose the ceiling so as to create a barrier between the basement and the living space above. Especially if the basement will require further treatment (spray) for pests. But I absolutely don't want to put foam batt insulation up there again. Would a suspended insulated-panel ceiling be a sensible option? I'm thinking that it would be the easiest way to have a closed ceiling that would also be easily accessible for maintenance, wiring and checking for any future problems. Naturally any entry points will be taken care of but as we all know, these critters are wily and so I'm not ever going to assume it can't possibly happen again.

Ceiling is only 7 ft (to the existing drywall which will be coming down); is that an issue for using a suspended/grid ceiling?

I'm hoping to be able to finish the walls again but it will be several years before I'd be able to do them and/or the flooring (cost issues).