After PicturesI decided to stucco this wall to hide all of the gouges and imperfections. I have spent about an hour every day this week (son's nap time) stuccoing this wall and finally finished today!!!
All I did was buy a box of joint compound and spread it on the wall. I didn't do the best job since this is the garage and I wanted to get it done quick, but I am happy with the results.
Now I just need to choose from my selection of leftover paint. Maybe I will mix 2 colors together, or do the upper half a different color from the lower half. It will be interesting to see what I come up with.