Worn out, no. Up to two arsenal rebuilds, mixmaster, and refinished to military standards more than once, yes. The CMP doesn't sell junker marginal Garands, and they aren't going to simply throw 1911's in a mailer without disassembly and inspection.
It also goes to the ammunition - many think that the gun affects the performance but the reality is that it's incremental. An additional 2MOA or the loss of 150fps velocity in a beater gun still means a .45 traveling with lethal force over 21 feet of trajectory. Ammo performance with modern loads will be more powerful, and the ammo more accurate than the Ball ammo used then.
If rattly slides, 8 pound triggers, pitted refinishes, blurred markings, hammers that bite, and hard to see daytime only sights are deal killers, fine. As a functional gun they will be overpriced for their utility value launching bullets. But that hasn't stopped the HK P7 buyers one bit either.