Walls – How to build shower niches into an old plaster and lath wall

I think you would be better off using a remodeling box (with the flanges that rotate out to grip the wall) and ignore the stud altogether. With a remodeling box, you just have to cut a hole big enough for the box, whereas if you use a regular box, you have to cut away more so you have room to nail it into the stud.

The main difficulties you'll face are that you don't know exactly where the lath is placed within the wall, and that the plaster will be brittle with age.

Start by using something sharp to gouge out a small hole in the center of the spot for your new receptacle; I use the pointed tip of a drywall saw. Once you've exposed the lath, expand the hole up and down until you find the edges of that piece of lath. The other lath are going to be approximately the same size and spaced up to maybe 1/4" apart. Adjust your planned spot up or down a little so that at least one edge of the box lines up with a gap in the lath -- it's easier to cut through the plaster on its own.

Expand the hole until it's big enough for the box, then use a jigsaw to cut away the lath. Vibration from the saw can cause more damage to the wall so take it very slow and easy. (Another reason to avoid the stud: if the lath ends at that stud, you'll only have about 1/2" of it to hold the plaster in place.)

If wallpaper was painted over you could tell pretty easily by pulling on some of the peeling paint and breaking the paint chips. Wear a respirator mask while doing this, however, as often times flaking paint is a potential indicator of lead based paint. If the chips contain paper, then you're right, it's wallpaper with paint over it. If it's just paint, then be more careful - get the chips tested for lead.

Given the wide spread flaking, it is likely that the wall simply wasn't properly primed. An improperly treated wall when painted over will eventually lose adhesion with the paint and it'll flake away like you're seeing. If they applied paint directly to wall paper w/o priming, I think the same is true.

That 2nd picture DOES remind me of wallpaper... I've scrubbed far too much backing off the walls and that looks similar.

The grey subsurface is, I think, a kind of stucco mix that was often used to even up walls where lathe and plaster was replaced with the older style 2x4 drywall panels. It's nasty, gritty, dusty, unpleasant stuff, tougher than joint compound/plaster to work with because of it's tendency to crack and break rather catastrophically. When I run into that stuff in my rentals my approach is, "IF I have to touch it at all, it's ALL coming down." Plus with wallpaper I swear gutting is easier than stripping.

Now around the vent pipe, that looks like moisture damage. The bubbling around the pipe suggest water leakage. Is that a "finished" ceiling - ie - thats the roof on the other side of that wall w/ the pipe? If so, make sure it's properly sealed and replace at least that area of ceiling. Picture #5 seems to confirm this - someone touched it, and patched it badly.