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There may be adapters available to mount C7 wheels on earlier Corvettes, it's not something I've looked into but I know when the C4's came out there were adapters available to mount C4 wheels on all kinds of other cars and trucks. There's a good chance though that the C3's you're seeing with C7 wheels have newer (C4-C7) suspension under them. All the restomod frames from companies like SRIII, Corvette Correction, etc use modern Corvette suspension that is wider hub to hub and require positive offset wheels.
I'm guessing aftermarket with more reasonable sizes. My reasoning:
My C5 Z06 runs C7 Z06 wheel sizes. They barely fit, rub in places, and forced the removal of the rear brake ducts.
The C5 Z06 wheels simply do not fit at either end of my C3 (tested with the 18x10.5 rear wheels, with tires, and 2" adapters, which should put the wheel center at the same point)
With the correct effective offset (from adapters), 18x9.5 wheels can be made to fit. That's likely what you saw.
Check the tire sizes, too. My testing was with a stock-ish 80. YMMV in the rear with offset trailing arms, and no sway bar.