Just the hair algae 

.  I didn't notice any growth in the chaeto. In fact it was getting losing its colour. I'm not sure if it was because the lights were too bright or if I didn't have enough flow through the reactor. I think it may have been the latter.
 I may try this again a bit later on a separate frag tank I am planning on setting up.  I didn't want to mess too much with the display tank.  I didn't want to tinker with it so I switched over to BPs that I had used with success before. 
 I am sure this approach could work if done correctly though.  Others have had success using the non-pac bellum reactors on other forums that I have read.  Heck people have had success growing chaeto in their aquaclear filter (which is why I think it may have been flow).