That temperature seems way too high for any CPU, though I'd have to know the specific type of your CPU in order to provide you with more info. I am assuming that your lag was because the CPU's thermal throttling mechanism kicked in, which automatically slows it down to prevent heat damage.
Two questions to you - what are the individual temperatures for each core when stressed, and what is the exact model of the CPU? Answer me that, and I might be able to give you a bit more certainty about what's going on here.
EDIT #1: That specific CPU is rated at a maximum temperature of 73C, meaning that thermal throttling must've indeed kicked in. Any way you could get me the specific temperatures for each core while it's under load? You can use a program like HWMonitor to check this.
EDIT #2: A good few of your lag issues will be because you're going above 73C, which is the set thermal limit for your CPU. Once you go above this point, the CPU slowly starts throttling to avoid damaging amounts of heat. I know about unlocking cores -- I've done it myself a couple of times. The thing is that sometimes cores are locked because they do not perform to standards. They may work fine, but the core you unlocked could very well be running a lot hotter than the other cores.
Which CPU cooler are you using right now? Is the fan on it still working? Is it clogged with dust by any chance? If you're still using the stock cooler, now may be the time to consider switching to a higher end cooler.
If you mind getting a before- and after-unlock reading of the temps whilst stressing the CPU (with something like Prime95 on small FFT mode) that might help. I know you can't see specific core temperatures, but the overall temperature should hopefully provide enough info there; if everything's the same, you have a cooling issue. If not, you have a hot core.
On a side note, you seeing lag only after having a lot of things going on on the screen is pretty typical. Your CPU is probably doing physics calculations on those objects, whereas the GPU handles most of the graphical stuff. Not a lot of games really stress a modern CPU too much, especially with GPUs taking on more and more tasks. :)
EDIT #3: What's your current CPU cooler? Buying a new CPU would be a bit radical if a new cooler (or re-application of thermal paste?) could possibly fix it, though I do ofcourse not know what you're cooling it with right now. 73C under load already seems rather high when running with the fourth core locked. For reference: I only hit 51C under Prime95 with my Phenom II X6 1055T, and that's with a quality 92mm cooler with fans running at half speed.
By the way, if you want to chat with me directly and happen to have Steam installed, add "suxpand" on there. Might be a bit easier to work this out that way. :)