Your current RAM is comprised of the 8 chips right to the VLSI chip, which each provide 256K storage locations of 4 bits (called 256K x 4), and the 4 chips in the big array of sockets, which each provide 256K storage locations of 1 bit (called 256K x 1), used for parity. As a 286 board uses 16 data bits and 2 parity bits per bank, you have two banks of 256K storage locations with 16+2 bits per bank. With the part of the board you show, it looks like it is ready to accept the 1MB you have also as 36 chips of 256K storage locations of 1 bit each (i.e. you replace all the HYB514256A (256K x 4) chips with four KM41C256P (or equivalent 256K x 1) chips, which you insert below the parity RAM). It is very unlikely that the 4-bit chips next to the VLSI chip and the empty sockets below the VLSI chips can be used at the same time, as they obviously share the space for the parity RAM.
The big array of sockets with the four chips inserted is obviously prepared to take physically bigger chips as a second option. This would still be chips with one bit per chip, but more address lines. The only common RAM type that matches this description is a chips with 1M of storage locations, 1 bit each, called "1M x 1" chips. Those chips are DIP18 chips and would fit into the longer part of the 36 sockets. So I am very confident that yanking all the memory chips from the board, and filling the big array sockets with 1M x 1 chips (google for "1M x 1 DRAM DIP" to find sellers; your current chips have an access time of 70ns, as indicated by the -7 suffix, so to match speed, you need to buy the 70ns or 60ns version). It is also quite likely that the eight 20-pin 256K x 4 chips would be replaceable by 1M x 4 chips. Both of these chip types have the same DIP 20 case. You can probe whether 1Mx4 chips are going to work by checking continuity between pin 5 of the x4 sockets and pin 15 of the long part of the x1 sockets, as shown in the picture below. If this is the case, you can combine 8 chips of 1M x 4 DRAM in the sockets that currently have 8 chips of 256k x 4 DRAM with 4 chips of 1M x 1 DRAM in the sockets overlapping the sockets that currently have 256k x 1 DRAM installed.
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I also see further empty sockets below the area you photographed, labelled "bank 1". As this area is incomplete, I can't guess how those sockets are to be used, and whether they can be used at the same time as the sockets that currently are in use.