Need Help Reinstalling Mac OS X panther.

I just recently was given a Mac Powerbook I'm assuming from around 2002 that's running the Panther OS. When the computer was given to me the hard drive and everything had been wiped clean, and the previous owners said that everything worked fine including the original start up disks but now as I try to re install everything it'll get me to step 4 choosing a destination and that's where I get stuck it gives me no options? What do I do? I'm totally new to owning a Mac. Any help is greatly appreciated.

Ronda