That would make a fantastic machine, with a somewhat manageable footprint, but it would need some work and investment to get there.
I'm an OWWM guy, but have rarely found a machine that didn't need a bit of love before I'd be comfortable using it at length, this one looks to be no exception. I personally enjoy the mechanical side of re-building/ overhauling a machine, and prefer the finished product to newer imports, but beauty is in the eye of the beholder. It would all depend on your comfort level w/ machinery re-work, and your overall budget.
From a mechanical perspective, the points that caught my eye:
Babbit is not un-do-able, but is not for the timid. Not terribly expensive.
Square cutterhead aka "finger eater, widow maker, cannibal cutter, etc": It's debated on a lot on the OWWM sites, (a modern round head wouldn't be too pleasant to come into contact with while running either), but the square nature of the head would definitely cause more carnage. I personally wouldn't want to use one. This would be a good time to upgrade to a shelix while you're re-pouring the babbit if your budget allows.
The motor: While undeniably awesome - I'd plan on replacing the bearings at a minimum.
All in all, it would be a great machine once rebuilt. If you're still thinking about it, maybe you can use a bit of the above for negotiating purposes?
Good luck either way - Cheers,