Pug love!
(I only wish it still looked like this!)
Were I to do this as an IGH (and believe me, it's a distinct possibility, as fugly as this frame truly is), I'd go with Albatross bars, a 7-8 speed, dynohub, VO French bottom bracket, Eighthinch polished cranks, and modernized versions of the centerpull brakes. FInish it off with bar end brakes and a thumbie to switch gears. Leather everything, of course.