Single speed is fine. Most people are turned off if things are shaved off the frame but would applaud that another bike is on the road.
What parts came with the bike or did you receive it as a frame?
Can you also upload photos of:
Seat lug cluster
Rear drop outs
Any serial numbers
If you can, can you identify: bottom bracket threading (Italian, British, etc.:
http://www.sheldonbrown.com/ and
http://www.mytenspeeds.com/My_TenSpe...yTenSpeeds.htm are excellent resources)
Seat post diameter