The consensus that this is a fine touring bike that is up for the job--assuming you have overhauled it, replaced the consumables, and checked out the wheels--is right. This is a fine long distance machine.
That said, I might rule this bike out for the reasons @
gmvelo gave. The bike has 27 inch wheels and 120 OLD rear wheel (5 speed freewheel). Quality 27 inch tires are available and so are replacement 27 inch alloy rims and 5 speed freewheels. Just keep in mind that 27 inch tires will not be easy to find on the road so carry a spare and that it can be tough to switch this to 700c if you decide to do this down the road.
I'm with
Bonzo Banana . If I were looking for a quality touring bike on the cheap, I'd give a long hard look at a vintage MTB (one with a rigid fork). The wheels are pretty stout on them and there is a lot to be said for a fat tire when touring (say 26 x 1.75). Plus they have lots of gearing. The one downside to a vintage MTB is that the flat bars are good for offroad control but not so great for comfort on long distance. There are ways to fix that. You could do a drop bar conversion but that is a lot of work and can cost some money. The cheapest solution by far is a trekking bar which kind of looks like a drop bar squished flat. It's easy to do and all the existing parts on the MTB (brake levers, shifters) will work just fine. Plus vintage MTBs--even high end ones--tend to be inexpensive. This is my 1992 Trek 1992 with a trekking bar. I use it on mixed surfaces but it would make a fine touring bike as well. I like bmx style pedals as you use any shoes you like:
