Nice find! I would also get a Brooks b66 or b72 . I think someone painted the rear fender white as was done from factory until maybe ‘75 . I would only repaint that portion with some oil based rust oleum you find in a small can at hardware store and apply by brush. Use painter tape to get a clean line and remove before dry. Source the accompanying rear reflector and chain guard if you can find. Service the hubs and BB and HS. You can make a cotter press from a motorcycle chain tool from harbor freight for less than $15. Instructions can be found somewhere on forum just use search. It looks like it will clean up well as I see no rust apart from small surface rust on chainwheel.