I am thinking this frame may be a bit later than 1949. It has a newer badge. The very nice catalogue photograph nlerner provided has the old style badge. I'd estimate this to be a 1950s bike. And yes, looks like a Kestrel frame with original paint and some graphics left. It is well-preserved. It was a sporty frame in its day with good tubing and lugs.

Wheels can be a tricky thing with these bikes. Unless you want to go all-original, I would avoid EA1 / 597mm rims because the tire selection now is poor. I would consider going one size up or one size down with rims. If you opt for 36-hole drilling, you have some additional options for wheels and hubs. But some people like to stick to 40 / 32 drilling because it was so much a part of the vintage, English system of building bikes.

A typical upgrade for a bike like this would be a medium-ratio AM or FM rear hub, for a sportier ride. A Hercules wide ratio three speed or a Sturmey AW would be more available in terms of hubs and parts on the market today. The Sturmey FW four speed gives you an extra low gear if you need more climbing power. The FW can also be converted to a 5-speed with a few changes.

It's a nice frame and a fine project.