Yes, 26mm tyres sound a bit narrow by hybrid standards. The concept is nothing new -- in 1971, I set up my old Bianchi 10-speed with the same flat handlebars that Peugeot used on their UO-18 mixtes for my then-future wife, who never has liked drop bars. For myself, I still prefer drops, because I like the variety of hand positions.
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"Far and away the best prize that life offers is the chance to work hard at work worth doing." --Theodore Roosevelt
Capo: 1959 Modell Campagnolo, S/N 40324; 1960 Sieger (2), S/N 42624, 42597
Carlton: 1962 Franco Suisse, S/N K7911
Peugeot: 1970 UO-8, S/N 0010468
Bianchi: 1982 Campione d'Italia, S/N 1.M9914
Schwinn: 1988 Project KOM-10, S/N F804069