truthfully, if i had the option between 26" and 700c i might have gone with 700c wheels. however, i wanted a touring bike and the surly seemed like the best option. when i noticed sizes 54 and down came with 26" wheels, i was kind of off-put (i think i started one of the first threads *****ing about it). For a short while, i considered buying a crosscheck instead. it eventually occurred to me that because i was shopping for a bike specifically for bike touring, a touring specific bike would make the most sense.

long story short, i ended up getting a lht and i'm very happy with it. my touring buddy accelerated away from me at green lights, but i always caught and passed him on hills and most flats. this might be due to the fact that i'm the stronger cyclist -- just goes to support the old truism that it isn't about the bike.

i spun around on my friends bike for a bit and found that my bike felt more stable and manageable turning at low speeds and negotiating turns. I got the sense that it was due to the wheel size but that would be hard to isolate. you'll probably spend so much time on whatever you get that you'll come to love/appreciate it for the freedom of movement that it offers.
Plus, my bike looks bad ass.