Originally Posted by
jbonamici
Seems to be the general consensus, and I'd agree. If you can find an affordable set of 700c wheels it will also lower the top tube height a bit. But I agree that you can ride the bike as is, so 27" would be fine; let price be your guide.
[edit] on the backward peddling issue, you might also check the derailleur pulleys.
For 700 rims, make certain you can lower brake pads at least a quarter of an inch, 1/4", some report 4 mm, as the rim diameter is less.
But then the width you select is critical as some 700 size tires have a larger profile than the 27" tires, and then may not clear the fork or frame, or even brake assembly.
I will agree alloy rims improve ride and handling over the steel rims, I made upgrade on my 80 Continental, set from another bike, bought via a good friend.