If you adjust the fender line (the way the fender hugs the radius of the wheel), it'll look fine. That'll mean putting in a 1cm or so spacer where your fender connects to the chainstay bridge. And, of course, you won't be able to use your rear rod brakes (and might have to remove the pads, too), but the coaster brake should render them moot. If you already have the wheel, it's certainly worth a try.

Neal