Are you specifically trying to create a grocery shopping bike? You should start with a cargo bike type of design:

^ I rode a bike with this small front wheel/ frame mounted basket design once, and it was very, very stable even carrying a good load. It was a revelation. It's nothing like putting a basket on a regular bike.

You forgot to list why steel tubing for your frame and why disc brakes instead of rim.
But the biggest thing you forgot is to say why you are even asking if your bike spec is acceptable.
Why are you asking if it's acceptable? If someone says 'NO!' will that matter? If someone says 'YES!' will that matter?

Bright lights on a bike are much more effective than reflectors, though I do use a combination of lights and reflective tape on my bikes. A bright taillight is a very good idea because it lets drivers know that something is up ahead, long before they see the light from their headlights reflected by reflectors. Though the pedal reflectors moving up & down should get some notice.

??

You have a design parameter based on hearsay from one person??

OK well I did say I do like aluminum. But, the main points about steel is more road vibration absorption, the ability to re-bend it if it's a bit banged up, and the fact it's easier to find welders who can weld steel rather than aluminum.
As for the disc brakes, well someone commented on here that some people are not as good at adjusting V-brakes as they can with disc brakes. I remember on one bike I had super squealing that could shake the entire bike with the V-brakes. Then I learned how to adjust the brake pads at an angle (toe-in) with an elastic band or twist-tie. I don't think everyone knows how to do that. Besides, some V-brakes after a while loose their tension. I did find a trick for that on Youtube but again not everyone would know how to do that.
And the other point, about other people's opinions. I really think the way some bikes are configured that some companies are just not paying attention to what the consumer wants. Just look at the Marin Kentfield 1. When I saw someone driving one with an upright seating position on Youtube I was thinking this is great. When I noticed the weird gearing though it's a 1x drivetrain with 7 speeds in the rear. Who does that anyway? First, it's only seven speeds. Second, with 38T cranks and 11-32T cassette it only goes down to around 32 gear inches. And by the way, I read a hub for a 7 speed cassette is not compatible with an 8 or 9 speed cassette. So it's not easily modifiable. Does that mean they want to force you to get the Deore model? What if I wanted an Acera model (or minimum Altus)?

Marin has sold tens of thousands if not hundreds of thousands bikes, they know what people want (read will buy at a price point) way better than you do.

people do not want friction shifters.

gearing setup including 7 speed it there to meet a price point

this is simple runaround bike

most people are not going to get a bike and then mod it

your basic thinking is: this is what I like so everyone should like it......that is flawed

I like tubulars and don't like tubeless....that does not mean that is the best for everyone....best for me. and does not mean everyone should like that preference

People are answering the way they are because you haven't included the most important part. Acceptable for what? We do not know what you are going to use the bike for, or what your preferences are. We don't know if you want to commute on the bike, ride trails, or what. It helps to know if you simply want a bike to ride the MUP, or around town, od just around the neighborhood for fun.

Yes, we do know what he is going to use the bike for, and what his preferences are. It's for going grocery shopping.

First off, there are people on YouTube who are firmly convinced that the earth is flat. That the government is tracking them. That Elvis is alive, etc.

I have 3 high level steel road bikes. They’re ok.

As for adjusting brakes on the side of the road? That’s a fallacy the anti-hydro crowd puts forth. With mechanical you can replace the cable or recenter the pads sure. With hydro, you don’t have to because they don’t need it.

With the exception of a pretty severe crash, properly maintained and decent quality hydro’s are going to go several years between adjustments.

But if you’re really looking for a bike to ride to the edge of the ice wall, just get rim brakes. They aren’t better but they fit the vibe.

That wasn't in his original post, and it was a small blip in his long post with all the specs. I missed it in that post.

Well, his original post couldn't be any vaguer. But reading on, I think it's pretty clear that he wants a sturdy, reliable, comfortable bike primarily intended to carry cargo, specifically groceries.

Yes, as I said, I missed it. In other words, I accepted what you stated.

If I remember correctly, someone had said several bike mechanics in the same shop.

That’s still hearsay from one person, no matter how many mechanics said it to him.

I'll admit I don't think I've ever looked seriously at Internal Geared Hubs. But one idea I can't believe got put down on this site is direct mount caliper brakes. Maybe they came about around the time disc brakes already emerged but the idea I thought would be cool for large tires. I still believe in 27.5x2.15" tires though (even 2.35"). One of the reasons I believe the 650b fad is not as hot though is because companies like Brodie Bikes eliminated some of those models and replaced them with 700c models. So I guess since 700x40c has caught on I hope one company will come out with direct mount brakes for those.
As a passing comment on tires, I tested 41mm, 44mm and 55mm tires on the same gravel road with 1 inch rocks. The most pleasant was obviously 55mm. Even 41mm wouldn't compare though is more plush than 36mm (some tires marked 38c are actually 36mm). If I didn't want a squishy feeling but wanted to at least survive potholes then 36mm would be my minimum. (I did see a video however on Youtube by pathlesscycled where he said 40mm was way softer on cobblestone roads then 35mm.) The Schwalbe Green Marathon tread pattern is probably my favorite on paper even though I haven't tried it yet.

I seriously wouldn't worry about what anyone says, if you like it, then it is good for you. I still have rim brakes, and like them, they stop the bike, and do so well. That's enough for me. That is not to say I do not like disk brakes, I do, just that my main bike still has rim brakes, cantis even, and they work well for me. Don't sweat it.

As a mechanic who has worked with linkglide/CUES since it came out, this part makes no sense to me. Do you base a lot of your decisions on what “one poster” or “some YouTuber” said?

Well, that's good if they're adjustable. But I did hear from several youtubers that CUES is slower than Hyperglide. Even if that doesn't seem like a large factor, I'm pretty sure I'd find it annoying if my gear changes were a bit slower every time I wanted to change gears, even if I'm not a racer.