I find it curious that an English standard is common in most of the world and a metric standard is recommended for the US. I first noticed this when a friend from Germany came over to tour the US and used 26", since it was most common in Europe and surrounding areas, she said.

When I was a kid, my old Sears three speed bikes had 26" wheels. When I got older, my first ten-speed was a Schwinn Varsity and the 27" wheels felt much faster. (I think that's why the craze with 29ers in the MTB world.) I can't imagine going back to 26" unless I really had to. Others above have pointed out plenty of good reasons to do just that, though. I'm average-sized and pretty much stay on decent roads. I'll ride the bike I need for 95% of my riding, rather than the other way around.

I got the 56 LHT with 26 inch wheels and have been very happy. I wanted the option to run wider tires and also liked the slight theoretical strength advantage of the 26 inch wheel. In two years of hopping curbs and heavy loads, my wheels are still true. The 26 inch wheels have been great on trails with 1.5 inch tires and I will probably go wider next. I also have no toe overlap issues with it. I really am happy with my choice. That being said, I am sure you would have no issues with 700C wheels too. For me though, with the LHT, the 26 inch wheels are great.