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@samueldavidkeyes
I've got an old Hercules Balmoral I found while clearing out my Grandad's garage at the weekend. Not this bike, but exactly the same:
http://i.pbase.com/o2/42/534842/1/112838263.bTIEF3sV.HerculesBalmoral.jpg
I've stripped it down and given the Sturmey 3-speed a service and in general it's in lovely nick, except for the steel rims which are thoroughly past it. Inspection shows that spokes tension is way off, nipples are seized up, chrome has corroded away, and surfaces are horrible. The hubs are in great condition though. What's the best option? Are old 26 - 1 1/4" wheels pretty easy to come by?