Thats exactly the HDTV I have just purchased for my 360 - to be honest, I just received the TV today. It works great. I have the component connections to it, and all is well.
I also only sit about 4 feet away, and considered a 23" at first, but Im glad I got the 26".
Its cool, go for it.
By the way, Amazon have it for £499 with free delivery ;o)
I bought it from beyondtelevision.co.uk - only £472 including next day delivery.
Hope that helps!
Good luck, if you have any probs gimme a shout since we will have the same setup!
PS. Ive included a pic below

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