I'm a machinist by trade, defintitely check to see if you can put a collet attachment on that lathe. It'll help keep your part spin true, and it'll make your life a lot easier if your just trying a lathe for the first time.
I'm guessing item "G" in the picture is for attaching collets?? It doesn't look like any collets come with the lathe though.
Zofryer:
I'm not a machinist, but I do own a 16" x 105" lathe. (a very old one)

. I am a Farmer, and this lathe has saved me a lot of money in parts over the years.
The description doesn't really give enough information. Some things that I question are:
1- Distance between centers:7". I know a small lathe is what you want, but 7" is just not much room...What if you want to put a drill bit in the tailstock?
2- Spindle Speeds: 5(560-2500 RPM). A minimum speed of 560 rpm is fine for aluminum, in fact you will probably want to use an even faster speed for turning aluminum, but for cutting
threads, 560 is going to seem REALLY fast. You are going to have to engage and disengage the the long feed at precisely the right time for 6 or 8 reps (as the
threads get deeper)...560 is going to make you real nervous

. I like to cut
threads at 150 to 200 rpm.
3- Tailstok (not my spelling) quill travel: 7/10". 7/10 of an inch? Not gonna be able to drill anything from the tailstock. This is only for setting a center.
Mill/Drill Specifications:
1- Spindle to Table Distance(Min-Max): 5"-7". Not sure if this means that the total vertical drill/mill spindle travel is only two inches?
Jeez...seems like I'm pickin' on the poor thing now...just some things to think about. I do think it would be fun to play around with.
Oh, and no matter how big of a machine you get, it will be too small for the second job you want to do with it.