Had one for 2 years, same engine. Bought it with 17K on the clock, sold it 2 years later with 55K on the clock. No HG issues as I kept it below 3K rpm and low throttle until it was properly warmed up (at least 15 minutes).
Ride is very firm, but it's really quite chuckable. Very cramped though as I found when I switched to the Focus. If you're any 6ft or close, you'll not really be able to fit a mate behind you without causing some sort of pain
Switching from the 205/45/17 that came with them to 205/40/17 gives a better choice of tyres, cheaper too.
Things to look out for:
Mayo under the oil cap
Dirty Coolant
Oil leaks (Commonly from front right corner of the block)
Has the cambelt and waterpump been changed? - 60K/5 years for these. I replaced mine at 36K (5 Years old), they were both like new but thought it was worth spending a £300 to sort it out rather than risk snapping knowing my luck.
Other than that, there's not really much to go wrong on them. Programming new fobs can be an utter nightmare though as you need the Rover Technician software, which not many places have. The mg-rover.org is a good place to get in touch with people who still have it though.