Is there some way, perhaps, to shrink the picture a bit? If so, I suppose that's going to lead to burn in anyway... sigh.
I had a 43 inches rear projection tv which looked very nice on SD, even at just at a distance of 5 feet or so. I've compared my old 4/3 TV to a 60 inches 16/9 one and the height of the picture frame is substantially the same (using displaywars dot com)
So I wonder... maybe with the 4:3 SD signal "framed" in the middle of the screen, the result would be a bit better...
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