I've never knitted with that, but the yardage sounds similar to Baruffa Cashwool, which I do have, and that's finer than laceweight, it's actually cobweb-weight!

Mind you, it was for my first lacework, but I didn't find it too troublesome. But it is superfine, so you have to be careful when you're tugging at it, and if it comes in hanks, LAY IT OUT PROPERLY when you're winding it. Cobweb yarn is a major major PITA if it gets snarled or tangled.

That sorted, cobweb yarns would give you an even finer end product than lace, so that may be a point to consider (warmth; coverage; prettiness; ?)