that would probably work great for a Neo.
As for no HDMI, that doesn't mean its not HD, it just means it doesn't have HDMI.
Sony Hi-Scan TVs have a resolution of 853x1080i so its definately HD, just old enough to not have HDMI. I have a 34XBR910 thats the highest definition screen Sony ever made in a CRT and it doesn't have HDMI, its more about Age than abilities. You can hook up a HD source through component instead.
HDTVs do have some scaling built in to enlarge the image of old consoles to HD size and it makes them look a bit compressed with some slight artifacts, but all in all they look great. My CMVS looks sweet on my Sony. I find it's worth the trade off for having the ability to go HD if I want to.