The questions is whether it "can be a dependable daily driver". Lots of people are answering (or at least commenting on) whether they would "want to drive it as their daily driver". It's a very different question, I think. Personally, I see no reason one can't be used as a daily driver, but I sure wouldn't want to.
It's tricky because Cees then adds another question in his post : "would you say it can be used on a daily basis for normal transportation needs? Or are there factors that would render this a 'bad idea'?"
So dependable daily driver, yes. And yes, there are also factors that would render this a bad idea.
On dependability: I've been using cars of the sixties and 70s as daily drivers for the past 30 years (BMW 2002, 3.0csi, Citroen DS21, Mercedes W108 3.5, Mercedes W109 6.3, modified Mercedes W111 Coupe). I did find the Mercedes to be very dependable if in good shape and properly mantained (but that is also the case of the BMWs and Citroen I've owned).
Factors that make it a bad idea are that conditions have changed: security has made huge progress in newer cars, older cars rust more, and in the case of the Pagoda body parts cost an arm and a leg in case of a fender bender.
Then all depends on priorities. If, for the pleasure of driving a vintage car every day, one is ready to give up some of the additional comfort and security found in newer cars and is ready to bear the additional costs of body parts in case of need, then the Pagoda is dependable, and a nice car to drive in with some upgrades: 3.27 rear end or 5 speed transmission, electronic ignition, ipod socket ... no, I'm not including a 5.6L motor in the list, though that really makes it a fun car to drive !