I've done this on a couple of older sidepull bikes then had my first Ticycles frame built that way with the recessed. I like that I work on both derailleurs and brakes fomr the same side of the bike. Also that the bike looks cleaner from behind. I wanted to to do the same with my road fix gear but realized that i needed the rear caliper as far back as I could get it to get it closer to the high point of the rim; the only place where moving the wheel forward and back doesn't change rim height with respect to the brake pads.
A work-a-round for recessed bikes - have some rod the width of the recess drilled for the brake bolt diameter. Use older, pre-recess brakes.
Ben