I run the Metzler 240/50 R 16. No clearance issues whatsoever. In fact, I have the bike lowered 2" and still plenty of room. No issues with clearance on the sides either. I'm actually thinking of trying the new Avon that just came out - a 240 for 16" wheels, but we'll see. I have plenty of rubber left and hope to change out my wheels next year.
Here's a rear view of the 240 on a lowered 2K.
