You might need some kind of MMP part if you want it to be truly proportional. If the voters can only rank about ten candidates before it gets unwieldy, that would give an effective 9% absolute threshold. A party that gains 8% support everywhere would get no candidates elected.

Here's a paper by Markus Schulze proposing such a method: https://aso.icann.org/wp-content/uploads/2019/02/schulze4.pd... He uses some very large districts, but it should work for smaller districts too.

Yes, STV is non perfect but IMHO it’s worth it to not have party lists.

Also one of the main criticism of people opposed to proportional system is the lack of direct representation. STV solves that and even is superior to FPTP in that way because you are more likely to find a MP who is more sympathetic towards your cause/views if there are e.g. 3-5 members in your district.

Of course I’m not talking about the system proposed in the paper your linked, but rather about how MMP works in Germany. You get both part list and FPTP style party appointed candidates.