I see projects like this pop up every once in a while and get abandoned. A simpler approach may be to just publish a basic web server as your app (express on top of node would do) that runs on the local machine on some random port and have users just go to that URL with their regular installed browser. Bonus points for no leakage of security / CORS / etc. issues from the UI side of things, every unsafe thing needs to…
Love the idea of shipping something smaller. In your proposed idea, would a user still need to make sure node and express were installed? Or can you have a user download a project folder and initiate the same way they would a typical executable?
When developing locally I presume it would be very similar to an Electron project, with npm dependencies for express / fastify on the "backend" side and React or whatever you need for the "frontend" side.
During build, you'd produce 2 bundles (frontend and backend) that tree-shake, etc. such that all js dependencies are optimized together. The frontend bundle should load in any browser (it'd be just a normal website with the only difference being that all REST calls go to /localhost). The backend bundle + any native modules will be loaded in the embedded node runtime so they can be distributed as loose files or packaged in something like Electron's asar.
There, I designed the whole thing, now someone go build it :)