That is pretty typical of Baldwin grands, of most eras, as well as many other brands. The damper upstop rail is the only limiting factor for the damper pedal. Another quirk is that typically the Baldwin upstop rail is "stabilized" by brads. If you want to adjust it, you need to pull the brads first (4 or 5 of them).
The stabilizing method isn't actually a bad idea. In university settings, hard playing drives the upstop rails up, often no matter how hard you tighten the screws. I often drilled a few small holes and installed centerpins, leaving them protruding a couple mm so they can easily be removed when desired (hole is just a snug enough fit so they won't work their way out).
Back to limiting the pedal, the amount of space to be taken up by a stop for the trap work is quite a bit, at least in some models, so a block of wood may be needed. I prefer two pieces of hammer felt (one on the key bed, the other on the trap lever) to a capstan arrangement. The capstan stop can turn the keybed into a drum for the heavy-footed pianist. It also quickly creates a dent in the felt against which it pounds, changing the regulation. Felt against felt is quite stable and quiet. It isn't that hard to cut to size, remove and replace, should you need to change the setting.
I had several upstop rails whose felt had been destroyed by use as the pedal stop or just by forceful playing, mostly on Steinways. I became adept at removing one of the end blocks on which the damper tray pivots, swinging the tray free, and insinuating the rail out behind and under it, so as to be able to replace the felt. Touchy work, but it can be done.