The tiny etched brass plaque on the box says Boley, as in Boley Watch Makers Lathe.
This is a 6.5mm lathe made by G. Boley, established in Germany in 1870.
The lathe bed on this lathe is very distinct, half-round and triangular.
To give you an idea of just how small this lathe is the box is just 285mm (11.25″) long.
The belt is round and is essentially trapped by the headstock bearings. The easiest way around this is to use a belt whereby you cut a length and bond the ends together.
Price: Well, I just bought this lathe on ebay for £215 (August 2010)