the exhaust does not get that hot so dont worry. I have a set of bags and its all good even tho they hang about 1,5-2cm from the exhaust.

As for the tires the only dual sport option I could find are these CSTs. They are decent. Back tire lasted around 15000km for me ;) to compare with 6000km for the Michelin super sporty, but Michelins grip on tarmac is way better