That's what I have in front and it never rubbed under any driving condition with a 255/35 tire, but a 265/35 tire would be too close to call. I have no fender mods at all. A front fender roll would definitely allow clearing even the 265 or maybe even a 275.
Actually I'm not sure what a 1.25 inch drop looks like. I think mine is lower than that. As far as height, the top of my tire is just about even with the bottom of the fender lip. This is the only crappy pic I have and it's not a good angle to see