flopped strong draw multi-way pot OOP deep

[jackflashdrive]

2/4 NL. I don't have the HH in front of me, so this is just from memory

effective stacks between me and cutoff: $800
UTG+1 is short at $85.

I am in BB with 7 [img]/images/graemlins/heart.gif[/img]8 [img]/images/graemlins/heart.gif[/img].

UTG folds, UTG+1 limps, CO (21/15/4) raises to 16, button folds, SB calls, I call, UTG+1 calls.

Flop

5 [img]/images/graemlins/club.gif[/img]6 [img]/images/graemlins/spade.gif[/img]7 [img]/images/graemlins/diamond.gif[/img]

SB checks, I lead for $40, UTG+1 raises allin for $85, CO calls $85, SB folds, I?

Edit: I can reraise or call and my question is which of these is best, and also any comments on my flop lead.