No, they are aggressive and often attack their tank mates. Delicate fish like angelfish or tetras can get beat up if housed together with a yellow lab. It is best if you only keep them with more aggressive, sturdy fish.
You could put it in your 29, there is no harm in that. However, dont go smaller than this if you want it to be healthy. Since you want to put it in a smaller tank, you could only keep it alone or with fish like small plecos.
If have a tank over 55 gallons, you could put many individuals in the same tank along with tank mates such as other chiclids or catfish. It is best to overstock an African chiclid tanks to control aggression.
These fish and one of the easiest chiclids to keep due to their manageable size and aggression. Yellow Labs are among the least aggressive mbuna chiclids, so they have more success with fish other than other mbuna chiclids.