Best practices almost never apply to every case and that's why we need you, the professional software developer, to make that judgment call. If you know that you are just creating a simple demo web app that will be thrown away, then it probably isn't worth the extra trouble of creating a separate project for your entities. In that case, time over extensibility is your priority.
Having said that, most real world projects do have a separate project for entities. Even if the entity project will only ever be used by your web project, sometimes the separation is good just to guide you to a good design.
As for repositories, they aren't always a good idea and sometimes create an abstraction that isn't needed. See Rob Conery's opinion on them for example.