I'm not really sure what happens when you hold it right up to your eye. I'd be worried about the total amount of heat my retina can dissipate more than the lumens, but I have no idea what that number actually is.
The sun gets up to 1.6 billion candela per meter squared. 850 lumens in a 120 degree cone, from a 5x5mm surface, is about 11 million candela per square meter if I did the math right. With a retinal danger level around 100 million, you'd need some very strong secondary effects to damage yourself with an 11 million source.
Secondary effects like boiling your entire eyeball, or overloading the cornea while the retina is safe. And I don't have the knowledge here to say if that happens, or if your body can easily sink a spread-out watt of light and nothing bad happens.
Normal retinal spot burns are not about total light coming into your eye. They're about incoming light per solid angle. A light that is bright enough per area is dangerous at any distance, until it's so so far away it looks like a single point.
I'm sure that there's some level at which total light is damaging, even if there are no super bright spots. But that level is going to be significantly higher than 120k. It's maybe a range this LED can reach, maybe not.