If it's in good shape, some people would pay that. Up here in the Bay Area that ad would have the word "vintage" and "rare" in it and the person would probably be asking more because some wannabe hipster would abuse it by turning it into a wannabe-fixie. This whole vintage trend is really annoying.
I wouldn't pay that, but a mid-80s Centurion isn't special to me. I'd say a fairer price would be well under $200.