I have a different year but similar 720 as my dad bike and I like it. The going rate by me is $125-150 for one in good condition. This one looks like it is in really good condition. I'm assuming this seller is charging a premium for the drop and bar end conversion, which is fine.
The question for you is what do you want to do with this? If you want a cheap hybrid, probably find another one without the added parts for cheaper. If you want a steel road bike, you can probably find one with better road components/geometry for the same price. I think @
rumrunn6 is probably right and the best application for this is as a gravel/cyclo bike.