Guess what? Drop bars with hoods is not always the best setup, period.
Actually they are. So good in fact, I put them on my MTB. And ya, that sounds like a good price for the Redline. If you liek the bike, have at it. Just remember, you'll end up paying about as much as the bike for new wheelset. Just have the shop true and tension the stock wheels and change the bars. You should be good to go with that.