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I guess it sounds rather expensive because it is a "3 letters/alpha" domain? *thinks* Well...I can't think of what kind of business can you run with a domain like that, any idea?
I think the other respondents above are hungry. I'd hold onto it.
Why? There was a bubble-era company that used the name "up2me.com" and IIRC they paid a ton for up2.com. I wouldn't let go for $1.5k, and I'd want at least mid $xxxx. Of course, this depends on how anxious you are to dump it, 1.5k is reasonable if you need the cash or don't want to hold on any longer.
FYI- I'm a noob on this board, but have been at the domain game for 4 years.