Pretty good but not smoking hot deal. You certainly wouldn't be ripped off at $1200. Retail in 2006 was $1800, so about a third off is about right. $1600-1800 is about what you'd have to spend to get a new alu bike with carbon seatstays (makes the ride more comfortable) and 10 speed components. You'll appreciate the triple when you head up your hill. I have a compact double on my regular road bike, but a triple on my commuter.
Just be aware that 105 and Ultegra are now 10 speed, so that's got old technology, which will work fine but may be more difficult to find replacement parts. There really is nothing wrong with 9-speed. In fact, I just built up a brand new bike for commuting with Ultegra 9-speed & had no qualms about doing so. Did it to save money but wouldn't have done it if I thought it was junk. Still really good stuff.
There are somewhat cheaper alternatives such as Felt's FW35 ($1100), but the Felt does not have carbon seat stays and only a double, which might not be great for your hill.
The most important thing about the bike is that it fits. A bike that doesn't fit is never a good deal. If the Trek fits, I think it'd be a very nice buy.



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