I'm not. Nobody on pinside has owned more Torpedo Alleys than me, so I have a bit of experience with this title. It's a very fun game, and is best known for its light show, but literally where he has priced this is not in comparison to anything else made in 1988 or this era, with the exception of Banzai Run.
He is attempting to set the bar for this title, I guess time will tell.

Actually, I owned one 17 years ago, still have the playfield from it because I had to part it out, that's how desirable it was on the collector market. The game was largely considered a laughing stock by most people. In the last few years I had one, didn't sell for more than $700. Since 2010, I believe I've had 5 and they were nowhere near what your price was.
Like I said, it's a fun little game with sort of low production numbers, but this is Data East's second machine next to Laser War, and most know about where those machines sell for.
I think $1000-1500 is the absolute correct range nowadays for this title. Maybe a buyer will prove me wrong...maybe not.