That looks really nice other than the awful wheels which it should be a priority to rid yourself of.
The price is almost irrelevant - these are incredibly rare cars now (They were never particularly common in the first place) so you need to ask yourself whether you'd find another, how much cheaper it'd be if you did and whether it's worth the saving. Likely, the answer is no.
Just make sure you're aware of what this is - a 20 year old enthusiasts car. It's going to go wrong, quite a lot, and you're going to have fun chasing constant issues but the reward for this will be one of the finest cars BMW has ever made, in my opinion. You need to really want one of these for it to be worth the effort - don't buy it if you want 'a car', buy it if you really want an E39.