This name would probably be very low $xxx in a reseller market, but in retail it is worth what someone is willing to pay, and it is a very nice keyword. If the potential buyer contacted you, and offered you $1000 in that initial contact, not knowing anything else, I would be inclined to think that he would be willing to pay quite a bit more.
If I couldn't find any info on the buyer's background, I would counter with a mid-high $xxxx number to see how he/she responds. I would back up my demands by quoting recent sales in the .biz market, including sales.biz for $4,000, holiday.biz for $3,000, and hermes.biz for $10,000 (find more at namebio.com).
If I figured that the buyer was planning on using the name for a local bike shop, I would counter with low $xxxx, while using the same method as above to back up my reasoning.
Good luck. If the potential buyer won't budge, $1k is a nice sum for that name.