I agree. If it was more in the $500 range all in then I'd consider it. Still, to me, the steering wheel is one of the most important parts of the car. Its what you touch most of the time. A nice steering wheel can enhance the DD experience sooo much. I'd take it over other expensive cosmetic mods people do all day (body kits, spoilers, carbon fiber bits, etc).
Good thing is the stock gti steering wheel is pretty nice as it. Bad thing is imo the leather isn't really durable compared to others. Mine already has a few nicks on it despite me being really careful. I'm gonna try and see if VW will replace it before the bumper to bumper expires but if not then I will be eyeing this mod more.
For $650 you can get the OEM "Clubsport" steering wheel from ECS. The only thing I'm not sure on is how the Alcantara would age relative to leather. And also I think it is the same thickness as regular GTI wheel. But none the less a solid option