Well obviously they are doing more than just pressing a couple hundred copies of a record, so that's part of why the costs are so high. If they were really only wanting to raise the funds strictly to put out maybe 1000 records with really nice packaging, it could probably be done for around $5,000. The more fancy things get, the more the price would increase, of course.
This just seems like an excuse to raise an amount of money that is wildly unnecessary. They say the project is to press the vinyl, but then go on to talk about how they have 5 mouths to feed. But, if people are willing to pay for it, then whatever. Great for them.