Looking at a 2001 MP3 with High Miles. What to be concerned about??

Hi, A friend of a friend is selling a 2001 MS3 that I plan on looking at this weekend. He's had it for sale for a couple of weeks for $900. I believe it has over 200000 miles. Body OK with some rust starting at the wheel wells. I'm just looking to get to and from work and more concerned about reliability (yes, I realize 200,000) and engine issues. What should I look for, ask, and be concerned with? How are these as hi mileage vehicles? My current vehicle is going to require about $500 to keep it on the road and that has over 200000 so I'm thinking to offer in that range. Thanks
 
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