Hello Bob,
In my opinion, the holster is original, but it was offered by retailers/dealers as a commerical holster for the 1902/06 AE Lugers. The holster appears to have been tan color, but age (and maybe polish) made it become darker.
The price of $850 is a bit high and I reckon that $300-$350 is more reasonable for an early commercial holster.
I hope this information is helpful to you.
Cheers,
Albert
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