No, in this case 'teuer' exclusively means 'expensive'. You can't use it in the sense of 'dear' here. 'Teuer' is used in the sense of 'dear' in expressions like 'jmd. lieb und teuer sein' (to be dear to someone) but that doesn't work here. [EDIT: This is incorrect, please scroll down a bit. I'll leave my comment here as it is because - I guess - I'm not the only non-native who makes this error]
Oh, that's interesting ;-) Thanks a lot, christian! OK, seems like the problem is not about German but my deficient knowledge of English ;-) I wasn't aware of the fact that you can use 'dear' in the sense of 'expensive' in English, too. So, sorry for the confusion my comments may have caused. Let me correct myself: If you use 'dear' in the sense of 'expensive' it should be fine as a translation of 'teuer' in this sentence.