No, they defintely mean 7 meters. 500,000 kg. Which seems like a lot, if it's hitting your house at several miles per second.
But that's only 90,000 kg more than the ISS (http://www.nasa.gov/mission_pages/station/structure/isstodate.html).
On the other hand, I bet the ISS would burn up a lot better on its way towards your house.