At a brief glance, I'd spend a bit more and get a GTX460 (the same site has an EVGA variant for $130 after mail in rebate). In a gaming PC the gpu is an important component so I definitely wouldn't skimp on it (and yes, the mobo should have PCIe2).
You can probably get a cheaper case and you should definitely get a different PSU. For one thing, no site I'd go to seems to have a review on it, user reviews are mixed (and highly concerning; having the occassional PSU be dead or otherwise faulty is usual, having lots of them be faulty is concerning, having some of them give off smoke is downright alarming) and I can't actually find the OEM for it at a glance. Good news is that you don't need a 500w PSU for the system (unless you're planning SLI in the future though I wouldn't recommend it with hardware like that, the mobo's other PCIe slot only goes up to 4x). Even running a GTX460, anantech's bench system pulls 331w so you can get away with a good 350W system (if you can find one that is!). Some good brands off the type of my head are seasonic, antec, corsair and silverstone. There's more (especially as a lot of companies have their PSUs made by other companies!) and I'm sure others can give you good recommendations as well. Just make sure you have all the right connections for what you want. A GTX460 will require two 6 pin connectors and if you decide you want room for a second card in the future then you're going to need four such connectors.
You may want to consider getting a slightly lesser CPU. The 2500k is fantastic but if you're not overclocking then you may be better off with the 2500 or even the 2400. You
can get a small overclock out of the i5-2500k with the stock cooler without any serious penalties and technically even with the more expensive GPU you're still under budget but it's something to think about. As it is, that mobo won't support overclocking for the CPU! If you are into overclocking though, make room in your budget for
this. For the budget minded it is a flipping fantastic cooler. My friend has his i5-2500k overclocked to 4.8GHz and still maintains temps in the 60s to breaking 70s when running his CPU at 100% load with this cooler.
Mobo! Well, I've brought it up a couple of times now. The good news is that if you don't care about overclocking and opt for the 2500k's slightly lesser brothers, it works. The bad news is that even if you do opt for such an option there's still cheaper yet x3 Something like
this at a glance would suit your needs well and after rebates is substantially cheaper. You won't have any room for expansion (at all) and has no USB3.0 or SATA-III support but it's up to you whether you want those features or not. Issue is that if you do want overclocking, it still can't do it x3
This mobo on the other hand whilst not as cheap as the other is still cheaper than your first pick, will support overclocking and will allow for a second GPU in the future if you're so inclined (ie, to make the most of your existing hardware and get a boost without paying too much!).
HD, memory and optical drive... I usually say get what works and most of your choices do this. If you get the z68 board and have room in your budget you may want to consider getting 1600 speed RAM over 1333 but it's not necessary and you won't be suffering from not doing so.
I'm guessing you're based in Canada and this is the reason why you want to buy through tigerdirect? If you're open to the idea of newegg then your options can improve a fair bit. I may have missed something in my post, will check again later XD