First off, given the re: line, I am going to assume that you prefer a Daniels method of training.
For a Daniels devotee, 400s at (presumably) I pace, even with short rest, is not an optimal workout. As noted elsewhere, intervals of 3:00 to 5:00 are preferred in the Daniels scheme of things.
But just because a workout may not be optimal doesn't mean you shouldn't do it. This kind of workout can be a great way to break into vo2max work, particularly if you haven't done it in a while. It can also be a great way to lock into goal race pace at the tail end of a training cycle. It might also be a good way to get in some vo2max maintenance work in a relatively low impact way in the middle of a cycle on a week where you may want to do some faster speed work or emphasize threshold work.
Also, while this may be a grade B workout from a Daniels' perspective because it does effectuate a vo2max adaptation, but gives you relatively low "bang for your buck" as compared to the longer I workouts, my philosophy is that doing a grade B workout with a group is often better than doing a grade A workout alone. So unless this is the style of workout that your coach is giving you every week during the heart of the cycle, do the workout with the group. If he or she is giving you this style of workout every week and you are a Daniels devotee, then find a different coach.
As former sub 14:00 notes, there are plenty of other approaches other than Daniels that work. I would say that whatever approach you follow, you should follow that approach consistently. He mentions Canova, for example. Canova is very specific in his goal of funneling you toward goal race pace over time. You really cannot mix and match styles of workouts - an interesting Canova style workout one week, a meat and potatoes Daniels workout another week, a Tinman CV workout another week - because each coach's approach is to build upon prior workouts in the training cycle or to build towards future workouts in the cycle.
Also, I obviously wholly disagree with Hanzo that a Daniels approach is not a good approach. That approach has worked fairly well for me over time, as well as for people that I coach, and to is probably the most prevalent approach to training in the NCAA today. Pulling workouts out of a book and cranking away indiscriminately isn't a great idea regardless of the coaching philosophy to which you subscribe. Building smartly, listening to your body, and adjusting workouts based on the feedback your body gives you is essential to a good and healthy fitness progression.