Man About Town
Join Date: Nov 2004
Location: Nashville, TN, USA
Bikes: '04 Dahon Speed P8; '01(?) Specialized Crossroads A1 Sport; '83 Peugeot P6 (refurb in progress)
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Ditto on Dahon. They're pretty much the go-to guys these days for a decent bike for not a lot of money.
The Boardwalk would certainly do the job, or for a few bucks more, the Mariner (same frame, plus a rear rack and some different hardware in spots). If you really can go up closer to $500, consider the Speed P8. That's what I have. A pretty good compromise between price and componentry.