Actually, I think the townie looks more stylish. I think a lot of the hybrid/comfort bikes look a bit ungainly, though perfectly functional. The Townie looks more like a chopper. It's a bit difficult to tell from the picture, but is much more evident when you see them being ridden.
They do seem to be pretty popular around here. I've seen several around town, fitted with baskets, ridden by conscientious, helmet-wearing cyclists. The LBS seems to move them pretty well. They seem to be popular with folks who like to ride bikes, yet don't view themselves as "bicycle enthusiasts".