I like the Townies for what they are. I don't own one, but I've ridden a few at the LBS. They're comfortable and hip in a beach-cruiser style. I think they fit that niche for cruising bikes -- short trips, jumping on and off, and cruising around. Just my opinion, but I don't see them as serious utility bikes.

I'd recommend taking a look at the Breezers. They have a similar strategy as the Townies, but a lot more versitile and utility functional. All models come with fenders and racks and the higher end models come equiped with lights. I think the frames are better designed for both short and long range trips. They're bikes for going to the corner or on a tour.

And of course bikes like either of these can be built up from any old frame. I built up a Schwinn cruiser from Craigslist for $50 and it rides great. Old mountain bike frames can easily be outfitted for town trips cheaper than a new Townie. My opinions, YMMV.