Lucky for downtown girls on a budget, Yigal Azrouël has launched a diffusion label that sells for a fraction of the price of his namesake line.

Dubbed Cut25, Azrouël's new lower-priced line features the slouchy shapes, creative draping techniques and color-blocking that the Israel-born, New York-based designer has become known for.

The 32 pieces in the Fall 2010 debut collection, which will all retail under $500 and is in stores now, include leggings and strong-shoulder mini-dresses covered in sequins, over-sized lightweight knit cardigans, leather bombers, basic jersey pieces ideal for layering and much more.

Due to the buyers' enthusiasm for the new line, the Resort 2011 collection (see it here!) is even bigger, with 46 garments, and will arrive in stores October 1st.

All of the garments in Cut25 will be produced locally in New York City and include 'Made in New York' labels. Expect to find them at Intermix, Bergdorf Goodman, Saks Fifth Avenue, Bloomingdale's and online at Cut25.com starting in September, as well as at the Cut25 flagship store that is slated to open in New York at the end of 2011.

Of course, Azrouël is just the latest in a string of designers that have launched more affordable lines. Check out the lower-priced collections from Versace, Alice Temperley and Mark Fast.