The set-up:
Front brake, lever, + cable.

Is this your first bike?

You should really check out the beginner advice thread and the $200-600 thread in addition to this one. There's a lot of helpful advice in there including SIZING. KNOWING YOUR SIZE IS SUPER IMPORTANT SO KNOW THAT FIRST.

Also, if you're in this price bracket and you don't already have the essential bike accessories:

• A Front Brake and Lever and Cable if you're not sure what sizes you need make a post in the weekly questions thread. Some of the bikes I suggest have one already, but if they don't GET ONE.
  
  
• A Floor Pump
  
  
• A Metric Hex Set
  
  
• A 15mm wrench if your wheels require it (most do)
  
  
• A Lockring Tool 100% essential if you plan to ride fixed
  
  
• Some Grease
  
  
• Good pedals! Clips and straps, bmx straps, or clipless can all benefit greatly from a little extra cash.
  
  
• A helmet
  
  Note there are other options for all of these that could allow you to save money/space/whatever, but you won't go wrong with what I linked. I'd really suggest having these even if it means you go down a price bracket on the actual bike, they'll all come in handy.
  
  

  New Bikes
  

  
  

• An Upgraded Dolan Precursa at £Whateveryouwanttospend is just so customizable and awesome and the pricing is great and really everyone should get this if they can. I'd highly suggest opting for the front brake, miche pistard clincher wheelset (tubular if you're riding track ONLY), and sugino75 crankset options. You can even get direct drives for only £109 extra ( a $500 crankset whaaaat) so that's cool. If you really want to dive headfirst you can get clipless pedals too, but if you don't know what those are definitely make a post in the weekly questions thread.
  
  
• The Specialized Langster at $650 retail is a super solid street and track bike. They go on sale sometimes for less and for $600 or less it's really a no brainer.
  
  
• The Wabi Classic at $750 has been my go to recommendation for a long time. It's made of super high quality steel has excellent customization options, and is all around awesome. The biggest downside is the super relaxed geo. If you want something that rides more like an average road bike check out the Special or Lightning
  
  
• The PoloandBike Williamsburg at £760 is a great option for European riders. The name brand finishing kit and artchetype rims give it that custom bike feel for a good value complete bike. If you swap out the front tire and maybe upgrade the crank this bike can be truly superb.
  
  
• The All-City Big Block at $950 is easily the best looking bike on this list imo, but that aside it's a super ultra double awesome track bike. Really well rounded and could easily be the last fixed gear you buy. One thing to watch out for is the long top tubes that all city loves so much so take a close look at that geo chart.
  
  

  Used Bikes
  

  
  Another great thing about this price bracket is the used market. I daresay it is easy to find outstanding value bikes used in this price range if you know what you're doing. I helped a friend source this for $1100 and we were being choosey! Again, if you need help post in the questions thread or just PM me because I like helping people with this stuff.
  
  
  
  
  
  

This (brakes) plus this (shifts) comes out under $20.

I find it hard to imagine them any cheaper. A complete set of the black-coated inners costs pretty close to that at most LBSs.

I've had the bike for a few weeks now and use it almost entirely for commuting. Here's what I've added since I got the bike:

• GoPro Hero3 Black
  
  
• NiteRider Lumina Micro 350 front and rear
  
  
• Nite Ize HandleBand
  
  
• Tektro CR720 Canti Brakes
  
  
• Ibera PakRak Bicycle Touring Carrier Plus+
  
  
• Avenir Excursion Rack-Top Bag
  
  
• SKS P45 Black Chromoplastic Longboard
  
  
• SRAM Supercork Bicycle Bar Tape (Black)
  
  
• Shimano Brake Cable and Housing Set
  
  
• Shimano Road Shift Cable and Housing Set
  
  The stock brakes weren't doing enough to stop me so I swapped them out for some Tektro CR720s. I dropped the yoke as far as I could to give myself as much leverage as possible. Braking is much better now and more reliable than the original set ever was.
  
  I added a rack and trunk bag that's big enough to hold my food and clothes for the day. The only modification I had to make here was filing away some metal from rack mounting leg. It was colliding with frame near the dropout and not allowing the leg to sit close enough to the braze on.
  
  Some of the original cable housings that came with the bike had some gouges in them so Nashbar sent me a new replacement cable set. I swapped out all the brake/shift cables and replaced the bar tape with some SRAM cork tape. The original cables from Nashbar were also a bit too long and were causing excessive friction.
  
  I added some SKS fenders per the recommendations of users on this sub. They were a little finicky to install but I got them on in the end. This particular frame doesn't have bolt holes in either of the two rear bridges so I had to resort to the classic zip tie approach.
  
  As far as the bike goes, it's been performing flawlessly so far. It weighs close to 30 lbs now so it's not the lightest thing in the world. However, the steel frame and the large tires really help smooth out the road quite a bit. The saddle is still the most uncomfortable part of the bike, but I'm hoping to swap it out sometime in the near future. Shifting is still very smooth and the 4 trim positions on the 105 front derailleur is a great feature.
  
  If you're considering getting a bike from Nashbar, I'd definitely recommend them. Their customer service was fantastic and everything they shipped usually got to me door in 2-3 days (even the bike!).

The big thing about converting to drops is that they can add a lot of reach to your riding position. The second part of this guide can give you a good rough idea of whether you might need significantly more or less reach than you currently have, which you can adjust a little bit with different stems.

http://www.wikihow.com/Size-a-Road-Bike

Ultimately it's generally a lot of trial and error though. And it seems your bars are already 31.8mm so you might actually be able to use the same stem. At least for now.

I have absolutely no idea how much those origin8 parts would cost you. But you can probably get the bars themselves for less than $40, eg:

http://www.performancebike.com/bikes/Product_10052_10551_1033658_-1_400213__400213

http://www.performancebike.com/bikes/Product_10052_10551_1184245_-1_400213__400213

The main thing is the width, which largely depends on what sort of bike sizing you have and how big you yourself are, but since you're coming from super wide flats you could probably stick to 44cm regardless. The other difference is shape, which is largely personal preference. Doesn't help you much, but depending on what you want to use the bike for a shorter drop might be more comfortable. And at some point you just have to make the call on what looks most comfortable to you.

Your disc brakes are linear pull, which means it probably wouldn't be a good idea to use normal road levers with them. Tektro do a set of linear pull road levers which would probably be the simplest solution:

http://www.tektro.com/_english/01_products/01_prodetail.php?pid=10&sortname=Lever&sort=1&fid=3

Pretty cheap too. Shifting is a little more awkward, as your thumb shifter will probably have a diameter of 22.2mm and modern road bars are generally 23.8mm. But that shifting position itself is generally pretty awkward, yes. Your hand has to move quite the distance from the hoods or the drops to get there, around the bars themselves and often requiring you to change position. Short of using a road lever with a cable pull adjuster or something, which can get quite complicated and isn't generally the best, the best option is probably a bar end shifter. Something like this:

http://www.amazon.com/SUNRACE-SHIFTER-HB-BAREND-SLR96/dp/B00JVK5ZLY/

So all in all that'd be around $40 bars, $25 for the levers, $35 for the shifter, $10-15 for some bar tape and maybe $15 for a new set of cables;

http://www.amazon.com/Shimano-Brake-Cable-Housing-Universal/dp/B0050LUBZ8/

Basically something like that plus a new bit of gear cable outer, to cover the distance from the shifter to the first boss on the frame. Probably cheapest and simplest just to get something like that from an LBS. But all in all that'd be around $125-130, if you're lucky and it's comfortable as is. If you need a stem with a different length or angle, probably closer to $150. If you do the work yourself. But for that you could end up with quite a nice gravel/adventure type bike which could turn its hand to endurance road riding, cross riding or touring/commuting quite nicely.

Alternatively you could just get some bar ends, which can help even if your arms are quite spread out. But if you want to get into longer distance riding, you might feel the need to upgrade again before long. Bullhorns can be nice, but often have a lot of the same problems with different diameters, and you still can't brake from that position unless you had TT style levers which I don't think you can get in linear pull. And they'd still need bar tape and such. You can do the research yourself, I just think it'd be a large portion of the investment in an attempt to mimic the riding position of a road bike anyway.

Good job.

Now get some brakes!

https://www.amazon.com/Tektro-857AL-Linear-Pull-Brake/dp/B0196UXWYU/

https://www.amazon.com/Kool-Stop-Compound-Mountain-Linear-Threaded/dp/B001CLSWKQ/

https://www.amazon.com/Shimano-Universal-Standard-Brake-Cable/dp/B0050LUBZ8/

Cheap!

(for cutting brake cable.. dremel cut off wheel in a ventalated area and a nail or something like that for clearing out the hole. for cutting the actual wire wrap a bit of electrical tape around the end and it'll prevent fraying.)

:D

edit:

Once you get some miles on it let us know what sort of range and performance you are getting. Looks like a fun ride.

These work great on my Astro branded one, 2 of them for $12.

https://www.amazon.com/dp/B0050LUBZ8/

LHT Frame - $520 after tax

Chukker Wheels - $85 x 2

Tires Schwalbe Marathon Plus RLX 700 x 45 C Bicycle Tire - $54 x 2

Alloy Headset Spacers - $7.89 x 2

Shift Levers - $60

Chain - $10

Brake Cables - $10

Brakes - $15 x 2

Extra Long Shift Cables - $6

Derailleur - $24

Cassette - $17

Crankset - $40

Spindle - $24

Headset - $45

Seatpost - $20

Brooks Saddle - $145

Rack - $35

Brooks Panniers - $150 x 2

Brooks Bar Tape - $65

Tools

Saw Guide - $41.36

Starnut Setter - $22

I am not quite sure. I found this on Amazon and should be what you are looking for!

Just a replacement cable kit. It will come with the metal nipples for the ends and even some cable housings but most likely you can just re use your current cable housings.

Just as an example. https://www.amazon.com/Shimano-Universal-Standard-Brake-Cable/dp/B0050LUBZ8/ref=sr_1_4?keywords=mtb+brake+cable&qid=1567710446&s=gateway&sr=8-4

Nevermind, seems I was mistaken. $28USD for a mechanical brake and shifter cable set on Amazon. It'd be about $45 retail for a hydraulic brake hose and a shift cable set.

Since a bike shop buys this stuff wholesale they can easily afford to charge exactly retail or under for a service like this and still make a fair profit, so OP is either being upcharged in parts too if it's a mechanical brakeset, or were charged a reasonable price for hydraulic.

You will need new shifters and I would guess the brakes are missing too. So you may need new brake levers. New cable housing to route the cables. Adjusting everything. Links to some options are below

https://www.amazon.com/Paraout-Shimano-SL-M310-Shifter-Trigger/dp/B07W4HK3QP/ref=sr_1_1?dchild=1&keywords=bike+trigger+shifter+3x8&qid=1573758587&sr=8-1

https://www.amazon.com/BicycleStore%C2%AE-Universal-Aluminum-Bicycle-Mountain/dp/B013QLONKM/ref=sxin_2_ac_d_pm?ac_md=1-0-VW5kZXIgJDEw-ac_d_pm&keywords=brake+lever&pd_rd_i=B013QLONKM&pd_rd_r=b88b7687-7250-4233-87eb-35bb520fc968&pd_rd_w=lALuB&pd_rd_wg=vs2TF&pf_rd_p=24d053a8-30a1-4822-a2ff-4d1ab2b984fc&pf_rd_r=0QYX1S131NSC5930Z3QS&psc=1&qid=1573758728

https://www.amazon.com/Shimano-Universal-Standard-Brake-Cable/dp/B0050LUBZ8/ref=sr_1_6?crid=M0H4P9EMDCUC&dchild=1&keywords=replacement+brake+cable+for+bicycle&qid=1573758757&sprefix=replacement+brake%2Csporting%2C194&sr=8-6

https://www.amazon.com/Shimano-Standard-Zinc-coated-Derailleur-1-2x2100-mm/dp/B00KXMEXOY/ref=sr_1_4?dchild=1&keywords=shift+cable+bike&qid=1573758787&sr=8-4

Okay, so with $200, assuming I was doing the work:

Wrap handlebars - $11.53 (sweet dark red, cause the red on there looks awesome already)
Cheap 700c wheels from co-op - $20? (Talk with them about the gearing to see if the range is the same, or if you want tighter range or whatever, they probably have a few sets there with somewhat different gear ranges on the rear)
Saddle from co-op - $5-10
Tubes/tires - $45 (tires, tubes)
Derailleur cables - $7 (Shimano, here)
Brake cables - $10.39 (Shimano, here)
Brake levers - $22.53 (Tektro RL340)
Brakes - $62 - (Tektro 539 rear, front)
5-speed chain - 7.98 (here)

Then I'd try to get pedals and a cheap but aluminum quill stem, handlebars, and seatpost from the co-op. Depending on where you are, you may be able to get all for $20 or less. Functional new parts suggestions: (not guaranteed to fit. These have all sorts of different diameters over the years/models, so you need to know what you have/need. Handlebars, Seatpost, stem.)

hey i'm buying these for my single speed bike


now i was wonder would these cables work with them?

Like most places in NYC, they are not 'cheap,' but they are not really 'expensive.'

https://www.amazon.com/Shimano-Brake-Cable-Housing-Universal/dp/B0050LUBZ8/ref=sr_1_2?ie=UTF8&qid=1501542680&sr=8-2&keywords=brake+cables

You were charged about twice the value of the cables.