This study provides evidence on the role of infrastructure in reducing poverty for the urban poor by means of a first-time street asphalting randomized experiment. Within two years of the intervention, households whose streets were finally paved, and were present both before and after its implementation, increased their consumption of durable goods, acquired more motor vehicles, and invested more in home improvements. These impacts are driven in part by street pavement boosting housing wealth, which fueled a rise in collateralized credit use. On the supply side, we show that the implementing politician benefits substantially as measured by satisfaction with government.