It's easy to get CD and a hard drive on a 500, you just can't have them both directly connected to the side expansion port. Well, not without some rare, barely usable hardware. Someone used to produce cards that gave an extra side expansion slot, but the card was completely exposed, and your extra device somehow had to support its weight vertically.
Here's an easier solution:
Option 1 is to get the SCSI adaptor for the 570 and connect an external HD.
Option 2 is to get say, a GVP530 or A590 w/ SCSI and connect an external CD.
Bear in mind that most high-end A500 hardware is very hard to find now.