There's a great restaurant, across the street from our place in Capitola, called Shadowbrook, which has been around for more than 60 years. It's located on the base of a river bank about 90 feet below street level. You can walk down the stairs or take the "hillavator".
It's great for casual drinks and food at the bar or a fancy dinner in one of its many dining rooms. I highly recommend the crepes for dessert.