This restaurant is lucky to have survived the 1989 Loma Prieta Earthquake, since much of Santa Cruz was destroyed. Located in a six story building in downtown, El Palomar is a consistently good Mexican restaurant with an excellent bar. The interior is traditional Mexican construction with faux balconies, high beamed ceilings, and wrought iron. The bar has a sliding glass roof that can be opened to the sky on nice summer afternoons and evenings.
Food is good but not spicy, with a combination of traditional Mexican dishes and seafood. My family ends up eating at the excellent Taco Bar adjacent to El Palomar more frequently; it's arguably the best value for food in Santa Cruz. You can get tacos for $2.50 and burritos with carne asada for $4.00.
The bar scene is pretty happening, with an active Happy Hour (around 4:30 to 7:00), a lengthly list of tequilas, and lots of singles.
Try the Special Appetizer at the bar (around $11.00) which is enough for two, and includes Carne Asada, Prawns, Snapper, beans, and fresh tortillas. It's fast, and if you want to catch a movie downtown, you can be in and out with drinks for under $30 for a couple.
This review is the subjective opinion of a TripAdvisor member and not of TripAdvisor LLC.