I've stayed at the Palomar many times but had never tried their adjoining restaurant, Urbana. I've often seen it crowded and buzzing as I walked by on the street in the evenings. I finally decided to try it on a Friday evening. It did not live up to the reviews I read elsewhere.
In terms of ambiance, there was a substantial proportion of younger folks drinking at the bar, hanging out, and a large group who were part of a bachelorette party. Mixed in were a smattering of folks beyond their 20's, including a pair of elderly couples who were staying at the hotel. It was quite loud but not so loud as to make conversation impossible.
As to the food, my Pickled Pumpkin salad was unique and tasty, though priced like a hotel restaurant at $11. As an entree, I ordered the lamb shank. The portion was not only absurdly small, but the lamb itself was fatty. It was also overly salty. For $38, this was disappointing both from the standpoint of value as well as quality and taste. I've seen this restaurant described as "French-Italian." Maybe that's the problem: it does neither well.
The service was friendly, if somewhat amateur.
With a drink, tax, and tip, I spent over $60 solo. Had it been a great meal, I would have been happy with this. Given nothing special about the cuisine, poor value, and a particularly disappointing main course, I would give this place 2.5 to 3 stars.