My son and I just spent a few days in this area as he had a piano concert in San Diego and then we went college shopping in Irvine and Claremont.
I found this thread while I was there and used the great advice to visit Balboa Island and take the ferry across to the peninsula. What a quaint and charming place! It looks like something ordered up for a movie set. We don't eat seafood so had dinner at the Balboa Inn's Italian restaurant - a very good meal. Thank you to those who suggested Balboa.
In case you get out for breakfast, I met a friend of mine at Plum's in Irvine, which was very good (lots of delicious berries piled on waffles, fresh-squeezed orange juice and a nice outdoor area to sit in). Hi-Time, the well-known wine shop with a great selection and good prices, is nearby.