This is without question one of the best places to eat inside the Disney parks. Ariel's Grotto is located inside California Adventure.
It's right on the water (where else would Ariel have her eatery?).There is seating both inside and outside on a covered patio overlooking the water and park. If you have a nice California day, no question, opt for an outside table!
It's Disney so it's all about the kids here. Ariel's has the usual cast of character's roaming the restaurant. We had Goofy, Pluto, Minnie, Chip and Dale, and, of course, Ariel herself. They all make the rounds and visit the tables, all except Ariel who only has fins, thus you are required to go to her for a visit. There are plenty of games and congo lines for the kids.
The food is adequate. The kids had chicken fingers (shaped like Mickey's head) that comes served in a take home pail. We had a pretty good meatloaf and fish and chips. They have sundaes and free cotton candy for dessert.
The restaurant has a full bar upstairs with a great view of California Adventure and the fake bay. Remember that not all places in Disney serve booze, so this in itself is a big plus.
Our waiter was nice and friendly, but not a great waiter. He had no idea what a scotch and water was and had to ask the bartender if he could make such an exotic drink! But he got our food out and made sure the kids were happy.
There are some last minute reservations here if you wait around. The wait can be long or they can tell they won't accept any more names on the waitlist so I strongly suggest advanced reservations by calling 714-781-3463 well in advance. The kids love the food and all the crazy characters. The parents will love the view a chance to have a cocktail at Disney!