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THIS RESTAURANT IS CLOSED Pegaso Restaurant Restaurant Review: By rights, with a name that suggests mythical splendor and at least something very powerful, the restaurant Pegaso falls down in every respect. What was once a gilded ladies, all-American tea room-restaurant, then a fanciful Italo-American eatery, has now become a destination that offers a mish-mosh of cuisines and styles all served up under the general heading of Continental. And worse yet, the cooking is barely passable. When we stopped in for lunch recently, we found a rather dismal setting. Our fried calamari were greasy, though hot, and the Monte Cristo and Reuben sandwiches so buttery as to signal caloric overload. When we learned that only one dessert is made in-house, we decided it was time to mosey on. At least, seniors on the lookout for early dining will find daily early-bird specials at a reasonable price.