Hayward might not conjure up thoughts of culinary bliss but Neumanali is out to change that.

Set in a lovingly restored 107-year-old Victorian building across from Hayward's new city hall, Neumanali opened in February and has become one of the area's dining destinations.

The building that houses Neumanali was originally located next door but was moved to make way for a new Albertsons. Instead of demolishing it, city officials declared it a historic building and put it up for sale. Hayward resident Julie McKillop and her husband successfully bid on the structure and began a three-year renovation, but they didn't know what they wanted to do with it once it was restored.

McKillop, an accountant, settled on a restaurant and wine shop and partnered with a client, Helga Grayson, to run the business. Upstairs, there's an art gallery.

Neumanali takes its name from one of the building's previous owners, a local businessman and philanthropist named Manuel Newman. Neumanali is a creative spelling of Newman Alley.

Step inside the white and green-trimmed building and the McKillops' loving restoration is plain to see. Sturdy exposed wood beams course the ceiling, giving the restaurant a feeling of rustic warmth. The concrete floors are washed in cool verdigris tones and the 40-person dining room captures the light of the setting sun.

The room is divided into a main dining room, bar and wine shop, a small area that's often taken over by a minimalist jazz band during dinner. The wines for sale are the same as those on the well-chosen wine list. Outside, there's a beautifully landscaped patio with another 40 seats.

Service is smooth and genuinely warm. During busy times, though, there can be long gaps between courses and service can slip, but the staff's good nature makes these things easy to forget.

In addition to the restaurant's good looks, there's some real talent in the kitchen. Michele Colavitti, a former cook at Farallon in San Francisco, lets the ingredients speak for themselves and emphasizes clean, unadorned flavors and preparations.

Take the excellent potato leek soup ($3.50 cup, $6.50 bowl). I expected a heavy, cream-based soup but instead it's light and almost translucent, a showcase for the tender bits of leeks and potato floating in a deep, rich broth.

A starter of sea scallops on truffled potatoes ($12) are seared and caramelized on the outside, emphasizing the seafood's inherent sweetness. Although quite good, the potatoes were somewhat heavy for an appetizer.

Apple and arugula salad tossed with blue d'Auvergne cheese and pecans ($9) has all the right elements: peppery fresh greens, creamy cheese, toasted pecans and a restrained splash of vinaigrette. The tidy Caesar salad ($9), made with crisp heart of romaine lettuce, shows the same restraint.

For entrees, Neumanali prepares fish particularly well. I was pleased to see tilapia ($20) on the menu, especially when it tastes this good. The fish special is served en papillote with fennel, baby carrots, thyme and wine. With the list of sustainable harvested seafood growing ever shorter, diners can feel good about eating tilapia. It's one of the few farmed fish raised in an environmentally friendly manner. Meaty blue nose sea bass ($20) was the nightly special on another visit. It's served atop a mound of indigo colored "forbidden rice" and topped with a red bell pepper coulis.

I love Neumanali's version of quail ($18). Two tender birds arrive crusty and blistered from the grill atop a tangle of frisee tossed in a warm bacon vinaigrette alongside wild rice. Good, too, is the juicy, phonebook-thick pork chop ($21), served with buttery, whole grain mustard sauce, although I couldn't detect much of the promised juniper berry marinade.

For dessert, the creme brulee ($7) is nicely done, silken-textured and with a delicate mantle of burnt sugar. Neumanali is apparently over-stocked on blue d'Auvergne cheese because it turns up again on the dessert menu ($7), combined with spicy toasted pecans and drizzled with honey. It's all good, but fresh fruit would help counter the big flavors of the cheese and nuts.

From the lunch menu, the grilled chopped sirloin sandwich ($13.50) is a winner. I thought I'd miss the standard accompaniments of tomato and lettuce on this glorified hamburger, but the addition of roasted red onion and more of that creamy blue d'Auvergne cheese on a crusty ciabatta roll was a good accent for the smoky beef. However, my requested medium rare came in decidedly medium. The grilled panino ($11), packed with zucchini, roasted red bell peppers, roasted red onion and mozzarella cheese is good too, but the vegetables needed a pick-me-up from the salt shaker.

Neumanali has given Hayward a delightful restaurant. Philanthropist Manuel Newman must be smiling somewhere to see the good works being done in his name.