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Depending on formality, I find the Whole Foods Cafe is always fun for dinner with a huge number of vegetarian choices.
Alternatively, I always say this but Union Square Coffee Shop is nice with vegetarian options on its eclectic menu. If you're in to it, try Stand for a selection of tasty veggie burgers and L'Express on park ave and 20th does tasty salads. And there's a fusion Japanese place next door. -
On the NE corner at 13th and University place there is a little Vietnamese place called Lannam that was really just wonderful when I went this past weekend. Better on the pesco-vegetarian front then the stright-up but it was definitely on the cheap and the portions (of excellent food) were a little overwhelmingly big.
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I was originally going to recommend Republic because I really like it there. But I guess that's out! :)
If you are looking for something in a pretty casual atmosphere there is a good falfal, schwarma, hummus spots right off of Union Square (I think E 14th St) called Chickpea.
I'm from DC but was visiting friends in NYC this weekend and met some of my friends there. They both have recently lived in Israel and they seemed to enjoy the food (although apparently the falafal is baked not fried and some people prefer it the other way around. Still--its a healthy, cheap, tasty meal).
Also CraftBar is near by. Prices aren't too bad and all your friends would probably be able to find something to eat.
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Head over to Los Dos Molinos for some great Mexican food (cheese enchiladas, quesadillas, shrimp fajitas, cheese dip, guacamole) and tasty margaritas.
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