Almost worth a trip to Chico
I tried this new place over the weekend and was very impressed. The decor is simple, but pleasant enough. The food is excellent (and I have had lots of good Indian food, including in India) Priya Restaurant on the Esplanade near Lassen.
Priya has also recently opened a restaurant in Redding. I've eaten there twice and at the Chico site once. In addition to the standard Indian fare, they also have Southern Indian cuisine (dosas, idlis, etc.) which can sometimes be hard to find. I thought the food was okay and would eat there again if I'm in the area, but I wouldn't go out of my way to eat at either of them.