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Passionfish is my standard answer for seafood on the Monterey Peninsula. You would need a car to get over to Pacific Grove.
Another alternative if you want to stay walking distance is the Sandbar & Grill in Monterey on pier 2 (not the tourist pier).
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re: MRYfoodie
I love Passionfish. The wine list alone makes it worth a visit, but the fish is done well and innovatively. Sandbar & Grill has a great view and very fresh fish; the preparations are simpler. If you're up for a stroll, Massaro & Santos on the Coast Guard jetty is another place with Italian-accented straightforward seafood in a pretty setting. Your best bargain is probably going to be Sea Harvest; it's a fish market (read: no atmosphere) that's about a 20-minute walk from the hotel. Just have 'em broil whatever looks best in the retail case. Yum.
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