We stayed at the Kenilworth Lodge for three days, and rather than ramble around Sebring, we chose to walk next door to the Palm Diner (previously Lakeview Restaurant & Lounge). The first day was with a large group. On the second day, it was just the two of us. On the third day, the owner recognized us and came over to greet us. He was closely followed by the waitress who had served us the day before. She, too, remembered us, and actually remembered what she had served.
It is clear from the interactions that occur in the restaurant that the owner and staff have a lot of regular customers.
The restaurant is very warm and personal. The menu is varied and there are a number of pleasantly different offerings (such as the crab stuffed mushroom appetizer), and the quality is good. And it's inexpensive! It's a pleasant and safe change of pace from the franchise restaurants further out of town.
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