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For more on marking an answer as the "Best Answer", please visit our FAQ.There's a gorgeous Italian called Cosmo - it's on Castle Street (not too far from Princes St. really).
http://www.cosmo-restaurant.co.uk/ is a link to it.
Buon Apetito!
And try The Patio at 87 Hanover Street, Tel: 0131 226 3653 - one of the oldest Italian restaurants in Edinburgh. Had lots of really good meals there before now. Impeccable service, good food etc.
Or opposite is La Rusticana 90 Hanover Street, Tel: 0131 225 2227
Both are relaxed and friendly places able to take a party quite easily. If you know Edinburgh, Hanover St is central, running north from Princes St. Have a nice time!