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Thai is everywhere these days; it seems that every neighborhood and suburb has at least one Thai restaurant to call its own, typically a modestly appointed, modestly priced storefront serving respectable to excellent food.

What remains in short supply is fine-dining Thai. The standard-bearer in that category is the highly praised Arun’s, which for more than 16 years has had the Thai luxury-dining field all to itself.

That may be about to change. Erawan, which has been operating for almost three months in River North, is an exceedingly handsome and ambitious Thai concept taking dead aim at Arun’s market niche.

Erawan was created by partners Anoroth “Noth” Chitdamrong, former manager and wine director at Arun’s; and Ken Lim, a principal with the Malaysian restaurant chain Penang. A third partner is executive chef Art Lee, a veteran chef and restaurateur whose previous restaurants, River Kwai and Thai Touch, were among Chicago’s best Thai restaurants in their time.

Noth and Lim certainly have created an eye-catching venue. Erawan, like Arun’s, is unimpressive on the outside but spectacular within. Walls are covered with hand-carved teakwood artworks; well-spaced, oversize tables are draped in white linen. Plates and stemware are imported from Bangkok. A replica khan tho rooftop covers the area offering Thai seating, on floor-level cushions with triangular pillows and leg wells.

It’s quite a magical little setting, softly lit and accented with Thai music playing gently in the background. And chef Lee, who also cooked at Arun’s for a time, matches the mood with beautifully presented dishes.

Many American chefs routinely incorporate Thai ingredients into their food; Lee returns the favor by boldly employing Western ingredients and techniques. Sometimes this is a minor variation, as in Lee’s satay of venison tenderloin, accompanied by lightly spiced peanut sauce and a crunchy cucumber salad. The full-flavored venison gives the traditional appetizer an added dimension, while helping to justify its $15 price.

Other times, Lee plunges right into fusion fare, as with a quartet of steamed shumai dumplings filled with minced chicken, foie gras and chanterelle mushrooms, with a caramelized shallot and balsamic-reduction sauce. Unfortunately, whatever chanterelle and foie gras presence might once have been there had long disappeared into indiscernible nuance.

Salmon and lemongrass salad is a delightful option, fragrant with herbs and accented by a gentle lime-chile dressing. Crispy wonton-wrapper pouches containing lumps of dungeness crab meat are tasty little nibbles, served with sweet-and-sour peach sauce.

My favorite entree is the red snapper, encased in batter and deep-fried whole; Lee presents the fish adorned with “scales” of thin-sliced tomato and “fins” of carved carrot. Within, the crispy exterior is soft, yielding, lightly sweet flesh. Also visually impressive, if initially off-putting, is the poussin, smoked with oolong tea and Thai chilies that give the bird’s exterior a murky brown color and a pungent campfire aroma. But the flavor is terrific.

Turmeric lobster is a luxury choice, a $38 assembly of thick lobster-tail chunks in a rich cream sauce. The panang curry is disappointing; the coconut-lime curry sauce is tasty, but the boneless chicken pieces were overcooked and considerably dry.

There are a couple of Western-style desserts available, but servers rather pointedly direct diners to the Thai dessert plate, a nice assortment of Thai custards and sweetened sticky-rice confections. It’s a colorful little presentation, though a bit pricey at $12. Ditto the trio of sorbets, three meager scoops of pineapple, lychee and pomegranate sorbets. The flourless chocolate cake is pleasant enough, and a mere $10.

The indecisive may opt for Lee’s degustation menu, which includes five appetizers selected by the chef from the menu, an entree selected by the diner, soup and sorbet and the Thai dessert sampler. At $65, $110 with matching wines, it’s not a bad deal.

The wine list is a major strength. Though it numbers but 50 bottles (Noth says it will triple in size when the wine cabinets are built), the list abounds in Thai-friendly choices, heavy with Austrian and German offerings. Service is eager and friendly but falls far short of the level that Erawan must achieve. Communication needs considerable improvement; ask a question about a dish and the server is likely to recite the menu description back to you — slowly. When we ordered the panang curry, our waitress implied it was available in versions other than chicken, but inquiries for specific options were so fruitless that we gave up. (For the record, panang curry can be ordered with chicken or beef.)

Erawan is not yet in Arun’s league, but given a little time to develop, it may get there.

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Erawan

(star)(star)

729 N. Clark St.

312-642-6888

Open: Dinner Mon-Sun.

Entree prices: $18-$38

Credit cards: A, DC, DS, M, V

Reservations: Recommended Noise level: Conversation-friendly Other: Valet parking; wheelchair accessible; smoking in bar only.

OUTSTANDING (star)(star)(star)(star)

EXCELLENT (star)(star)(star)

VERY GOOD (star)(star)

GOOD (star)

Reviews are based on no fewer than two visits. The reviewer makes every effort to remain anonymous. Meals are paid for by the Tribune.