R & E Cycles on 56th and University NE. The mechanics know everything about everything. Go here if you need your bike fixed properly, have fit issues, or want to spend lots of money on a nice custom frame. I like Recycled Cycles for super cheap used stuff, but have yet to find any nice vintage used parts there. The kids at counterbalance have always been friendly and infomative to me. I'm sorry to hear that others have had poor experiences here and I recommend giving it a chance, too. They have really good prices on bikes and they know their stuff.
Midnight racing (post critical mass) the last Friday of every month at the bleachers on the Southish side of Greenlake. Track bikes, goofy bikes, crappy bikes and usually some beer. If you can, avoid riding down the Ave on Friday or Saturday nights. Drunken frat boys and sorority girls with giant SUV's abound.
To get to Capitol Hill from the UW, I usually take the U Bridge to Eastlake to Harvard to 10th, which turns into Broadway. Going down is a pain in the booty on a fixie. I would never attempt it without a front brake, but I've seen it done. In this city unless you're on the Burke Gilman trail, you're always going up or down a hill and although it's a supposedly bike-friendly city, the drivers here are nuts as far as I'm concerned. Yay, for front brakes!
Welcome!