Prince Harry and Meghan Markle
The Duke and Duchess of Sussex, Harry and Meghan, attend the 2022 Robert F. Kennedy Human Rights Ripple of Hope Award Gala in New York City. Photo: Reuters / ANDREW KELLY Reuters / ANDREW KELLY

Prince Harry and Meghan Markle enjoyed dinner at Tre Lune in Montecito, California on Wednesday night. They were seen laughing and smiling as they left the restaurant.

The Italian restaurant is a celebrity hotspot with Kenny Loggins, Kevin Costner, Ellen DeGeneres, Kourtney Kardashian, and Travis Barker noted as some of its customers. Photos from the Daily Mail showed the couple seemingly in good spirits as they were photographed smiling and laughing at some inside joke as they headed to their waiting vehicle.

The Duchess of Sussex looked chic in a strapless black and white Posse dress which she paired with strappy black sandals and her beloved Cult Gaia bag. Meanwhile, the Duke of Sussex looked casual in a blue linen shirt and white trousers. They were joined for dinner by their good friend, Matt Cohen, the husband of the duchess' longtime friend Heather Dorak.

A source told People that the trio "enjoyed their food and had a nice time" at Tre Lune, where meals reportedly range from £19 ($24) to £48 ($61). Diners can choose from 24 different pasta and risotto meals and an array of meat and fish entrees including salmon fillets for £37 ($44) and filet mignon steak for £55 ($65).

The dinner at the Italian restaurant came a day before the Duchess of Sussex's 42nd birthday on Friday, August 4. She often spends her birthday privately with family.

Prince Harry and Meghan Markle moved to their Montecito mansion in Santa Barbara, California, in 2020. They mostly keep to themselves and while it is a "very different" life to what the Duke of Sussex has been used to growing up in the U.K., he "seems to be embracing" it.

One insider told the magazine that he often rides his bike around the neighbourhood and spends time at the beach with their dog Pula. One resident recalled seeing him without a hat at the beach saying, "The cutest dog dropped his ball by me, and I looked up to ask the owner if I could throw it, and it was Prince Harry. He said, 'Of course,' and made small talk while I played and pet the dog. It was so cute."

Meanwhile, Meghan Markle is rarely seen out and if she does step out it is to drop by at the local farmer's market to buy flowers or pick up her son, Prince Archie from school, where she "talks to everyone."

The couple is rarely seen together outside, but when they do go out together, "they have a lot of security." According to Montecito Journal columnist and local resident Richard Mineards, "Quite a lot of people are very protective of them." A local store owner also told the publication that the Sussexes "don't go out much" and that they "have friends out of the public eye."

They are reportedly also takeout regulars at nearby pizza joint Bettina and prefer to dine at home where they work out of a shared office. An unnamed friend said that the couple is "not into a big scene. They prefer smaller group hangouts at home, karaoke, that sort of thing."

Prince Harry and Meghan Markle were last spotted together with their children Prince Archie, 4, and Princess Lilibet, watching the Fourth of July parade in their neighbourhood. Prior to that, they were seen enjoying each other's company outside an office in Santa Barbara. They were accompanied by their bodyguard. Their last public engagement together was at the Ms. Foundation's Women of Vision Awards on May 16 in New York City.

Prince Harry and Meghan Markle dined at Tre Lune amid speculations that their marriage is on the rocks. But celebrity photographer Karl Larsen, who is also a friend of the duchess' father, Thomas Markle Sr., slammed the rumours saying they are still "very much in love."